There is no doubt free promotional gifts are effective. 7-Eleven give away free Slurpees and see an increase of 38% in sales. They gave away 4.7 million of them in 2011 and still didn’t lose money. And, it’s not only profit driven because there is a social aspect too. Viral giveaways have the potential to grow your email list by 1,500 new subscribers.
The problem is not with the effectiveness but the cost – not every firm is as big as 7-Eleven. SMEs need freebies to be just that: free. Otherwise, the gamble can backfire and bite you in the ass.
Here are a few options to make them cost-effective.
Use Stock
Investing in promotional gifts because of their cost is tempting. A t-shirt manufactured for pennies on the dollar isn’t a big expense. But, there is no need to waste money when you have perfectly good presents in the warehouse. What customers want is a slice of the action to make sure they enjoy the product or service. Giving away stock then, such as a free taster, is a cheap and effective solution as it provides value without breaking the bank. All you need to do is add an extra 5% on to the size of an order, which is relatively inexpensive with modern supply deals.
Earn Money For Old Rope
Probably the easiest and cheapest way to hand out free goods is to earn them with no extra effort. Although it sounds like a pipedream, it’s doable thanks to Swagbucks. Anybody with the Swagbucks apps can use their Yahoo-powered search engine to build up SB points. Once you have enough, you can trade them in for gift vouchers from the likes of Amazon and PayPal. The latter even offers cash back into your account. Because they cost $0, anything which comes back as a result of the giveaway is pure profit.
Join Forces
Businesses are always looking to boost their appeal, and they need help. Not every company has the reach you do, or they might want to enter the market period. These are the opportunities you shouldn’t let slip when they appear. Joining forces and giving away their products to your customers is the ultimate freebie. You can start an online competition and let the virtual bidding war raise awareness of your brand through the roof. The Coffee Date has more. Remember that rivals don’t have to keep each other at arm’s length.
Upcycle
One person’s trash is another person’s treasure. Typically, you’ll find people will throw things away even though they’re in decent shape. With a little TLC, it should make a great giveaway and add lots of value to the customer experience. All you need to do is learn how to upcycle. For example, a case of old books can transform into a headboard or the pages into a quirky tablecloth. Thinking outside of the box leads to creative and cheap gifts your base will love.
Freebies lead to customers paying more for the same product in the future and feeling obligated to buy extra stuff. So, they are well worth the hassle.