Marketing used to be as straightforward as making people feel good. Examples of those campaigns remain to this day, such as perfume and aftershave brands that evoke the sentiment of love and beauty. However, things change as consumers evolve, which means advertising in the 2020s isn’t as basic as it was pre-millennium.
But you still have a problem. With so many methods to choose from, it’s almost impossible to create a successful strategy since they all seem powerful. Only a handful of marketing options are fruitful enough to engage new customers and make people want to part with their money, though.
Freebies
Who doesn’t love a freebie? People will travel far and wide for products they don’t particularly want because they don’t want to waste an opportunity to pick up something for nothing. The strategy pre-dates the 20th and 21st-centuries, too, as Coca-Cola used it to fantastic effect in 1887 when the American company gave shops two gallons of the drink in exchange for customer data. Coke then mailed a voucher for a free drink to the consumers’ homes. Seven years later, every state in the US sold the now-iconic sugary beverage.
A century later, the role of the internet makes the ‘power of free’ more attractive since everything is available on the go or from the comfort of your home. You can simply pick up your mobile device and begin shopping regardless of your location, which is why several leading brands use the tactic to their benefit. Amazon is an excellent case study because it continuously provides giveaways to new and loyal shoppers to highlight their services, such as Amazon Prime.
In 2020, the Seattle business recorded 200 million Prime members for the first time. Freebie marketing can come in many forms, too. The online casino industry, for instance, is a master at mixing up the number of free promos to keep engagement levels high.
With stiff competition, operators are constantly competing with each other to offer the best no deposit casino bonuses, including cash backs and free play money. It is working too, as the global sector is expected to be valued at £93 billion by 2027.
We can also see other major players offering freebies as part of their marketing arsenal. Providers from ASOS to BT, Esure and O2 are ranked among the top cashback brands, giving their customers anywhere between 0.8% and 25% of purchase costs. As well as encouraging shoppers to register with services, these examples are proven to foster loyalty. Would you leave a brand that regularly saves you money?
Promo Codes
Promo codes are effective not just because they save people money. Cutting costs is essential, and it’s the main factor, yet it’s not the only one. Promo codes are popular because they are easy to implement due to automated services and quickly become part of the shopping experience. For instance, 94% of participants during a 2018 study reported they searched for a deal or offer when shopping online.
However, what makes promo codes incredibly effective is the fact that shoppers make purchases they didn’t expect to when they find a working bonus code. Indeed, a whopping two-thirds of people from the same survey admitted they did this solely on finding a discount. A further 80% said they bought products and services with brands they had never shopped with before due to promo codes.
Fashion brands like H&M like to use discount codes to boost their sales. Typically, H&M will give you an extra 10% or 15% off when you spend a certain amount. Coffee shop chains such as Caffè Nero do the same with its ‘10th coffee on the house’ offer. After you’ve bought nine coffees and got the digital stamps, you receive a barcode via the app to use in participating franchises.
Referral Programmes
Referrals aren’t new, but they are used increasingly regularly. You probably don’t realise because you don't need the programme, yet you will have undoubtedly heard of the brand. A significant chunk of businesses uses them since they are great for young and established organisations.
Consider Harry’s, an American shaving operator that has quickly increased its market share. Freebies are at the centre of everything the company does, from free trials to referrals. For the latter, all you need is a subscription, and you can pass on your referral link to a friend. When they sign up to Harry’s using the link, you both receive a sweetener.
Established providers aren’t above leveraging referrals, either. Google, the search engine giant, has one for the marketing arm of its services. Uber also utilises the same strategy, but customers get a free ride. Nationwide, on the other hand, gives new and existing customers as much as £125 for switching to a Nationwide account using a referral code.
As you can see, freebies are sought-after by some of the hottest brands in the world. That alone should indicate the power of free advertising.
