- PRICING STRATEGY: PRICE SKIMMING!
- PRICING STRATEGY: GIVING YOUR PRODUCT/SERVICE FOR FREE
- SHOULD WE COMPARE OURSELVES?
- WHAT SHOULD WE MEASURE WHEN WE EVALUATE OUR MARKETING EFFORTS?
- WHAT IS THE VALUE OF A CUSTOMER?
- DOES CONTENT MARKETING WORK?
- WHAT IS THE DIFFERENCE BETWEEN A BRAND, BRANDING, A PERSONAL BRAND AND A COMPANY/PRODUCT NAME?
- WHAT IS GROWTH HACKING?
- HOW MANY « P » CAN BE FOUND IN THE MARKETING MIX?
- THE CUSTOMER VALUE CHAIN
- HOW CAN YOU PROTECT YOUR UNIQUE PRODUCT OR SERVICE?
- CONFERENCE ON FINANCING - MAY 2, 2017
- WHAT IS DRIP PRICING?
- WHICH AMOUNT SHOULD YOU CHOOSE FOR YOUR PRICES?
- DETERMINING YOUR HOURLY RATE BASED ON THE VALUE YOU THINK YOU HAVE
- IS LOWERING YOUR PRICES A GOOD IDEA?
- TO OFFER OR NOT TO OFFER FINANCING?
- HOW TO PROTECT YOURSELF AGAINST EXCHANGE RATE RISKS
- WHEN IS A GOOD TIME TO INCREASE YOUR PRICES?
- DEMAND BASED PRICING
- WHAT IS A LOSS LEADER?
- HOW TO ORGANIZE A DRAW THE RIGHT WAY?
- HOW TO HAVE REMOTE EMPLOYEES
- IS IT GOOD TO BE FIRST IN A MARKET?
- THE THREE TYPES OF CUSTOMERS
- EXPORTING TO MEXICO - QUERETARO REGION
- DEFINING BUSINESS SUCCESS
- ARE YOU USING REBATES? WATCH OUT FOR THESE
- IS THE CUSTOMER ALWAYS RIGHT?
- EXPORTS AND QUEBEC COMPANIES
- COWORKING SPACES
- YOUR PLACE OF BUSINESS AND INTERNET
- WHY IS SOCIAL MEDIA IMPORTANT FOR YOUR BUSINESS?
- HOW TO USE FREEBIES
- WHAT IS THE MAGICAL FORMULA FOR HAVING SUCCESS IN BUSINESS?
- DO YOU HAVE EXPERIENCE IN MY FIELD?
- WHEN CAN WE STOP OUR MARKETING?
- WHAT IS A CALL TO ACTION?
- WE ARE ALL SALESPEOPLE; HERE'S HOW TO GET THERE
- HOW CAN MARKETING AND SALES COLLABORATE?
- HOW TO SELL MORE TO YOUR EXISTING CLIENTS
- WHAT IS CROSS-MARKETING?
- WHY SHOULD I SEGMENT?
- WHO IS RESPONSIBLE FOR MANAGING YOUR COMPANY'S IMAGE?
- HOW TO CHARGE FOR YOUR PRODUCTS / SERVICES?
- HOW TO DEFINE YOUR PRICING STRATEGY: PRICE POSITIONING
- HOW TO DEFINE YOUR PRICING STRATEGY: MARKET PRICING
- WHAT PRICE SHOULD YOU SELL AT? - COST-BASED PRICING
- WHAT IS A PRODUCT?
- HOW TO MARKET YOUR NEW BUSINESS?
- IS BUYING A FRANCHISE A GOOD WAY TO START A BUSINESS?
- HOW SOCIAL MEDIA HAS CHANGED WORD-OF-MOUTH
- HOW SOCIAL MEDIA HAS CHANGED PUBLIC RELATIONS
- WHAT IS BRANDING?
- WHY INCREASING SALES IS NOT THE SOLUTION
- HOW TO SELECT YOUR COMPANY NAME?
- WHY HAVING A WEBSITE IS ONLY THE BEGINNING?
- WHAT IS MARKETING?
- HOW TO MAXIMIZE THE VALUE OF YOUR SOLE PROPRIETORSHIP BUSINESS
- WHY SELLING IN MEXICO?
- LOW COST MARKETING INITIATIVES
- WHY IS PRODUCT DIFFERENCIATION IMPORTANT?
- hOW TO PRESENT OUR COMPANY
- WHAT IS THE DIFFERENCE BETWEEN MARKETING AND PUBLICITY?
- 50% OF YOUR ADVERTISING BUDGET DOES NOT PRODUCE AS MUCH AS THE REST
- RIGHT SELL AND OVER DELIVER
HOW TO USE FREEBIES
You’re starting a new business and you want to have customers? You’re already in business, but you want to enter a new market / segment? You want to grow?
All these are good reasons to offer freebies. But to maximize your results, it must be done the right way.
First, let’s define the notion of free: For our purposes, we mean the exchange of goods / services to access a market/customer base or to get something back in return.
A little more in depth:
Access a market/customer base:
In a previous article, we talked about cross-marketing initiatives. That is what we are after here. We "buy" with our time or our products into an established market, or customer base, created by another entity (company, association, organisation, etc.).
This visibility could have been otherwise acquired but with more time and money than with the association. A perfect real life example; a Quebec-based toy company had a kiosk at an amateur youth football tournament (tent, pamphlets, on-site personnel, a selection of toys, etc.) and gave all the participants a free toy. Several hundred young players participated in this tournament, including parents (football games were being played all day). The company estimated that the price of free toys and that of their presence at the event was worth the notoriety they gathered.
So the important points from this example are:
- - You need to choose a market/customer base that has a strong correlation with your target customers.
- - Do your calculations to make sure that selected platform will create a net positive result for you and your company (the cost of your gratuity is outweighed by the value created for you: customers, sales, potential customers, notoriety, etc.).
Get something in return:
Let us use an example to illustrate this. Let’s say that on your website, you create a section that gives free information related to your products or services. To demonstrate the quality of that information, you can offer free samples. To access the rest, the reader must register with an email. This set-up does not cost anything to the user. The end result for building this system: getting your readers’ email. Still too vague? Let's be more specific. Let’s say that your company manufactures pie crusts. You want to get the email from your users to develop your followers and do email marketing. So you build a "pie recipes" section. To get people interested, you give the first recipe without any commitment from the reader. But to see the rest, or to receive the monthly recipe in your inbox, the reader must provide an email.
Another thing you might be after: testimonials. When starting a business, it’s difficult to convince your first customers. By doing some free work, you could build a certain amount of testimonials that could help you sell easier.
If you have questions or comments about this article, feel free to contact me.
Stéphane Elmaleh-Riel, B.Ed., MBA