As the owner of a new enterprise, the chances are that you’re doing everything you can to grow your business right now. You’re probably plowing every penny you have into marketing campaigns. You’re probably also spending everything you can on things like logo and web design. All the better for making yourself stand out.
There’s no denying that all this is vital for success. We’re not here with some easy answer which can make all the above go away. What we are here with is a little growth option you might not have considered. Here, we’re going to look at the power of free gifts.
We know what you’re thinking; you don’t exactly have the money to give products away right now. But, by sparing a small amount of that marketing budget for freebies, you could see significant returns. We’re not saying you need to give your products away. Even investing in something like custom patches with your logo on could be a fantastic choice. You can click for more if that appeals. Or, you could invest in pens or even tote bags with your brand on them. These are all small expenses. Still, slipping one of these into each customer bag could help your business grow. Not sure how? Keep reading to find out.
Providing advertising opportunities
Building loyalty
In case you hadn’t heard, loyalty matters in business. What’s more, there’s little chance that you have any at this stage in the game. Right now, no one knows you. You’re an untested entity, and customers will be wary rather than keen. The only way to change that is to give them a reason to believe in you. And, freebies with their purchases could be just the way to do it. Product quality is important too, of course, but that should come as standard. That’s what your customers are paying for, after all, and it doesn’t secure ongoing relationships here. What could accomplish that is a sign that you’re willing to go above and beyond. And, guess what; free gifts show that in abundance. The fact is that we all love getting something for nothing. What’s more, we’re sure to soften towards a company which offers this benefit. So, forget one-time customers who fade into your till in no time. A free gift could see people coming back for the duration of your time in business. It could even push them towards recommending you to their friends. That would mean additional profits for very little expense on your part.
What about a good reputation?
Along the same vein, giving away freebies can also help to boost your business reputation. Given that reputation is everything where success is concerned, that’s a benefit worth taking advantage of. The fact is that you want as many customers to leave good reviews for you right now as possible. But, decent products and excellent service aren’t always enough to ensure that. These customers have to go out of their way to write a review for you, after all. Why should they bother if you offer the same as any other company? By comparison, providing a free gift shows that you’ve gone the extra mile. That could then ensure that customers put in a little extra effort for you, too. And, you can bet those reviews will be a lot more positive from customers who have your freebies to hand out.
Creating an obligation
It’s also worth noting that giving out free stuff can create an obligation to spend more with your business, whether that be immediately or in time. This is thanks to a little something called the reciprocity principle. Behavioral science professor, Randy Garner, found that obligation to repay a favor “can occur despite the fact that we may never have requested the favor in the first place.” So, there you have it. Giving something away could leave customers feeling obliged to shop with you again. Given that even a small future purchase will more than pay for that free gift, this makes complete monetary sense.
Offering a teaser
Depending on your line of business, you may also find that freebies provide you with a chance to create a teaser. Food companies have been doing this for years. By giving free samples of their products, they stand to see real increases in sales. This is because they let their products do the talking, and get customers hooked on a tiny taste. You only have to observe the free-tester stands at food stores to see how successful this can be. Perfume companies have also offered free samples to customers for centuries. This chance to wear and smell perfume can lead to any number of sales which wouldn’t happen otherwise. If at all possible, consider a freebie which could create that same taste. If you sell food, give your customers a free chance to taste it. If you deal in a particular product, is there a way to let customers try it for free? A little investment now, can lead to long-term gains.
It makes sense that you would be reluctant to start giving away freebies when you’re trying to turn a profit. But testing this out for even a short period should be enough to show you that free can quickly pay for itself.
