Think of promotions as sales boost opportunities. They are a way to attract new and returning customers to your brand all while increasing engagement and sales. They can be leveraged to meet a specific sales quota or to raise awareness about a new product or service offering. While there are numerous types of promotions that you can offer, they may not all be enticing to your audience. With that in mind, here are three tips for offering enticing promotions.
1. Figure Out What Your Audience Wants
A promotion is only enticing if it’s compelling to your audience. You may think that adding a free product to those who spend a certain amount is compelling. However, if the product has nothing to do with their purchases then it may seem pointless to them. The same goes for offering a discount but still charging for shipping. If the consumer can get free shipping from another retailer, they may decide to purchase from them instead.
Assuming and guessing what your audience may find attractive isn’t usually the best strategy. While you may learn over time what they like and dislike, the more efficient strategy is to simply ask them. Sending a survey in your newsletter about their spending habits and shopping needs can provide intel on what kinds of deals to offer in the future. Even a quick survey on your Instagram Stories can tell a lot about your followers’ expectations in terms of spending with you.
This type of information is called zero party data. Unlike first party data, which are insights collected about a consumer from interactions with your brand, zero party data is information consumers willingly share. First-party data, while valuable, involves some level of inference about consumer preferences and needs. In contrast, zero-party data doesn’t rely on assumptions; it directly reflects the consumer’s own input, which makes it particularly powerful for personalization and building trust.
2. Create a Sense of Urgency
Nobody likes to feel like they’re under pressure. But in the sales world, putting a bit of pressure on consumers may result in more sales. “Limited time only,” “Don’t wait,” or “Last chance,” are common marketing phrases that create a sense of urgency. It’s a way to shift consumers’ mindsets from “Let me think about this” to “I need to get this now.” Funneling consumers from mere interest to purchase is a way to generate more leads during a specific window of time.
Feeling pressure to buy taps into the psychological side of FOMO, or fear of missing out. Consumers don’t want to feel like they’re missing out by not making a purchase. This is why big launches, such as Apple’s newest iPhone reveal every September, create a buzz and generate an abundance of sales. Knowing that the product is in high demand, audiences feel pressure to get their hands on it first. And this is even without a promotion!
Tying a promotional offer to this forces consumers to make snappy purchase decisions. For instance, offering a “buy one, get one” deal for one day only or until the product runs out generates a sense of urgency. Using marketing tactics such as sending SMS and push notifications can remind buyers about expiring deals. Use this sense of urgency strategically; you don’t want consumers to get used to these kinds of offers and pass up on them knowing you’ll be releasing another one soon.
3. Offer Additional Discounts for Loyal Customers
Rewarding individuals for making purchases with your brand is another way to keep them coming back. Loyalty rewards programs are known to increase customer retention, engagement, brand advocacy, and profits. This is because rewards make customers feel valued. They feel like they’re being treated with the highest respect, especially if a promotional offer is given exclusively to them.
The trick is to create a well-designed loyalty program that will entice customers to obtain this level of status with your brand. You can do this through a points system where customers who make purchases will be rewarded points. Having different tiers to your loyalty program can differentiate between what types of offers or discounts you provide. Sephora offers this type of program where members are divided into “Insider,” “VIB,” and “Rogue” patrons. Members of each tier are given promotional discounts ranging from 10-20% off during semi-annual sales.
Gamification is another way to keep loyal consumers engaged with your brand. For example, if you’re running a fitness brand, consider different promotions for your members. Give out a free piece of apparel or a private class to those who complete 15 or even 20 classes in a given month. This type of gamification strategy can help form new habits for individuals, meaning they’ll be more loyal than before!
Takeaways
No matter what your promotion is or when you decide to offer it, make sure it aligns with your brand’s main objectives. While you may want to follow what your competitors are doing, it’s also sometimes a good idea to follow the beat of your drum.
Yes, offering a promotion during Black Friday or Amazon Prime Day, when buyers are looking to make a purchase, can be advantageous. But so can an unexpected promotion done out of the blue that aligns with one of your products launching in a new color. Be creative with your promotional offers while keeping your audience front of mind.