Taking a look at the importance of prizes and giveaways in the retail sector

Prizes and rewards can play a hugely important role in introducing customers to your brand or encouraging greater levels of loyalty among those who have already joined you.

See how these ideas work as part of retail marketing campaigns that can help grow a business.

The element of fun and the unexpected

Fun should be the stand-out aspect of prize draws, competitions, and other ways of winning. They are ways for customers to feel that they’re taking part in something exciting that adds some pleasure to their normal shopping experience.

This is why we often see fast food restaurants using scratchcards or stores setting up enjoyable competitions. Everyone needs to feel that they have a chance of winning but simply taking part should be fun too. 

This strategy can be seen with the likes of the casino welcome bonus and other promotions for players. Many of the offers in this industry now give an element of the unknown, such as the chance to spin a wheel of fortune to win a random prize.

The deal that gives new players a set of free spins is also intriguing, as they get to try a slot but don’t know how much they might win thanks to the bonus spins.

Give relevant prizes that appeal to your target audience

One of the key aspects of giveaways is that the prizes have to match the needs and wants of the target audience. This kind of promotion can be traced back to the mid-19th century when retailers used lottery-style giveaways to award prizes.

However, the quality of the prizes on offer was often a major issue, with some retailers seeing this as a way of getting rid of unwanted goods rather than viewing it as a useful way of building customer loyalty.

In more recent times, promotions such as those in the McDonald’s Monopoly game, Oreo Twist, and Pepsi Stuff have been among the most interesting giveaways that have helped these businesses grow and obtain a loyal customer base.

Offering prizes and rewards that are right for the target audience proves that you’ve got your finger on the pulse and understand their needs, but getting this wrong means you run the risk of looking as though you’re out of touch.  

A change to add seasonal promotions and ever changing themes

Giveaways can also work well as a way of giving the company a chance to introduce seasonal promotions and new themes to their marketing efforts.

Special times of the year such as Christmas and Easter are ideal for making customers feel good about the companies they do business with. They also provide an opportunity to reward people with interesting, themed prizes that add some extra fun.

The idea of giving away prizes remains a clever way for businesses to grow, but it’s a strategy that has to be carefully thought out for it to work well. If you want to make a big impression on your target audience, thinking of the items they’d like to win is a strong start.