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Can your business benefit from implementing prize promotions?

If you’re looking to market your business more effectively, there are probably a few different avenues you’ve considered. Some methods are more effective than others, and if you haven’t thought about the increased exposure your business can gain from incentivised marketing, then that’s certainly something to consider.

What is a prize promotion?

A prize promotion is first and foremost a promotion that offers incentives. Generally prize promotions work in the form of a competition with a ‘prize’ offered for the lucky winner of the competition.

What is prize marketing?

Prize marketing works in a similar way to prize promotion in that there is the possibility of a prize for an individual or group. Prize marketing may work slightly differently in terms of the fact that the prize is being ‘marketed’ – it may be that no purchase is necessary and the ‘prize’ may be offered via the various marketing methods used by the business.

Why use prize promotions and prize marketing?

You may well be thinking that it could be slightly counterproductive to give away items or experiences of a high financial value when your ultimate goal is to increase the turnover of your business. However, prize promotions are proven to be highly effective in terms of generating more buzz and interest in your company and subsequently affording you more opportunities to sell your product.

First and foremost, for the individual(s) who win prizes via promotions and marketing, they are likely to be extremely impressed by the goodwill shown to them by your company. Of a secondary nature, a prize promotion can be seen as a form of philanthropy and can certainly help your business to be viewed in a positive way. Thirdly, if you are able to choose a prize that people are capable of winning, and if you can market that prize correctly, then you will no doubt experience increased visibility as more and more people will enter.

With the advent of social media, it has never been easier to share information and statistics indicate that 42% of prize winners will use a social network to notify their peers that they’ve won a prize – those prize winners will be connected to many people on the various social networks who will then be exposed to your brand or business.

What sort of prize should I go for?

If you decide that you would like to explore promotional marketing ideas further, it would be prudent to establish what sort of prize you think would be appropriate. Generally companies go down two routes: a big prize or a relatively little prize – research indicates that a mix of the two is the approach best received by the general public. So if you’re thinking about implementing a prize promotion then perhaps think about a grand prize as well as several smaller prizes.

I like the idea of this, but don’t have time for it!

If you don’t feel that you have the time or the expertise to make a success of this form of marketing then never fear. There are a number of good promotional marketing companies in the UK. Companies like NDL Group specialise in prize management and will hold your hand through the whole process.

Looking to promote your product/service to SME businesses in your region? Find out how Bdaily can help →