Can I Really Make More Money by Giving Stuff Away?

Updated: Dec 11, 2021

Small businesses—you have an uphill battle when it comes to proving to customers that your product or service is better (or at the very least equal) to the big players in your market. As your company grows the power shifts more into your favor. However, when you are starting out there is a lot of work to be done to help potential clients see why your business is the right business for them. The giveaway is just one tool you can keep in your toolbox to make this process a little easier.

tasting at a grocery store.
There is no easier way to get someone to try something for the first time than by giving it away for free. Grocery stores have been doing this for years. Why? Because it works.

The Benefit of a Giveaway

A ‘Giveaway’ is a piece of marketing collateral that offers a reciprocal exchange of information with potential customers. Creating an atmosphere of generosity within a business is crucial to encourage and build customer engagement. Customers are more likely to remember and continue to return to a company they have previously found to be generous in their marketing approach. Giveaways are a great use of a business’ marketing budget as they have been shown to increase online visibility, customer engagement, and satisfaction. When executed correctly they will help your business establish authority and trust within your field. After all, from a customer’s perspective, if you can give away something for free what other 'aces' might you be keeping up your sleeve? Finally, offering access to important information makes a customer feel like an insider, and customers who feel like insiders are often more loyal and prove to be repeat and long-lasting customers.

The Goal of a Giveaway

In order to successfully run a giveaway campaign, a business must set clear goals for what they intend to accomplish. Are you trying to establish yourself as an authority? Are you trying to attract new customers away from competitors? Are you trying to create a market for your product through education? Sure a giveaway may check more than one box, but having a clearly defined goal will help you determine the content of your giveaway. Establishing an expected outcome is foundational for a successful response. Creating a well-defined road map produces the capacity for a business to articulate a message of clarity to its audience.

woman creating content in her kitchen with a DIY set up.
Creating content can start as easy as setting up your phone and rolling a 5 minute video. Developing the habit of creating content is often just as important as the content itself. In most cases, 1 really good video will not perform as well for you a