subject: Double Your Advertising Profits [print this page] If you really want to boost your sales and increase return on advertising investment why not use an incentive?. Despite the extra cost and fulfilment involved they almost always pay for themselves many times over.
Why do incentives pay?
Simply you generate more leads as on average you attract the same number of responders that you would have got - plus a whole lot more, expect to additionally attract between 10% and 30% who were interested but took no action. And these bonus inquiries will convert into customers at a similar rate as the others.
Incentive champions Reader's Digest feature their incentive, a prize draw, which can overshadow the product. Why? Because Victor Ross, Chairman of Reader's Digest was quoted as saying "I have never seen a relevant incentive fail to pay for itself."
Test an incentive today, consider these three reasons why you should:
1. They cure apathy - of being sold something.
2. They conquer buyer's remorse.
3. They provide an additional 'push' to try the product or service.
Always 'big up' your incentive, describe it in detail, describe what it's value. If it costs nothing, then describe the benefits. The more valuable it sounds, the more response you will receive. The more value it has, the more engaging it will be.
Incentives can be different and varied. For example; you can have one for replying, one for replying within 14 days, one for multiple purchases, one for upgrading, trying another product or service or introducing another customer.
You don't always have to give an incentive, it could be something you remove, a reverse stimulus. In some instances this has no cost involved and may work even better. In fact the experience of many advertising professionals suggest it does. For example:
* They have to buy by a certain date, or on a certain daya purchase deadline.
* There are only so many left.
* It's a limited edition.
* It's restricted to certain privileged customers.
Consumers are vary and thoughtful, so be honest about your justification for the stimulus. You will always be rewarded for your honesty. So tell them if it is:
. As an incentive.
. To prompt a product trial.
. Because "it keeps our marketing costs down".
. Because it's an anniversary.
The do's and don'ts of using incentives
Always ensure that your incentive adds value, rather than cheapening the product or service. For this reason remember that discounts rarely make good incentives. In fact studies have shown that increasing prices is often more profitable. Keep your marketing powder dry keep your incentives effective and fresh use them economically.
