Came across the following item in the UK’s “Daily Telegraph – “Threshers relaunches viral voucher promotion”. Threshers is a UK “Off Licence” (a retailer selling alcohol) and has launched a 40% off coupon, following up a previous successful marketing campaign.
The article goes on to talk about the various other companies that have conducted similar campaigns. Indeed there are a number of sites on the internet where various discount vouchers are available.
I was prompted by this article to dip into my copy of “Scientific Advertising” by the great Claude Hopkins. Few marketing tactics are new and I recalled that there was a chapter in the book about “Use Of Samples”. Now discount vouchers aren’t exactly the same (they’re more like a limited sale) but I think what Hopkins had to say has some interesting lessons.
He was an enthusiastic advocate of using samples but with one very clear condition. That was…
“Give samples to interested people only. Give them only to people who exhibit that interest by some effort. Give them only to people to whom you have told your story.”
As with all the principles that Hopkins laid out, this was based on experience in the field and testing. In this case, Hopkins had worked on a campaign for a cereal company promoting “Puffed Grains” (see “My Life In Advertising” for more details) where he discovered that the samples themselves did not win many users. They first had to establish an interest or respect for the product.
Now, I wondered how many advertising or marketing executives know about that case? Sure, it was a long time ago but human nature basically doesn’t change. How many times have you seen companies running a campaign to promote their products with free give aways at train stations or similar busy sites? I’m guessing that those campaigns aren’t very effective.
Now, back to the original story about discount vouchers. In the Threshers case and others I’m familiar with, the vouchers have been aimed at existing customers. In some ways this is akin to a “loyalty” program and has much to commend it. However, care needs to be taken that there isn’t leakage to non-customers.
It’s always a good idea to put some sort of condition on these promotions. One of my favourite companies, Lands End, often uses vouchers and usually with the condition that you need to spend over $50 to get the $10 discount or whatever.
So, a useful tactic to keep in the marketing bag of tricks. But keep in mind what Hopkins had to say and beware of devaluing your product.