1. Free Stuff Create a Buzz
In the modern world, news travels fast. Within a short period of time, people start sharing information about your free samples on social media platforms like Twitter and Facebook. It is not unlikely to see people making plans to get to the giveaway before the actual day. Everyone loves freebies, and that’s the bottom-line. Plus, if they get a recommendation from a friend, they are willing to pay more. That’s how powerful social media can be.
2. Get People To Try Your Product Without Any Risk
This usually applies if you want to introduce the world to a unique product. If it’s something they have never tried before, people will be reluctant to pay for it. Making it free gives your product exposure to potential customers. That’s why most businesses like gyms, ballet classes, and yoga studios offer one-day free access to would-be customers. The whole idea is that once people try and love it, they will likely come back for more, and recommend it to others.
3. It’s a Way to Hook Your Customers
Once customers get to your business, chances are that they’ll buy not just the free stuff, but other items as well. That’s why some restaurants have days when they offer free meals to kids. They know that kids don’t come alone but with their parents. Since the meal of a kid does not cost much, it is negligible compared to what the parents will pay for theirs.
4. Customer Are More Tolerant If There’s Something Free
For a new business still going through hoops setting everything up, freebies might make the difference between customers leaving in a huff, and waiting patiently as your employees bump around. People are more tolerant if they know they have something free to gain. The key is not to overdo it as some customers might leave and spread the world about your horrible service.
5. Positive Brand Association
Getting something for free is a wonderful experience. It brightens people’s days and if you can manage to incite such feelings in them, they will look at your brand in a more positive light. Whenever they see your brand, they’ll associate it with happy feelings.
Sometimes, it may not even be about the cost of the free stuff. For example, getting a free appetizer will be more appreciated than getting say, 15% off an expensive meal. The dollar amount off the meal might be more than the appetizer, but the completely free item will give the customer more positive feelings.
6. Helps Build a Buying Habit
Whenever a customer gets a free sample and likes it, they’ll most likely go all the way and try out your business. Once they have, you can expect them to come back again and again if the experience is positive. Experience has shown that getting a new customer is more difficult than maintain a new one. That’s because a habit has already been established and they’re comfortable with it.
One of the hardest parts of running a business is generating traffic, whether it’s a website or a brick and motor business. Once your location is on their map, you will secure more business from them.