- Remember the prize inside the cereal box?
- How many McDonald’s Happy Meal have parents purchased just to get the twenty-five cent plastic toy it comes with for the children?
- Infomercials shout “the retail price is $49.95 but during this special TV offer you can buy for just $19.95 and IF you order within the next ten minutes, they we will double the order for free… just pay shipping and handling”
Apple released its iPad2 tablet at a price point of $499; Amazon released the Kindle Fire for $199 and immediately captured approximately 20% of the tablet market. Amazon sold the Kindle Fire at a loss, have the lost their mind? No! Amazon understands the lifetime value of a customer!
You can create these same type of compelling offers for your business!
There are basically three types of Compelling Incentives:
- Free Trials
- Free Information
- Value added bonus
Free trials are used to accomplish two major objectives; recruit new customers and introduce new products or services to your existing customers
Free information is used to gather contact information from potential new clients and get back in front of your current or past clients.
Value added bonuses or “bolt ons” as I like to call them; are products or services that you can add on to sale to provide additional value and customer loyalty.
All of these are used with the goal of creating a life long customer.