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promotion-incentives

How to Choose Incentives to Dramatically Boost your Promotion Results

‘People respond to incentives’ – These four words have been spoken by every major economist that has ever lived. The concept of using incentives to motivate a certain action or behaviour has been around since time began. It has been a major cornerstone of many fields of study, as well as one of the most important elements that we use when devising a successful promotion. In this blog we explore how to choose incentives to dramatically boost your promotion results.

 

What is a Promotion Incentive?

An incentive is essentially the ‘prize’ the user has a chance of winning by entering your promotion (another way to think about incentives is the ‘carrot on the stick’ you use to get your audience to do whatever you want them to do). It’s important to remember every promotion is a value exchange between you and your audience:

  • Your business needs the user to perform some type of desired action in order for your promotion to achieve its objective.
  • On the flip side, the user will only perform the desired action because they believe there is enough value in doing so.

 

How to Choose a Promotion Incentive

Choosing the right incentive actually requires that you do the proper preparation for your promotion first. This includes understanding your objectives and target audience, as well how much of a ’barrier to entry’ there is to entering your promotion (discussed in our last blog about promotional mechanics). With that in mind we have included some concepts below to help make the process of choosing your promotion incentives a lot more clearer.

 

Freedom of Choice – The Allure of Cash

‘Cash is king’ and much more desired over types of class promotional prizes such as trips, cars and tickets to special events. What is the reason for this? Simple, cash gives freedom of choice which is a hugely influential factor.

 

Human beings are a broad bunch of people, and if the holiday or car offered in a promotion is not the ideal prize for a particular user the chances of them entering will diminish.

 

Does this mean you should only use cash for promotions? Well no, while this is an important concept to consider when your promotion is aimed at a broad audience it is not always the superior option.

 

Relevance is Key – Reflect your Brand and Target Market

Cash can be a very powerful incentive, especially when your promotion is aimed at the masses, however, the majority of brands do have a well-defined target market. Therefore the best prize is going to one that complements your brand and appeals to your target customer.

 

Remember the objective of your promotion to attract people who will be interested in your brand. If you appeal to the wrong target market you won’t attract the right kind of people. Therefore think like your target customer, understand their needs, wants and desires, and choose an incentive that they won’t be able to resist.

 

Once you can understand this concept you could use a range of different products or experiences as your promotion incentive to great effect. For example, if your brand is sporting related then tickets to a major sporting event or grand final would be highly motivating to any sporting fanatic. If your brand is fashion related then a new season wardrobe or tickets to fashion week would be an irresistible incentive to any fashionista.

 

Perceived Chance of Winning

Every promotion needs a major prize, it’s the lure we use to attract people to enter our promotion. However contrary to popular belief they are not the be all end all to what drives people to enter. Even if your major prize is great it still may not be motivating enough to get consumers to participate if they perceive their chances of winning are remote.

 

How to do you counteract this? Simple, offer multiple smaller prizes instead. Consumers are more likely to enter a promotion that has multiple smaller prizes on offer than one major prize simply because they believe they have a higher chance of winning.

 

One again these smaller prizes need to be on brand and suited to your target market. For example, if your target customer loves skincare products, a high chance of winning a small but desirable skin care relevant prize could win their affections over the slim chance to win a bigger generic prize.

 

Note: Instant Win mechanics are great for promotions when you have multiple smaller prizes on offer. They not only appeal to the consumers chance of winning but appeals to their desire for instant gratification.

 

Some Final Tips on Choosing Incentives

You may now be asking yourself what is the better incentive to use for my promotion? One (or a few) major prizes, or, multiple smaller prizes? Well, why not use both, using a major prize combined with multiple smaller is a great way to appeal to customers from multiple angles, and ensure a high opt-in rate for your next promotion.   

promotion mechanics - toy robots

How to Choose Promotion Mechanics that Drive Conversions

Over the last few weeks Peazie has been educating our audience on what are some of the most important elements used to devise a successful promotion, some of these elements have included mechanics, incentives and creative concepts. While you can argue that all the elements work hand in hand to create a successful promotion we believe there is still some value in examining them individually. So without further ado we present -How to Choose Promotion Mechanics that Drive Conversions.

 

What is a Promotion Mechanic?

Put simply the mechanic is the ‘tool’ or ‘method’ you require a person to use to be able to enter your promotion. For example, the ‘Image Upload Mechanic’ (suitable for a brand engagement campaign) requires your audience to upload a photo to your promotion page (or social channel) in order to be allowed to enter.

 

How to Choose a Promotion Mechanic

There are many different types of mechanics you could choose for your promotion. To understand which one to use it is important to understand the characteristics of each mechanic, what is the objective of your promotion, and what action you require from your audience. We have provided a graph below to help better visualise how to choose a promotion mechanic.
Promotion Mechanic Matrix

Objective

Taking a step back and looking at the big picture you need to ask yourself “What is the reason I am doing the promotion in the first place?” My guess is you are trying to achieve some type of marketing objective. Objectives correspond with each part of the marketing funnel from database growth, to engagement, to sales.

 

Action Required

To accomplish the marketing objective of your promotion will require your audience to complete some type of action. For example, if your objective is database growth then the action you require from your audience is to provide some type of personal details such as an email.

 

Barrier to Entry

This relates to how much effort is required on behalf of your audience to complete the action needed for the promotion. For example, if the only action you require from your audience is to provide an email then your promotion would have a low barrier to entry, which in turn would result in a higher volume of entries. If the action you require involves more effort such as your audience actually going into a store to purchase a product, then this type of promotion would have a higher barrier to entry.

 

Mechanic Type

The above factors will give you a good understanding of how to structure your promotion, this in turn will influence what type of mechanic you use. The type of mechanics can be broken into three broad classifications:

  • Chance Based Mechanics: These require the user to only enter their details for a chance to win the promotion, but requires no further effort than this. An example would be an Instant Win Mechanic where the users enter their details and they instantly find out if they have won a prize (Low Barrier = Higher Volume).
  • Skill Based Mechanics: These require some type of active engagement on behalf of the user to be able to win the promotion, however the effort is related to getting them to actively engage with your campaign. An example would be an Image Upload Mechanic where the user uploads a unique photo to be able to enter the promotion, and therefore the prize winner will be judged by skill, and not by chance (Medium Barrier = Medium Volume).
  • Behavioural Mechanics: These require the user to enter their details, redeem some type of coupon or voucher, then complete the action required of the promotion. An example would be a Digital Coupon where the user presents the coupon in-store to purchase a product, usually at a discount (High Barrier = Lower Volume).

 

Some Extra Tips on Choosing Promotion Mechanics

By now you should have a better understanding of what mechanics are, the different types, and how they can be used in your promotions depending on what your objective is. However please note this has just been an overview, there are many complexities to understanding how to choose mechanics, such as how to use different mechanics in the same promotion in order to drive maximum results.

 

We have discussed how a promotion with a low barrier to entry will receive more entries than a promotion with a high barrier (and vice versa). However, keep in mind that promotions with a higher barrier are trying to achieve a higher value objective (eg. sales).

 

Another thing to remember about when choosing mechanics is they are directly related to the incentive on offer. This is because your audience will enter your promotion based on their perceived value of it which is made up of both the:

  • Ease of entry (i.e. mechanic), and the…
  • Value of the prize (i.e. incentive).

Therefore a promotion with a high barrier can still be very successful when paired with a high-value incentive. In our next article will educate you on how to choose the right incentives in order to get the most from your promotion.

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The 6 Step Guide to Devising Your Promotion: PART 2

Welcome to our Part 2 of our ‘6 Step Guide to Devising Your Promotion’. In our previous article, we discussed the first three steps that included (1) campaign objectives, (2) campaign dates, and (3) incentives, now let’s get right into by discussing the next three steps. By the end of this article you will be well on your way to devising your own perfect promotion.

 

Step 4. Mechanics

The mechanic is the method that you will use to allow consumers to enter your promotion. There are dozens, if not hundreds of mechanics you could use. Some classic promotion mechanics that you may have seen both from online promotions as well as in-store include ‘Enter to Wins’ or ‘Instant Wins’.

 

When choosing what mechanic to select for your promotion make sure to choose one that aligns with the marketing objective you are trying to achieve, for example:

  • Database Growth Mechanics: The objective here is to get the user’s details such as name and email into your database. There is a broad range of mechanics that could work with this objective as most promotions require the consumer to enter their details, just make sure the incentive is motivating enough.
  • Brand Engagement Mechanics: One of the most popular ways to create brand engagement is on social media. Therefore mechanics such as a ‘#hashtag upload’ or an ‘image upload’ promotion are perfect for this. Peazie’s ‘canvas tool mechanics’ that allow for interactive promotions are great for this as well.
  • Sales Mechanics: When trying to push someone in-store a good type of mechanic to use is some type of ‘digital coupon’ mechanic. It should offer some type of free trial or discount and should be able to be tracked so you can assign attribution.

 

Step 5. Campaign Design and Creative

Once you have planned all the objectives and elements of your promotion it is now time to design it. When designing your promotion it’s imperative that you use a good graphic designer. Having great visual elements that are on par with your brand makes all the difference when grabbing the attention of the consumer.

          

While the campaign visuals are extremely important the magic is in the copy. Make sure your promotion clearly communicates the following to the consumer:

  • WIIFI – What’s In It For Me? (The Incentive)
  • Who is the brand giving this prize away (Your Company)
  • How to enter the promotion (The Mechanic)

The more clearly you communicate the above 3 points the higher your conversions will be.

 

Step 6. Promotion Traffic

Everybody has heard the saying ‘build it and they will come’. Well, that’s not true in the online world. Once you build your promotion, you must send traffic to it or else no one will know about it. There are many different options to chose from when deciding the best way to send traffic to your promotion, here are some of the most effective ways:                         

  • Social: Do you have a large social following on Facebook? How about Instagram? Spread the word through your social channels.
  • Paid Social: Social is great, but engagement can sometimes be low. However using paid social options, especially Facebook Advertising provides plenty of opportunities to advertise to a highly targeted audience.
  • EDM: Do you have an existing database or email list? Then emailing your existing contacts about your promotion is a great way to target interested consumers.
  • Influencer Marketing: The appears to be the new buzz word at the moment, however, it can produce great results (especially if you’re targeting a younger demographic). Getting an ‘influencer’ to spread the word with their followers to enter your promotion can result in huge traffic to your campaign (Keep in mind usually you might need to find a way to incentivise an influencer to do this for you).
  • Partnerships: This is one of our favourites here at Peazie. Find a partner company that has a similar demographic and do a joint promotion together. This enables you to share the costs and leverage each other’s audience.
  • Traditional: Depending on the budget you have you could benefit from using traditional forms of advertising such as radio and billboards. This works best if your promotion has mass appeal.

 

Final Notes

Well there you have it, the 6 steps to devise a successful promotion campaign. Implement these right and you will be well on your way to achieving your marketing objectives.

 

Of course there is a lot more that goes in devising a promotion, such as the legal and permits side. Also knowing how to select the right mechanic and incentive is a science in itself. That’s the whole reason why Peazie created a custom platform to run its promotions through. Apart from being able to dramatically increase the time it takes to implement a campaign, we now have a database of thousands of campaigns where every element of the promotion has been tracked. We built a tool to query the campaign data to inform us of what types of mechanics, incentives and other elements to use to design the perfect promotion no matter what the marketing objective and situation may be.

 

We hope you found the tips in this blog to be helpful. If you need help to create you own highly successful promotion make sure to get in touch.

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The 6 Step Guide to Devising Your Promotion: PART 1

If you have read any of Peazie’s latest blogs you would definitely be starting to understand the huge benefits of running promotion campaigns, and how they can be one of the most effective ways for any organisation to achieve their high-level marketing objectives. For all the converts out there who do understand the power of promotions but are just a little lost in how to get started this blog is dedicated to you. We present the 6 step guide to devising a successful promotion (Part 1).

 

Step 1. Campaign Objectives

A promotion, like any good marketing campaign, starts with understanding your objectives. What is your business trying to achieve from doing a promotion? Here are some typical marketing objectives to help you decide:

  • Database Acquisition: Building your ‘owned’ audience is one of the smartest and high leverage activities a company can do. It gives you access to a list of subscribers who you know are interested in your business as they voluntarily opted into receiving messages from you.
  • Brand Engagement: In today’s media landscape getting consumers to engage with your brand is harder than ever. If your brand engagement is at an all-time low the right promotion could re-ignite that emotional attachment you want your customers to have with your brand.
  • Online and Offline Sales: Sales is usually one of the most important objectives for any organisation because at the end of the day this is what drives profits. Promotions can be effective for both online and offline sales.

 

Step 2. Campaign Dates

Choosing a date for your promotion may seem obvious, however carefully planning when all the major milestones will be for each stage of the promotion is extremely important to setting clear timelines for you (and your team), as well as making sure the promotion runs smoothly.

 

Important dates to set in advance to create your timeline include:

  • Start Date
  • End Date
  • Prize Draw Dates

 

Depending on what your marketing objective is your promotion may need to coincide with a certain holiday period, special event, or maybe a product launch, therefore make sure to take this into consideration when planning your promotion timeline dates.

 

Step 3. Incentives (Prizes)

Without the right incentive consumers will not be motivated enough to enter your promotion. Remember it’s a value exchange between what you want (eg. an email address for your database) and what the consumer wants (e.g. a prize). Here are some considerations to keeping in mind when deciding your promotion incentives:

  • What is your major prize going to be? Every promotion needs a prize that is highly relevant and compelling to your target audience. The prize should also align to your overall brand offering. For example, if your audience is ‘youth-oriented music fans’ the perfect prize could be ‘2 tickets to an exclusive music festival’.
  • What are your minor prizes? Minor prizes aren’t something that everyone decides to add to their promotion, but most times it’s something they should be doing. Everyone loves a great major prize, but what else everyone loves is the feeling they have a high chance to win something. How do you achieve this? Supplement your major prize with multiple minor prizes, giving users a higher chance to win. Perfect prizes could include giveaways of your product or service.
  • Prize Distribution? This one goes back to campaign planning. Make sure you decide in advance how you are going to distribute your prizes (eg. Post, Email). Organising distribution in advance ensures happy consumers as everyone gets their prizes in a timely manner.

 

Well there you have it, Part 1 of our ‘6 Step Guide to Devising Your Promotion’. We look forward to seeing you next time next time where we will go through the final three steps.

Two young businessmen sit at their office computer desk with pen in hand and express new business ideas on paper. They are forgetting many tasks for their business operations, and the wall behind them is covered in blank sticky notes. They are wearing a suit and tie and glasses, and blank sticky notes on them.

The Marketing Case for why Businesses should be doing Promotions

In our previous article, we discussed the different elements that influence a consumer to enter a promotion. These are the mechanic, the incentive, and the creative concept. In this article we will discuss how crafting a promotion campaign (with attention paid to these specific elements) can be the single most important activity a business can do to achieve their marketing objectives.

 

Let’s take a look at some of the hard hitting marketing objectives that businesses need to achieve in order to continually to grow and thrive:

 

Each of these goals requires an action on behalf of the user. To get them to perform these actions requires them to be motivated, and/or receive some type of reward or value for doing so.

 

Creating a promotional landing page that incorporates the following elements makes it possible to get consumers to perform any action you want them to:

  • Mechanics match the campaign goals and are easy to use,
  • Incentives that are relevant, provide value, and are attainable, and
  • Creative Concepts that resonate and inspire action.

 

Why Promotions are needed in today’s Marketing Environment

Any marketer understands the difficulties of standing out from all the ‘noise’ in consumer advertising today, and how imperative it is to break through. There are many different types of marketing activities that can be used, and they each come with their own set of challenges:

 

  • Social Media is effectively free, however engagement is at an all-time low, as there are simply too many brands vying for attention, and only so much content a user can consume.
  • Digital Advertising (PPC) can be an effective way to guarantee your message gets in front of consumers. However it can be extremely expensive and difficult to convert.
  • Outdoor Advertising has always been a cornerstone of marketing, however measuring it’s effective and the results it drives has always been difficult to track.  

 

How Promotions can achieve Marketing Objectives

The solution to achieving your businesses marketing objectives is to use promotion and competition landing pages that are creative and data-driven, and use conversion-design driven principles.

 

The other marketing tactics that we discussed previously (ie. social, PPC, outdoor etc.) are not replaced by promotions but are used in a more effective way. These channels are used to send traffic to what works, and that is a page that is designed to convert the user and achieve the marketing objectives of the organisation.

 

‘Pandora in the Grass’ Promotion Campaign

To better understand how elements of a promotion can be crafted to achieve any marketing objective, it might be easier to look at an example of Peazie’s ‘Pandora in the Grass’ promotion campaign.

 

pandora_showcase_cropped

  • Objective: The internet radio service Pandora needed to grow its database (Note: Ad revenue is dependent on the size of an audience) and increase brand awareness to its younger demographic.
  • Incentive: 2 X tickets were on offer to the sold out ‘Splendour in the Grass’ music festival – A prize that was highly coveted by the younger demographic that Pandora was targeting.
  • Mechanic: The ‘Buddy Builder’ mechanic was used, a custom mechanic created by Peazie that requires a users to nominate a friend, and then for that friend to validate that entry for the pair to be entered (Note: This is a very powerful mechanic as it has the potential to double the amount of entries).
  • Creative Concept: The creative incorporated the fun and eclectic design elements of the ‘Splendour in the Grass’ brand with copywriting to match.
  • Why it Worked: This campaign lead to an on-page conversion rate of 66%. Usually a simple mechanic that requires less effort on behalf of the user works best, however understanding your target market, and incorporating the right incentives and creative leads to amplified results.

 

Of course there is more that goes into crafting a campaign (You can read more about our case studies here) however an understanding of the basics can make crafting a promotion more clear.  

 

How your Business can craft the perfect Promotion

How can a business like yours learn to create the perfect promotion? You start off researching your target market, understand what influences and motivate them. You can then craft different promotion concepts, testing out different mechanics, incentives and creatives (Making sure they always align to your overall marketing objectives). You can track and measure all the elements, see what contributes to the success of the promotion, see what doesn’t, and then use these learnings next time round.

 

However are looking for a better, quicker and more effective solution? Talk to Peazie, we have executed thousands of campaigns, and we have collected data on each and every one of them. We craft promotion campaigns based on the ‘science’ or data of what works. We have a huge database that we can query, it allows us to identify what are most effective elements to use for any nominated marketing objective. Make sure to get in touch, we would love to have a chat.

event marketing

How to use Event Marketing to Explode your Lead Generation results

Ask any marketer what the most important marketing objective they need to deliver for their organisation, and up on top of the majority of lists would be effective Lead Generation. There is a multitude of marketing tactics we can use for lead generation (at Peazie we should know, we created a platform to deliver the most innovative and effective conversion campaigns). However sometimes in marketing, especially for those us in the B2B space, you just can’t beat the personal effect you get from Event Marketing.     

 

What is Event Marketing?

Event Marketing is the process of developing an exhibit or display (eg. trade show), or presentation/speaking event, or a combination of both as a way for a business to promote their service, product or organisation. Event Marketing is super powerful as it allows a business to leverage in-person engagement.

 

How Does Event Marketing Work?

Events usually have participants, a host, and sponsors. As explained below each play an essential role in the execution of the event:

  • Participants or attendees are ideally the final consumers of the product or service that is being promoted through the event. Attendees to an event can be:
    • Individuals making a purchase for themselves (B2C), or
    • Representatives of a company making a purchase on behalf of the business (B2B).
  • Hosts can be defined as the owner of the organiser of the venue. You can host or attend an industry event with a third party host.
  • Sponsors can vary depending on the type of business event you are attending:
    • Trades Shows Sponsors are the companies that bring a product to sell and help to pay the expenses of the event.
    • Presentation/Speaking Event Sponsors pay to be featured in the promotional material, event banners and are usually mentioned by the organisers to the attendees sometime during the event.  

 

If you are hosting the event, you will likely be a sponsor, but you can also solicit other sponsors and limit attendance only to companies who choose to help with your budget. We actually did this ourselves last year when we sponsored and presented at ‘Perfecting your Promotion’, a fantastic event held by our friends at Plexus.

 

Why is Event Marketing Such a Powerful Tactic for B2B Lead Generation?

Event Marketing is the is the bread and butter of the startup or growing B2B-based company. The more that you get in the field, the better your sales will be. Most B2B reps like to create a personal connection to ensure the longevity of a relationship before committing.

 

Each type of event has different strengths as to why they are so powerful for lead generation:

 

Trades Shows:

  • At Trades Shows businesses send representatives to events for the express purpose of meeting good partners – there is usually no such thing as a window shopper at events that cost money to attend.
  • You also have a chance to really spread your message far and wide. Big banners, loud displays and expansive promo efforts work well at trade shows.

 

Presentation/Speaking Events:

  • At Presentation/Speaking Events if you happen to be one of the presenters you have the amazing opportunity to have the whole room of people attention focused on you. (Make sure to provide lots of value with your time on stage, and NOT be too salesy)
  • If you are not a presenter there are still plenty of lead generation opportunities open to you at these types of events. You can sponsor the event which is a great way to get your brand’s name out.
  • Make sure to take advantage of the networking opportunities. Networking is key, make sure to talk to the person sitting next to you, talk to people between breaks, and also make sure to mingle at the after event drinks.

 

At these events make sure you have a plan of how you are going to collect your leads contact information. Are you going to give away a free trial or sample of your product or service? Maybe you can give away a small gift, or give people the opportunity to win a major prize. Remember in order to receive a leads contact details like a name, phone or email you need to offer value in return.    

 

What Goals Should Your Event Marketing Strategy Have?

You are likely spending money when you engage in event marketing. Your number one priority should be extracting a return from the experience. Set a budget and an expected return, and stick to your plan so that you will have the best chance of meeting your ROI.

 

ROI does not have to be revenue generation; as a matter of fact, redefining ROI as a certain level of lead generation is usually a better strategy. Bigger sales usually have a longer sales funnel.

 

In summary, event marketing is great for lead generation as it allows you to gain clients more quickly, and you create a more personalised relationship. Not only that, but you end up spending less money generating leads because you can focus on business reps who are showing real interest instead of waiting on clickthroughs. Nurtured right these leads can turn into long-lasting relationships.

 

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Campaign Tracking: What it is & How to use it

What is Campaign Tracking?

The modern methodology of campaign tracking goes back to a company named Urchin Software Corporation, a data management company that was acquired by Google in the year 2005. Urchin created the standard known as the UTM, or the Urchin tracking module. This tracking module sets today’s standard for campaign tracking, which is the organization of relevant data that comes from your social media pages and other promotional efforts.

Campaign tracking can take on any form that you wish depending on the key performance metrics that you set. If you are looking for the answer for how to increase company revenue, you will track a particular set of data. If your goal is conversions or impressions, the campaign of data that you track will be different.

Basically, you are putting eyes on the money that marketing says that you should spend. R&D and IT might have a point – those guys DO get carte blanche to say anything they want. No more! The data never lies.

 

How Do You Use Campaign Tracking?

Use campaign tracking to quantify your assumptions about how your key performance metrics are being met or not met. For instance, if you are trying to find out which social media network deserves more of your marketing dollars over the new quarter, then you should probably determine the network that drives the most traffic to your landing page. The secret is to focus your efforts on the data that is most relevant to the goal that you are trying to achieve.

Use tracking for bragging rights. If your marketing guys get into a friendly competition about who gives the best predictive analysis reports, bet on the next data tracking campaign – loser has to set up every report in Excel for the next month!

 

Why Use Campaign Tracking?

Not only does campaign tracking give you a benchmark for future predictions that are based in data, but you also give yourself a more effective platform on which to move in your current business efforts. When you are trying to sell a business, your tracking will come into question. Investors are just as interested in how you gather your data as they are in the data itself. Each channel that you are comparing can have its ROI tracked, so you can compare apples to apples for whatever metric you are trying to find.

Tracking solves arguments. Forget about office politics – take it to the spreadsheets. Data will shorten the time that your people spend talking about empty strategy and move people towards a singular goal, one that is agreed upon by the dispassionate computer. Save the emotions for the happy hour bar!

 

When Should You Use Campaign Tracking?

In short, use tracking whenever you can. It always costs a company less to analyse data than it does to play trial and error with marketing and development strategies. “A stitch in time saves nine,” as Aesop might say, meaning that “an ounce of preparation is worth a pound of cure.” Yes, it is bad form to define one pithy, taboo quote with another pithy, taboo quote, but you get the point.

Peazie is fast becoming an industry choice for promotional campaigns because of its ability to quantify analysis through quality campaign tracking. We organise campaign tracking for each promotion and competition we create. We manage the campaigns from end-to-end and advise how to optimise your traffic during the campaign to ensure the best quality leads, and highest amount of leads.