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Business Tip of the Month: Benefits of Free


Think about how you feel when you get something for free. Excited? Interested? Thankful? Then, think about how you want your customers to feel. Free can be a great way to connect with customers, build customer loyalty, generate credibility, and get customers excitedly talking about your brand.

Why Free?
As a business, it can seem counterproductive to give something away for free, but you’ll likely find that free isn’t really free at all. Giving away free items can help you build loyalty and generate happiness with current customers, and in turn, can help you acquire new customers with little effort needed on your part. Giveaways can help get your brand in front of people so you will be on their minds when the time comes that they need your services or products. Free can be a great way to initiate word-of -mouth marketing, increase sales, and spread positivity surrounding your business.

What does free look like?
Free can take on a variety of looks. One we are all familiar with are the pens, t-shirts, stress balls, etc. that businesses put their logos on for giveaways. These can help you get your name in front of customers, keep your services or products top of mind so they will think of you when the time comes that they need you, and initiate word-of-mouth marketing between current customers and potential customers. Free can also look like the freemium model of business that allows customers to use part of your services for free and requires a paid subscription to use the full service. These offerings are great for building credibility and the free essentially promotes the paid. Another option, among others, is giving customers something for free when they sign a contract with you, allowing you to begin building customer loyalty. Referral credit is another way to generate new business with little effort needed on your end. Free can be as simple as free shipping with a purchase of so much value.

What promos are best?
When selecting what to give for free, there are a variety of considerations. Try to choose something that customers may not buy themselves but will use regularly in their everyday lives. Pick something that will be in front of them a lot, so they won’t forget you. Be sure to pick promos of decent quality, or you may risk creating a negative brand perception due to poor-quality giveaways. Consider finding industry -specific giveaways or if there is an item you could giveaway instead of a business card that would help you stand out. No matter what you choose, most importantly, make sure your giveaway clearly lets customers know who you are.

This article was published in the Venango Chamber’s October 2023 VenangoWorks! Newsletter.

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