Complete Guide to Gift With Purchase Programs ...

The main advantage of gift with purchase programs is their ability to spread awareness and drive brand recognition. While shoppers might not be interested in a storewide sale or a limited-time discount, they may find it hard to turn down the chance to get something for free. Brands can get people's attention with marketing phrases like 'free gift with purchase' or 'buy one, get one free', then encourage them to share the promotion with friends and family. They may even capture the interest of audiences who initially had no intention of engaging with them, resulting in more potential leads and eventual customers.

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When done right, gift with purchase promotions can also lead to increases in sales and customer loyalty. Brands often use GWP programs to upsell their products and increase repeat purchases. For example, they can offer gifts for purchases over $30 to tempt customers who have already spent $25. They can ask shoppers to purchase multiples of an item instead of just one. Lastly, they can get consumers to purchase less popular products by offering a free popular product in return. Shoppers are more likely to stick with brands that have a history of free gifts and giveaways, resulting in higher levels of user retention and customer loyalty.

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Lastly, gift with purchase programs can also support a brand's data collection efforts. Data, especially first-party data, informs their business plans and empowers their marketing strategies. Marketers need data to make accurate decisions, reduce assumptions and risks, drive sales and conversions, and improve user experience and customer loyalty. Brands can use gift with purchase programs to gain actionable insights about their customers and their purchasing habits. For example, they might learn that shoppers are more likely to engage if they're asked to buy a certain number of products instead of a specified purchase value. They may discover that consumers are more interested in gift cards than free products. Marketers can then take this information to design future gift with purchase programs and other types of promotions, increasing their efficiency and effectiveness over time.

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