It’s peak time again for marketing in Australia, as brands seek to stand out in the Summer. Consumer competitions are one way to do this. I am involved in hundreds of competitions every year and see some great examples.
Competitions are effective for many types of businesses. Just last week, we worked on competitions conducted by charities, clothing brands and hotels. We also had the pleasure of working on a competition connected to Sir Richard Branson.
Here are four tips for running successful competitions:
1. Many and often- Competitions can give consumers a sense of excitement. Running competitions regularly associates your band with that feeling. For example, running regular competitions on Facebook will encourage consumers to keep checking back in, to see what they can win and to see if they have won. There is a specific type of licence which can be useful for this strategy, called a blanket permit, allowing a business to run as many competitions as they like.
2. Keep entry simple- I am often involved in competitions from start to finish, and as a result, see the number of entries received. There is a direct correlation between the ease of entry and the number of entries received. Whilst this may sound obvious, too many competitions ask you to enter online and then share your entry on Facebook and then purchase a product and then share again. Resist the temptation to overexploit the potential of a competition.
3. Keep it interesting- Prizes and the method of entry need to be designed for your intended audience. Whoever your audience, there will always be a positive response to simple gamification type tricks, like awarding bonus entries (so long as the bonus entries are not too hard to gain.
4. Keep it proportional- Larger cash prizes do not necessarily result in a greater number of entries. Essentially, a competition is a trade between the chance to win (given by you to the consumer) and the disclosure of personal information or the purchase of a product by the consumer. The trade should be a fair trade. Just as important as a prize pool is an entrant’s perception of their chance of winning. There won’t be much of a difference in terms of how many entries you receive if you give away $10k vs $20k. If you are planning to run a massive competition, consider Prize Insurance, which gives entrants you draw the chance to win an amount such as $100k or $1 Million- the cost of such promotions is much lower than you might think.
For competition ideas, info on the requirements or competition permits, send me an email to info @permitzgroup.com or call me on 0406 509 198