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Digital Promotions Increase Brand Awareness

Digital promotions are an effective, low-cost way for marketers to promote their products and increase brand awareness by offering Freemiums to consumers. These incentives can reward people for buying the product ("buy 9 coffee drinks, get your 10th one for free"), can introduce your product to customers ("download a free single from our new cd to see if you like it"), or can even allow you to promote your product to others by giving it away for free ("get free skins for the upcoming Watchmen movie for your iPhone and iPod Touch").

Digital promotions can take a number of different forms, whether it's an online gift certificate to your customers' favorite online or brick-and-mortar retailers, free music downloads from iTunes, or even a real plastic gift card to an online store.

The cost of digital promotions is much lower than the other promotional incentives, because your cost is basically the value of the item you're giving. If you give $10 online gift cards, your cost is $10 per card. This is a welcome change to promotional incentives professionals who would have normally spent a lot of money on graphic design, production and printing, and mailing and distribution.

Whatever form your digital promotions take, it is an effective way to increase awareness for your brand and track sales as well. With a digital promotion like an online gift card, you can track who received your card, when they redeemed it, what product they were interested in (useful if you're giving away several different kinds of music), and even if they purchased the actual product you were selling.

Do you have consumers who redeem your digital promotions, but don't actually purchase anything? You can drop them from your incentive promotions campaign, and find a new batch of potential customers. Then start tracking and dropping until you're only giving your digital incentives to a group of people with a high purchase percentage.

So how can you use digital promotions to gather valuable information about your customers? Not only are you able to track individual customers, but you can ask them for additional information like a working email address (you have to email them the digital promotions cards, right?), what products and brands do they usually buy, and what kinds of products they use.

For example, a music producer has several artists on his record label. He uses a digital promotions campaign to promote his artists and offers a free single from any of his artists. For a user to take advantage of these digital incentives, she has to fill out a survey that tells the producer what kind of music she likes, how much money she spends on music, and where she generally purchases it.

The producer can then aggregate the data from these digital promotions and see that most of his customers are between 18 - 24, like R&B, and purchase their music on iTunes. Now, he knows he needs to find more R&B artists, and promote them on iTunes rather than trying to produce and distribute CDs to various music stores around the country. Without using and tracking his digital promotions, he would never have access to this kind of information.

Now let's take it one step further. Armed with this information, the producer can send out future digital promotions that are individualized to each customer's tastes and preferences, rather than sending out a bunch of generic information and hoping the customers will take the bait. He can create digital promotions that use variable data to customize the offers, so each customer will see the music that he or she likes, and will receive offers that are more likely to be accepted by them.

Let's recap: if done correctly, digital promotions can be a great way to market your product for a lower price than regular promotional incentives, to track customer responses, and to customize further digital incentives, to increase response and purchase rates.

About Author Cyndi Walker :

Promotional Currency (PC) <a href="" target="_blank"></a> is a digital promotions firm that merges digital technology, artist licensing and promotional risk coverage to deliver turnkey, fixed-cost solutions that meet the unique needs and budgets of the brand marketing or b2b marketing client. Among product offered are: unique customer loyalty programs, promotional incentives, online promotions and mobile promotions.

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Article Added on Sunday, September 20, 2009
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