Showing posts with label promotion. Show all posts
Showing posts with label promotion. Show all posts

Wednesday, August 11, 2010

Look, Ma, the moon's on sale! Let's buy it!

Allsup's, the convenience store chain local to Texas and New Mexico, is currently offering a promotion called "Pump. Drink. Win."

When customers buy at least eight gallons of gasoline and a twenty-ounce Pepsi product in the same store visit, they receive a game card that gives them the chance to win prizes from any one of a number of brands, including Allsup's, Pepsi, Frito-Lay, Wrigley, Blue Bunny, Jack Links, Kellogg's, Mars, Cadbury, and Tyson.

A promotion like this one is great way to (a) reward customers who purchase gas and Pepsi products at Allsup's stores; (b) motivate customers to purchase Pepsi products over another brand of soft drink - that is, if those customers have no strong preference for one brand over another; and/or (c) motivate customers to purchase a full tank of gas at Allsup's, rather than just a few gallons at a time.

This promotion is meant for those customers who would normally (or who might) buy gasoline and a drink during the same stop at the gas station.

Now, when I stop for gasoline and sees a promotion like this one at the gas pump, I have to avoid the temptation to go inside and buy a bottle of Diet Pepsi just for the sake of getting a game card. I don't normally buy soft drinks when I stop for gas, and I don't need to get soft drinks when I stop for gas. I wouldn't even have really wanted to get a soft drink at the gas station if I hadn't seen the poster. And if I had bought a soft drink and gotten the game card, I wouldn't have really been interested in drinking the soda anyway.

As a consumer, I have to remember that the fact that an item is on sale is not enough reason for me to buy it. As a consumer, I should buy on-sale products when those are products that I needed anyway. Just because the moon is on sale, does not mean that I need to buy the moon.

As marketers, our promotions are meant to provide a product to consumers who needed that product (or a similar one) to begin with. We do not market to convince people to buy products they don't need.

Thursday, December 3, 2009

Selling Products? or Experiences?

Are you in the business of selling a product, or selling an experience?

Let's take cupcakes as an example. A company could see themselves as a seller of cupcakes. They could choose which flavor(s) to sell - vanilla, chocolate, or a combination of flavors and icings and decorations. They could choose a price for their cupcakes. They could choose their delivery method - in a storefront, to grocery stores, or as an online retailer? As individual cupcakes, or packaged together? Then they could choose to promote their brand: "we sell cupcakes."

Or, a company could approach their cupcake business like Cupdates does.

Cupdates is "a cupcake delivery and catering business, serving the Hampton Roads [Virginia] area," according to the Cupdates Facebook fan page. But they aren't in the business of selling cupcakes. They are in the business of selling cupdates - "sweet and memorable experience[s] that [are] created when two or more people gather together to share in the delight of eating a beautiful and delicious gourmet cupcake." (again, from their Facebook fan page and their website.)

What is the difference?

Most cupcake purveyors think that they are selling cupcakes to customers who want cupcakes.

But most customers don't want to eat cupcakes just any old time, and most customers don't want to eat cupcakes alone.

They want cupcakes as a treat - as part of a joyous occasion. Cupcakes are most delightful when they are shared with friends and family in celebration of a birthday, or holiday, or party, or event.

And so, Cupdates doesn't sell cupcakes. They sell something more compelling and valuable for customers - they sell the experience of enjoying, with friends, the delightful creativity and wonderful deliciousness of a gourmet cupcake.

It is as the saying goes, "a person doesn't want a drill; he wants a hole."

When a company shifts perspective from selling drills to selling holes - or from selling cupcakes to selling sweet experiences - it becomes more able to solve the customer's real need, and enjoys more flexibility in the way it meets that need. The company also takes on another level of responsibility. When you sell experiences, you are no longer responsible for just the product. You are responsible for the delivery, the customer service, the life of product. You are answerable for the solution to the customer's problem, not just for a product you provide.

What might have happened to American railroad companies if they had seen themselves as in the business of transporting people, rather than the business of running trains?

What will happen to Cupdates as they see themselves as selling "sweet and memorable experiences," rather than selling cupcakes?

And what would happen to your organization if you begin to see yourselves as providing experiences, rather than providing products?

Monday, August 3, 2009

DQ: One simple sign, one brilliant marketing tactic

When I see great marketing, I must give credit where credit is due. Today, I give credit to, of all places, my local Dairy Queen.

This haven of frozen-treat goodness has a long way to go on the customer experience side of things. While Dairy Queen serves good food (or at least good soft serve), I am often hesitant to visit my local DQ. The store, despite a recent facelift, always seems a little dingy to me. And ordering hot food there sets the buyer up for an unreasonably long wait. (I only made that mistake twice.)

Oh, but do I love DQ's Blizzards.

And this particular local Dairy Queen uses one simple tool to continually remind me of my love for their heavenly blend of soft serve and toppings: a sign. A simple marquee in front of their building.

The marquee only ever announces one thing: the Blizzard of the Month. I have to pass by it every day on my way to and from town. The marquee reminds me of my craving.

You see, this Blizzard of the Month is an ingenious thing. It's really nothing special; each month's flavor is really available all the time. And the Blizzard of the Month costs exactly the same price as every other flavor that month. But the mere fact that I read, say, "Caramel Brownie Sundae" as the Blizzard of the Month on that little marquee, stirs something in my mind. "Mmm. That sounds good. I want to try that," I think to myself. And I begin to think of ways that I can rationalize buying myself a Blizzard.

The crazy thing is that if "Caramel Brownie Sundae" were not featured on that marquee, I wouldn't even consider it if I walked into a Dairy Queen of my own volition to buy a Blizzard. Instead I would go with one of my two favorites: Chocolate Chip Cookie Dough or Strawberry Cheesequake. But because "Caramel Brownie Sundae" is the Blizzard of the Month, I want to try it.

Coffee shops do the same thing - they will feature a "Raspberry White Chocolate Mocha" or a "Pumpkin Spice Latte" as a special seasonal drink. But really, a person can order those drinks any time of the year, and at no difference in price. Yet seeing that flavor as a featured pick stirs something in our psyche, and we want to try it.

Can you use this to help your business? Can your company feature a different product every month? week? day? You don't even necessarily have to create any special variations or discounts or promotions. Just draw attention to something of value that you already offer. Maybe a little sign is all you need.