What is an added value promotion
An added value promotion is based on the principle that there is no surrender of price, revenue or margin. The value of a product or service is maintained in this way. In this type of promotion, extra value is added to a product by means of an incentive with a high experiential value, hence the name added value promotion. As the name suggests, an added value promotion adds value to a product. This is usually done by means of an incentive with a high experiential value for the recipient. The investment required is relatively low compared to other forms of promotion. Therefore, this type of promotion can significantly improve the Return On Investment (ROI).
The value of a product or serviceNowadays there are many promotional tools to stimulate sales. Promotional discounts are often used to reduce the price of a product or service. In the short term, this gives sales an immediate boost. In the long term, however, this type of promotion reduces the value and price perception of a product or service. It loses in prestige. Instead of compromising on price and margin, you can also choose to add value by means of an added value promotion. In this type of promotion, an incentive is added with a high experiential value and relevance to the target group. Choosing the right incentive can be tricky. The product to be given away, the gift, should:
- Be relevant to the target group;
- Have a high experiential value;
- Be suitable for long-term and repeated use.
For example, Touch’s benefit cards have a consumer value of €39.95. Thanks to this high experiential value, the recipient really experiences it as a gift. This makes them willing to pay ‘more’ for a product or service and thus the price-quality ratio is maintained. In addition, these products can be used repeatedly for a period of 3 months to a year. In this way, each time the incentive is used, a positive association is added to the brand that issued this product. This keeps a brand top of mind for a long time. This creates a brand preference and thus repeat purchases are unconsciously encouraged.
“an added value promotion can significantly improve the Return On Investment (ROI)”
the investmentFor the publisher, advantageous b2b conditions apply in most cases. These types of promotional products are usually available for a relatively low investment. This does, of course, depend on your own wishes and the predetermined goals for the campaign. Would you like to know more about the possibilities of an added value promotion? Then contact us without engagement! We will gladly tell you all about it over a cup of coffee.
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