Overexposure

When I was first starting out, I gave away a lot of stuff to people in the name of “exposure”, because I kept hearing from other business owners how important it is to “get your stuff out there.” What they really meant, though, was “get your stuff out to your target market.”

Two days ago a random Etsy member asked me to donate 100 items to supply her wedding guests’ gift bags. In return, she promised to “get your product out there to a large group of people of varying ages, most of which have never even HEARD of Etsy.” (**For those who don’t know, Etsy.com is an online marketplace for handmade goods.)

This may sound appealing (poor grammar notwithstanding), but when you think about it, it’s as effective a marketing strategy as standing on a random street corner and giving away 100 of your products for free. “People of varying ages, most of which have never even HEARD of Etsy” are NOT my target market. They’re no one’s target market.  Even if they think your product is cool, Great Uncle Fred and 12-year-old Simon are not going to shop your online store. Why waste your time and budget on them?

My advice is to only give away freebies at events where at least 80% of the participants would be likely to shop from you. If you’re a crafter, gift bags at well-attended craft fairs are generally fine, especially if it gets you a spot in promotional materials or the fair is so big customers don’t make it to every booth.

Product-specific events are also good. Do you sell mainly to affluent pet owners? Then donating stuff to an animal rescue benefit is appropriate. Giving away freebies at the launch of a new fashion magazine is not. Yes, some of those fashionistas will also be affluent pet owners, but is it worth 100 wasted products to get just one new sale?

I’m not saying that those who ask for free stuff are bad people, but they are ultimately looking out for their own event/organization, and not for your business. It’s up to you to do that and to separate targeted, effective promotion from untargeted ineffective promotion.

Inexpensive Marketing and Promotion (Part 4)

And finally….

Swag bags: (Cost: ~25 cents per bag) Swag (a.k.a. schwag, freebies, giveaways, promos) are small promotional items you donate to attendees of an event. They range from the cheesy pens given away at auto sales to the luxury swag bags containing diamond watches and designer perfume given to presenters at the Oscars. Most trade or craft shows will solicit swag from their exhibitors to give to the earliest or biggest buyers, but there are other places to give away swag, too. Some businesses include a piece of swag with every order. Some set up giveaway or raffle tables at block parties or other neighborhood events, and some others just pass them out on well-trafficked street corners. There are even swag subscription companies like The Sampler, who will send your stuff out to folks who love free stuff so much, they’ll pay for it!

I’m personally a fan of swag that is cheap and does double-duty as advertisements, like stickers and buttons. You can produce a gagillion of either for relatively little money, and if your sticker or button has an awesome image on it (in addition to your company’s name or web site), you can get lots of people to do your marketing for you, giving you real bang for your buck. You can certainly go with less conventional media, like barrettes or zipper pulls, but the key is to get the most number of people to notice your brand for the least money possible.

When it comes to freebies, I like to stick to giving them away to friends and paying customers. These are the people who are the most likely to put your swag to good use, because they either already love you, or love your stuff. Also, in my experience, I have found that the best way to get people to not buy any of your merchandise is to put free stuff out on the table.

Coupons and Discounts: (Cost: possible printing costs, discounts people actually use) Coupons and discounts are tricky things. On the one hand, they can often be that extra little push between considering an item and actually buying it. On the other hand, you don’t want to overuse them or people will think you are having a hard time getting people to buy your stuff.

I sell very specific and unusual gift items, so the rules that apply to my business may not apply to yours, but here’s what works for me: I find that coupons work best for limited times, such as a semi-annual sale when you are discontinuing old merchandise and releasing new designs, or to get people from your mailing list to come to a show or event. Other good coupons are the ones you give to customers with their completed order, which encourages them to become repeat buyers.

As far as discounts go, I find that quantity discounts are the best kind there are. I used to sell (and will probably sell again soon) a “meat medley,” which was a collection of my three most popular plush designs, discounted to $80 from $84. It was a savings of less than 5% but I sold more of those collections than of any individual toy.

And that’s all she wrote.  Of course, there are other inexpensive ways to promote yourself, like having a web site, leaving postcards in neighborhood haunts, and going to networking events but this list is already four posts long, so perhaps I’ll save those for another time. If you have any other ideas that you’d like me to add or expand upon, please let me know in an e-mail or comment.  Happy hawking!