Just Give It Away!
What do office supplies and chicken sandwiches have in common?
I went shopping for office supplies recently at a superstore that’s moving down the street from their current location, directly across the street from their biggest competitor, our other local office superstore. They had a lot of their inventory on clearance, trying not to have to box and move quite so many of the little items. I walked out with over $150 worth of supplies for $11, and remarked to a friend that I felt like I’d stolen the stuff. They might as well have given the loot away.
Ever since then I’ve been mulling that over—what an event it could have been if they had simply given away their 90–95% off clearance items. A “help us move” party, perhaps. Give away coupons for this weekend’s grand opening. Make folks feel a part of the move, and make them feel a bit obligated to check out the new digs because they’re indebted.
They could have generated a lot of buzz for the move and a lot of goodwill, but instead the whole thing took place so quietly that plenty of folks don’t know this enormous store is moving.
Free Food February
Still mulling it over, I went for a chicken sandwich yesterday at a fast food joint here in north Delaware. The flyer you see above was tucked into my bag with a smile and a “Don’t forget to come back Wednesdays!” from the friendly cashier. Go ahead and read the fine print (click to enlarge), I’ll wait.
No restrictions. I don’t even have to bring the flyer back in. Just show up on Wednesdays, eat free food. I asked a friend who goes there regularly, and she said yes, she was there this week, and the line was out the door.
The truth is I probably won’t think to go. But they’ve just gotten an enormous bump in how I perceive them.
Pricing, discounting, what to do in a recession, oh my!
We’ve talked about it here before. An awesome promotion is designed entirely from the customer’s perspective, for convenience and delight. Now the idea is spreading. (Harvey’s, eat your heart out! Chick-fil-A has outdone you!)
Discounting says weakness and desperation. Free says joy, generosity, and position of strength.
Discounting creates price-sensitive customers. (Yes, you create them yourself!)
Free creates word-of-mouth marketing. Buzz. Satisfied, astonished, repeat customers, from prospects and fence-sitters.
Which one should you be doing?
Check today’s title again.
You want to be around for the long haul. Build the Perception that your company shares its good fortune; that you’re thinking of your customers and their wallets, not only your own; that you’re even a little wild and edgy.
Give it away!
Grow and be well,
Kelly Erickson
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7 February 2009, 6:52 am
AAHahahhah you wrote that just for me, didn’t you! Yes, I read the fine print… after reading the big print, glossing over what I couldn’t easily see, skipping on, hitting the “Stop, James. Go back. You missed something. Here’s how.”
Oh. Right on. Here I go… *clicks and reads*
It WORKS!
The moral of the story for those who have no idea what I’m talking about: Even the most experienced ‘net users need usability and reader friendly instructions.
Onwards…
I have plenty of Really Good Thoughts about this.
One is that people would think that the store would probably take a huge loss on those free days. They might take a loss, yes, but they most likely don’t end up feeding all those people in the line-up. The line-up of people actually helps slow down how much they have to give away – AND people who are waiting in line don’t grumble at being kept waiting. “They *are* giving away their food; what can we expect?” Win win.
You also wrote this: Discounting creates price-sensitive customers. (Yes, you create them yourself!)
I stopped and read that twice. This is very true. Discounting, sales and whatnot CREATES customers who wait for the deal.
Great, great post. So many thoughts. Need more coffee to process them all.
James Chartrand – Men with Pens’s last blog post…The Big Secrets No One Talks About
7 February 2009, 8:05 am
James,
What a turkey. If you mouse over the photo it says click to enlarge anyway, that’s for everybody else, but yeah, the “hey, you” is for you, my dear.
And the photo you are referring to so obliquely wasn’t on my blog. Yeesh.
On-topic:
Thanks. Glad you liked it.
Regards,
Kelly
7 February 2009, 8:43 am
Of course this works. So why do so few do it?
There’s another place I know of that has something like this, every day – with two restrictions.
http://www.heartattackgrill.com/350.html
You have to weigh more than 350 pounds (!) and drinks are not included. I’m sure they lose out on the big folks but how many of them are there?
Heck, I’d go there just to eat a big burger and try to keep up with the big boys and girls
People do this sometimes with clubs (e.g. a computer club might have a free help day to attract new members) and if it works for them, why not a business?
It’s just like a loss-leader but the loss is bigger. The gains are potentially bigger, too.
Brett Legree’s last blog post…viking fridays – a story of give and take.
7 February 2009, 8:59 am
Brett,
I clicked, I smiled, … but in a terrified sort of way!
The gains… it’s like the ripple effect with the Harvey’s thing. Do you know (aside from McDonald’s and The Other Lady With My Name) Harvey’s is still one of my biggest search terms that I’m not trying for?
(And here come the Chick-fil-A searchers, if only they can figure out how to spell the darned name. That’s for another day.)
As Seth says, it’s remarkable. Worthy of being remarked on.
That’s what we’re all trying for in our businesses. I give away a lot, in truth, but here I am, thinking hard about it again, and I really hope other folks will too. Giving it away can be pure genius.
My first thought was, “How nice! There are so many people hurting right now!”
And this is skeptical ol’ me.
It wasn’t until my second thought the “How brilliant! This will gain them business” showed up.
It’s both. Win win win win.
Until later,
Kelly
7 February 2009, 3:27 pm
I’d like to know, how many parts per million of actual CHICKEN do you get in a “Chick-fil-A” nugget?
Whenever they bastardize the spelling on food items like that, I’d normally run screaming from the restaurant.
But heck…if they’re giving out the nuggets for for free, I’d glady try ‘em.
(See? This kind of marketing works!).
THANK you for opening up my mind, and letting me think things through!
Friar’s last blog post…How I Divorced my Old Ski Boots, and Found a New Sole-Mate
7 February 2009, 4:58 pm
Friar,
Actually (shameless plug for yet another company that doesn’t pay me) there are no better nuggets anywhere.
Total yum. Not battery greasy stuff like other fast food places, and no odd parts. But I think they’re only in the South (?), so you’d have quite a drive to get to them.
You’re welcome. Please come here to think out loud and change your own mind any ol’ time.
Hope you’re having a great time on the slopes today!
Until later,
Kelly