Read this blog for FREE access to some kickass, expert marketing information and a FREE gift at the end! No catch, just free.
Did that entice you? Maybe a little? Did you scroll immediately to the end to cash in on the gift? There really is one there. Go ahead, go get it… but be sure to come back to this FREE information on giveaways. WOW WOW WOW!
Social media is a complicated world filled with algorithms, follower counts, hidden likes and fun features, all constantly being updated just to keep us on our toes. As free (there’s that word again) platforms for users, social giants like Facebook and Instagram have had to get creative in how they earn a dollar. Thus, we have the annoying and ingeniously-crafted algorithms that control how content is seen and by whom. For businesses and influencers alike, these restrictions can make it very hard to gain and entertain an audience without cashing out on paid ads and promotions through the platform. At LMS, we’ve done our fair share of algorithm chasing and garnered much knowledge and tactics for effectively growing client social accounts without draining bank accounts. While we can’t give away all our secrets, we’re happy to share information on one of our tried and true strategies: giveaways.
Free Free, Free Free Free Free
It’s not news that people love free stuff. Go to any Costco in America on a Saturday and you’ll find droves of proof standing in line for a free! quartered bite of a frozen cream puff. This four-letter F-word somehow has the power to get people to value monetary savings over their time. “Free” triggers strong emotional and behavioral reactions in consumers. It makes us feel special, increases the perception of a product’s value, and creates an air of irresistibility. Marketing has utilized this knowledge for ages, enticing shoppers to try or buy more of their product by advertising offers like “Buy One, Get One”, “Free Gift with Purchase,” and “Free Shipping with $X Order” to great success. This psychological phenomenon is also known as the Zero Cost Effect. According to Behavioral Economics, there is “an increase in a good’s intrinsic value when the price is reduced to zero.” Turns out “free” no matter the original value, is better than a discount. Studies found that reducing a price from $1 to free had a larger impact than a price drop from $2 to $1.
Tit for Double Tap…er, Tat
There is one caveat to the power of “free,” however. People allocate value in free items by feeling like they earned them. Think of the last time someone handed you something on the street. There was no transaction, no interaction, just something shoved into your hand that will likely live out its days neglected in your backseat cupholder. On the same street, if you purchased a hotdog from a vendor and were offered a free koozie with the purchase of a soda, that thing is probably hugging the La Croix you’re sipping, right now. The trade off doesn’t have to be monetary, either. You could be giving your email in a sweepstakes, listening to a sales pitch or simply standing in line to “earn” the free item. The psychological need to deserve the free item is part of what makes social media giveaways a win-win for host and participant.
Hosting a giveaway on social media is not only an opportunity to engage with, reward and have fun with your followers, but a chance to grow that following quickly (and sometimes immensely), align your brand with like-minded companies or influencers, and collect valuable consumer data. Which of these benefits you reap depends on the type of giveaway you host. Depending on a brand’s goals, variables including platform, entry requirements, partnerships and management methods can all affect the success of a promotional giveaway.
There’s No One Way to Give
The three main types of giveaways we utilize for clients at LMS are Solo, Partnered, and Sweepstakes. We’ve seen much success with each and have created the below breakdown of information, uses and expectations for each.
LMS managed giveaway for @CreativeSnacks
Solo
A solo giveaway is strictly through your brand or account, directly to your followers. You do not involve any other brands or influencers to promote the giveaway. Often the prize is your own product or service.
Uses:
Collect valuable feedback and data from current followers
- “Vote on what our next flavor should be and be entered into our giveaway”
- “Where do you buy our products? Comment with your favorite retailer to be entered to win a giftcard”
Increase Following/Exposure
- “To enter, tag a friend who …”
- “Share this image to your IG Story + tag us to be entered”
What to Expect?
Through this type of giveaway, your brand/account gets all the limelight – though that light may not be as bright or widespread as in a partnered giveaway. Keep in mind that the value of the prize will also affect participation and new follower acquisition. As a solo host, the cost of product offered may need to be higher than when partnered and contributing to an overall value.
LMS coordinated giveaway for @koparibeauty with @ivoryella, resulting in 11,510 new followers for Kopari.
Partnered
Brand
In a brand partnered giveaway, the host account collaborates with one or more brand accounts to simultaneously promote the giveaway. Brand partners combine their products or services to create a combined prize, share the giveaway over the same time period and post similar, or the same, content on social. Generally, entry requires participants to follow each of the contributing accounts.
Influencer
In an influencer partnered giveaway, the host account collaborates with one or more influencer to promote their giveaway. Generally, the prize is the host brand’s product or service. The influencer(s) can create their own content to share the giveaway, or can be provided imagery to use. Promotion for the giveaway can take place solely on the influencer’s account or on both brand and influencer accounts.
Uses:
Increase Following/Exposure
- “Follow each account listed and tag a friend to enter!”
- [influencer] “To enter, follow X and tag a friend to win with you!”
Align your account with like-minded brands
- “We’ve paired up with our favorite organic brands to create the perfect fall picnic package!”
- [influencer] “I’ve teamed up with my favorite skincare brand for a giveaway! Their mission is so important to me and I know you’ll love their 100% vegan products.”
What to Expect?
Partnered giveaways are often more successful because of the increased audience exposure and prize value. However, they can be more complicated. To avoid confusion, have a designated ‘host’ account that organizes the timeline, creates the content, and communicates with the winners. Well-chosen partners are also important. “Ideally, partners will have a larger following than you, and great engagement,” says LMS Social Account Manager, Eric Yoffee, the man behind many of our client’s successful giveaways. “Keep in mind the type of account, as well – not just how great they look on paper.” Do they share your brand and followers’ values? Do they have a quality product? Would your followers enjoy/trust their content?
In an LMS managed giveaway, our client Kopari gained 11,510 new followers through a well-matched partnership with @ivoryella.
LMS managed giveaway for @raoshomemade
Sweepstakes
Compared to giveaways, sweepstakes are a larger, more long-term initiative. There is often more than one brand involved, varied levels of prizes and multiple winners. Prizes tend to be larger (ie. a year’s worth of product, a car, vacation, tickets) and are not necessarily the hosts’ products or services. Promotion is not limited to social media and entry often takes place on a different site altogether. At LMS, we utilize sweepstakes for fast growth email acquisition to great success.
Uses:
Collect consumer emails and other valuable data
- “Enter your email, DOB and zip code for a chance to win!”
Direct consumer’s to your website
- “Click the link in bio to enter.”
- “Swipe up to join our newsletter to be sent the entry info!”
Increase Following/Exposure
- “Follow our social handles and follow the link in bio to enter.”
What to Expect?
Depending on the breadth of a sweepstakes, it can create a buzz of excitement and a flood of entries. It’s best to be prepared with infrastructure ready to collect information and organize winners/prizes. Especially if multiple brands and forms of entry are involved, things can get tricky, quickly. Tools as simple as a temporary landing page and Google Forms can help collect consumer information, or look into using readily available apps specifically designed to manage sweepstakes.
For Rao’s Homemade, LMS managed three sweepstakes resulting in over 50,000 entries and over 10.7 million impressions.
You Get What You Give
Giving is always a good idea, right?
Right.
But…
Don’t forget to follow the rules! Your entrants are the only ones who need to follow some directions. Each platform has regulations to follow to ensure you are hosting a legal giveaway. Check out these terms and conditions and make sure you’re compliant before posting: Instagram, Facebook, Twitter. Check additional platforms you may use.
Be aware of the gifts that keep on giving after the giveaway ends. First of all, remember to close your giveaway and formally announce its end on your post. Simply add “GIVEAWAY CLOSED” to the beginning of your original social post and congratulate the winners. Otherwise, you risk confusing or disappointing followers who enter too late.
Secondly, don’t let all your hard work go to waste. “A well-managed social media giveaway is an excellent way to grow a brand’s following,” says Yoffee. “But that growth can simply be temporary if followers aren’t fed engaging content when the giveaway ends,” he warns. Ensuring there isn’t a mass unfollow exodus after you announce the winner is up to you (or us. Hire us! We’re super good at this stuff). Quality content is always important, but specifically following a giveaway, Yoffee suggests brands lean into the excitement and offer an additional promotion. A free shipping code or a sale announcement may be just the ticket to keeping a new audience engaged and get some extra sales along the way.
So, next time you want to get social exposure for a new product or gain some eager followers, consider setting your price point at $FREE.99, host a killer giveaway with LMS and let’s see what happens. Contact us today at imgame@wearelms.com. Don’t forget your FREE GIFT! You made it to the end of this blog, so you earned it. It’s full of some seriously killer influencer marketing info, like… Did you know User Generated Content generates 6.9x more engagement than brand generated content? Learn more – here!