Making “Free” Pay Off

From April 2008

 

By Susan Reda, Executive Editor





   Sponsored by
                     
There’s a bold red circle around April 29 on my desk calendar. What’s the big deal? It’s Free Cone Day at all Ben & Jerry’s Scoop Shops.

If you’re an ice cream junkie like me, it’s not to be missed. This year’s event marks the company’s 30th annual Free Cone Day. In the past, Ben & Jerry’s has given away more than a million free cones; this year, with the economy melting around us, they may break that record.


In the war for consumers’ attention, “free” wins every time. Think about how great it feels to get something for free, and how, in most instances, you tell someone about it . . . a free T-shirt for participating in a charity event

. . . a free sample of a moisturizer. Last month I got a free bouquet of flowers at Trader Joe’s; I lost track of how many people I told. With prices for just about everything rising, it may be time for retailers to rethink their “free” strategy.

Is there anyone who doesn’t love the free food samples at Costco? My Dad likes to joke that lunch is on Costco once a month (but who’s he kidding – my Mom spends more than $200 per visit). The point is free product samples engender goodwill and often lead to a purchase — which is, after all, what retailers ultimately want.

We live in a world where “free” is easy to come by. Using the Internet, people share photos, music, opinions, knowledge and advice – for free, every day. They read newspapers from all over the world — for free, every day. For those savvy enough to navigate the telecom waters, there’s free phone service. And, at many McDonald’s, Panera Bread and Starbucks locations, there’s free Wi-Fi.

How can a retailer do “free” without feeling robbed? How about offering free advice? A specialty apparel retailer could designate one sales associate to offer free wardrobe advice to anyone with a question. I’d love to be able to go into AnnTaylor, tell someone what I feel is missing from my spring wardrobe and get some direction based on my coloring and body type.

Yes, all sales associates are supposed to do this, but too often they’re tasked with other jobs: “Free” expert advice would need to be set apart. And how great would it be to not only get free advice, but a tiny perfume sample to tuck in your handbag, too. It’s what makes “free” memorable. Supermarket retailers could give out free apples to shoppers, or slip a free, branded shopping list notepad inside the bag.

Research suggests that consumers will continue to buy essentials, even when the economy is on shaky ground. Now is the time for retailers to endear themselves to shoppers who are feeling like their gas tank isn’t the only thing on empty. A little “free” could pay off big.

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