You sell your products and make money. But give something free with it and you will make much more money and have a much more satisfied customer who is likely to return. Yes, everyone loves free stuff. Lead magnets pull in prospects and turns them into customers, leads or clients.
Humans are the most unsatisfied species out there. No matter how much we have, we will always crave for more. And if we find out that we can get more value, or derive more value from one choice instead of another, people will beat a path to your door. So what is this extra something that you can give people? Let us call it value. You can give people more value for the buck. For instance, I’m giving away my book for free, and in return, you’re giving me a way to reach you in the future.
There are a number of different things that you can use as a lead magnet to get more people to come to you. However, let us focus on just a few that any business can do.
Using contests as a lead magnet
Nothing attracts people more than a contest. It’s that chance to win something which pulls them to your brand. And guess what, it doesn’t always have to big.
The little lucky draw contests have been used since antiquity. McDonald uses it to great effect with their monopoly sweepstakes. Every customer who buys from you automatically enrolls in the draw. Depending on the reward, the number of people you get will vary. These tend to increase traffic on average by a couple of significant percentage points. And then all you need to do is pick one or two lucky winners. The investment is very little compared to the return on investment.
The contests are not just limited to the physical world either. The idea of contests sells equally well on social networks as well. Consider you are launching a new product. You have the name finalized, but are stuck on the tagline. What to do? Well, start an online contest. Ask people to write a caption for your product. Lure them in with a reward if the caption is selected. Not only will you get a nice enough tagline, the name of your brand will be shared all over.
Apart from increasing your customer count, contests are a rich source of data too. As people participate, they will provide their information with it. And having that much information in your hands is priceless. Not only that, contests make people market your product for you. The word-of-mouth carries it to far more places than what you would have reached with your marketing tactics.
Using giveaways as a lead magnet
Giveaway marketing is a limited time offer. Here, you give people something free for a limited period of time. Usually, such offers only last day. But the impact they make on revenue is huge.
The question here is, how would your business benefit by giving services or products away for free?
The primary catch here is again word-of-mouth. By giving away your product or service for free, you’re giving people a hands-on experience of it. If your product is good, people are definitely going to like it. (MailChimp, the email platform, does this very well). And what will people do when they like a product or service? They’ll spread the word around. From their family members to their friends and in their social networks, everyone will know how good your product is. A review from a trusted person makes a huge impact on the people's decisions. And that’s where you will score.
Giving it free to one person could make ten others buy your product.
Using gifts as a lead magnet
If contests and giveaways are the bigger lead magnets, gifts are the smaller ones. The idea here is to gift each and every customer who buys from you. Sometimes, you may gift a customer just for their visit to your store. Unlike contests and giveaways, the gifts don’t need to be very big ones. It can be small little things to be used in day-to-day life. Keychains, pens, hats, wall clocks, or just a bag with your name on it.
Remember, the aim is to get the name of your brand out there. Once your name reaches people, they are sure to visit you. Some ways will attract people faster, while the others will pull them in slowly. But these small budget marketing (Guerrilla Marketing) tactics are sure to bring benefits for you.