(experiential marketing social media events information)
Excerpts from: Atlanta Business Chronicle – by Giannina Smith, Staff writer; Friday, June 6, 2008
Scott Thurston, president of Washington, D.C.-based marketing firm Street Sampling Inc., said the recent increase in sampling by big consumer brands may be linked to the economy, but can also be attributed to the changing media landscape.
“What I hear more from clients is that the landscape is very cluttered and traditional advertising isn’t as effective any more,” Thurston said. “I do think the economy is playing a role, but it‘s also a more direct measurable opportunity to get a product out there than traditional media. I think a lot of the brand managers, especially with consumer product companies, are starting to realize that.”
“It was at the forefront of voice over Internet and lot of people didn’t understand it,” Thurston said. “Another reason was sheer competition.”
In some cases sampling could be a cheaper alternative to traditional advertising. According to the American Association of Advertising Agencies, the average national 30-second television spot cost $335,000 to produce in 2006. Thurston said a sampling program involving 50,000 giveaways could cost $15,000 to $20,000 in man hours, plus promotional extras, and could have a more favorable sales result.
“Running a national television spot you‘ll have millions of impressions and exposure, but it won’t necessarily translate to action on the part of the consumer for purchase, whereas interaction in a sampling program, one-to-one with a brand ambassador, the consumer is much more apt to develop a more favorable impression of the brand and ultimately act and purchase,” Thurston said.
Thurston said retailer Costco Wholesale Corp. is an example of a company that recognized the strength of sampling early on.
“If you go all the way back to the late ’70s and early ’80s, Costco really probably pioneered sampling,” Thurston said. “They knew from the beginning if they could feed people while shopping in the aisles of Costco they had a very high probability of converting a person to a sale.”
August 12th, 2008 at 10:18 pm
Really great article here Scott. I do notice that there is an up swing to giveaways on various sites and by several bloggers as well.
August 13th, 2008 at 9:40 am
Thanks Breezie for the comment and yes you see experiential marketing working for both online and offline companies. It seems that the traditional methods of marketing are no longer producing a great ROI and more companies are moving to experiential marketing.
August 13th, 2008 at 8:05 pm
I love samples and have found so many brands which I’m loyal to now from that type of marketing. It only makes sense that these methods would expand in to the blogging world.
August 13th, 2008 at 10:33 pm
Thanks for visiting cchiovitti and leaving a comment it is truly appreciated.
August 19th, 2008 at 3:31 am
This is a very effective way of reaching out to consumers. It gives the consumer a hand on experience and he can easily decide on the spot if he need the product or not.
Great post.
August 20th, 2008 at 1:26 am
Lots of great information here. Good job.
Sarah
August 20th, 2008 at 9:56 am
Great article. Free samples are always great!
August 20th, 2008 at 10:53 am
I think with the economic issues, a lot of consumers want to make sure that they’re spending money wisely as well. Trying something out first insures that they haven’t “wasted” their money on a product that they end up not using or liking. Personally, I have become a loyal customer to several large and small companies that I was first exposed to via a free sample.
August 20th, 2008 at 12:10 pm
I agree Scott.
I’m still always checking out the latest that Costco is promoting in their aisles. Plus it makes the chore of shopping more enjoyable.
August 20th, 2008 at 1:03 pm
Good article. I live in the DC Metropolitan area … or rather did until recently – Reston VA. Now I’m in the country near Charlottesville, but I digress. Back to sampling … I think it’s a great way to lead people to purchase a product. There’s more of an element of trust in something that is sampled than the unknown. When it comes to software, I always prefer to buy the free trial software except in the case of well known must haves like Photoshop and CorelDraw, etc.
August 20th, 2008 at 3:21 pm
Traditional advertising is indeed becoming obsolete. It’s always about advertising through technology nowadays. Good read.
August 20th, 2008 at 7:27 pm
It’s great to think outside the box when most of the time we think strictly about being online. Taking a program or product to the streets sounds like an amazing idea!
August 20th, 2008 at 10:05 pm
Wow, I am beside myself with the amount of comments on my post. Even though I am in the business of experiential marketing, I also enjoy sampling prior to purchase. Thanks again for taking the time to read my post.
August 21st, 2008 at 1:00 am
Offline ideas are limitless, but I’d also be very happy to know there was a solid business like yours out there to take care of me and my business!
August 21st, 2008 at 11:33 am
Great info. I agree that I’ve found several brands I now regularly buy from having samples. It’s a great form of marketing!
October 28th, 2008 at 5:33 pm
Keep up the good work.