Why bonus culture is more crucial than ever in retail and entertainment
While looking after existing customers is clear that bonus culture is crucial for running a business, finding strategies to grow your base is absolutely vital. In growing marketplaces especially, being able to snap up trade ahead of your competitors can be the difference between making it big and going under.
A brand that is able to grow its audience of active customers can expand and diversify, while those that rely on trade from the same individuals can quickly grow stagnant. In this article, we will know why bonus culture is crucial and examine some of the strategies utilized across the world of business to woo new customers and analyze their success.
Magazine subscription offers
Print media has undergone its share of struggles during recent decades, with the growth of the internet reducing its influence. These changes around the late 90s and early 2000s saw many publications close their doors, but the biggest challenge was still to come.
The launch of the iPhone in 2007 and the emergence of the smartphone during the 13 years that have followed has placed a world of information and enlightenment in the palm of readers’ hands wherever they are in the world.
It’s no surprise then that so many major magazines offer seemingly incredible introductory offers for new subscribers. Many leading publications slash the cost for the delivery of the first few issues in the hope that the reader will continue to pay full price after this initial trial.
This is a somewhat successful tactic, although publishers run the risk of permanently devaluing their product, even if the price reductions they make are temporary. After all, why would somebody pay full price after having enjoyed the same product for half the cost?
One of the most popular bonuses for new customers employed by businesses and brands are free trials. A free trial allows a potential new customer to enjoy a product or service without paying a penny, although the brand will often ask that they add their credit card details to set up an account.
Amazon have employed this tactic for a number of years in order to generate new subscribers to their Prime delivery service while streaming platforms across several specialist genres also offer this perk to new customers.
The hope here is that the customer will enjoy their free trial enough to let the contract roll over into a becoming a paid subscription. And although the platform must make it simple for a customer to end their free trial, many operators will bank on a number simply forgetting to cancel before the period elapses. For these reasons, the free trial is one of the most successful bonus tactics, although there is the risk that businesses may provide services to prospective new customers without ever seeing a penny.
The final tactic on our list is employed exclusively in the online casino industry and is hugely effective when it comes to engaging with new players. A free spins offer works in a similar way to a free trial in that it allows players to sample games without spending their money.
However, some platforms require players to first make a cash deposit in order to enjoy the perk. This helps strike a healthier balance from the business’s perspective, as it reduces the risk of prospective new players enjoying the service without spending anything.
Such is the popularity of this bonus concept that there are a number of websites comparing the offers available. This bonusfinder US review of free spins brings together some of the best available at the moment, with a short introduction to each service. Due to its status as a growing, international industry, and one that is consistently engaging with new audiences, the free spins offer is playing a key role for casino gaming operators.
From blackjack to broadsheet newspapers, there are few customer-facing industries that don’t employ some form of bonus offer for new customers. And though the success of the techniques can vary, it’s clear that that the strategy remains crucial to the success of brands.