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The best reasons companies run competitions online
So you have found this great competition and are wondering, Why is it here? Why does this company want to give me a brand new car?
Well PrizeWinner has the answer for you!
In fact, we have come up with the top nine reasons the companies run competitions!
1. Competitions are an advertising tool. They are a fun way for a company to put out its advertising message.
2. Marketing. It’s the made you look principle! The company made you look at them and find out about their shiny new product.
3. To conduct market research. When competitions include surveys of even one question, the sponsoring company is trying to find out something that is important to them. This is valuable information worth giving out prizes for.
4. To create brand awareness and exposure. By sponsoring a competition, companies’ hope entrants will focus on it’s brand, product or service. It is also used as a way to attract attention when a new product or service is being launched.
5. Increasing traffic to a company’s website. For example, for some competitions, it may be necessary to answer a question about the product. Otherwise it may encourage entrants to find out more about the product by going to the website.
6. Companies hope that once people have entered the competition (and maybe won!), they will want to find out more about their products and services.
7. Build or increase a database of potential customers. This is particularly important for service industries.
8. Using questionnaires as a way of collecting information about customers habits (buying and spending habits), and even the most generic information can be used and examined by the marketing types to see what the latest trends in the community are.
9. Increase sales of their products. Most people don’t know about a new product until they see it around. People forget about old products too. This means we are not very likely to buy that product. But if the new or old forgotten product comes with the chance to win a tropical holiday for the family? Well, we might just give it a go.
So there you have them, our nine reasons. Do you have a ten? If so, leave us a comment or send us an email. We are always happy to hear from our PWers!
And don't forget to keep chasing that winning feeling!
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