Do online contests help increase sales?

The largest independent collection of international luxury hotels and booking specialists needed to build brand awareness. So they set up an Instagram account and in order to grow their customer base quickly, they ran a contest through the visual social network. They further promoted the contest on Facebook, ads, through a newsletter, and on their website.Running a contest or sweepstakes is the perfect way to draw attention to your new product or service. Even loyal customers may be reluctant to try something different, but by running a contest you’ll remove that barrier to entry. You could even encourage the winner or winners to write a review after they’ve tried the product or service and could perhaps even offer something additional in return. Consumers trust reviews from strangers online as much as they do from family and friends so this could be a solid strategy. Driving new traffic to your online business is surely one of your top goals. We’ve worked with hundreds of clients and this is always a top priority, they had this very business goal, so they ran a contest. Email marketing is still an effective method of converting visitors into buyers when done right. But how can you send out an email when you don’t have an email list? You can’t. But you can start to build one by running a contest and encouraging participants to sign up for your monthly newsletter. Make sure to mention that it features more exclusive contests and promotions.

When a contest is run efficiently it is a great way to build strong follow-ups. The customer might not aware of a brand or a business until they have heard about it after an online contest, their family, friends and social cliques share them – and a contest would definitely help them do just that simultaneously awarding winner with merchandises and coupons to try the product for free. Building a community is definitely a strong key point to bring up when talking about the advantages of a contest. To think about it, businesses spend so much time building communities in their local neighbourhood. With social media contests, interaction is the way it is nowadays, contestants are often urged to voice out and tell their friends and family about it. It almost feels like businesses today are not building their own communities, but simply getting accepted by their audience’s respective communities. And that’s important, un-intrusive and extremely valuable.A contest is a smart way to build awareness about a brand or product or a page. This is because savvy contest platforms come with a “share” button which allows users/contestants to share with their friends. It pushes the contestants to spread the word out. A social media contest is one of the best ways to get people to subscribe to your email newsletter.The logic behind the contests is all about creating awareness about the brands and finding the likeliness of the products from the consumers to increase the purchase transaction. Contests are a great way to convert your business leads into valuable customers –basically in the scenario of the contest winners because they had just tried your product for and they will most likely return to purchase more if your product satisfies them. Maintaining a database, if the product is relevant to them then chances are they were looking for it in the first place and by giving it to them for giveaways just made you move forward ahead of your competitors. The key thing here is to make sure the engagement lasts between you and your list of audience. You could connect with them via the mailing list you have or simply keep your page active and responsive toward the conversation that is happening.