Free gifts and product trials

A free gift is an item given at no extra cost, often when a customer takes out a subscription or makes a larger purchase. For example, a bakery could give every child a free iced biscuit when they visit with a paying adult on a Saturday morning. A product trial, also called a consumer trial, lets customers try a product or service free, or for a trial period, before deciding whether to buy. A leisure centre could offer a free week of junior climbing sessions to tempt families to join.

A product trial is a sales promotion technique used to attract customers. It is not only market research to test or improve a product or service.

Benefits

Both techniques can raise awareness of a new product and create a positive business image because the customer receives something free. A trial removes the initial financial barrier, which can increase the customer base, and a good trial can turn a trial user into a paying customer. Users may recommend the business to friends, and their comments give feedback and qualitative information about what they liked or disliked.

Limitations

Free gifts are expensive to provide and distribute. There is no guarantee that customers will use a free gift or trial, and trial users bring in no revenue while they try the product. Some may take advantage of the free offer without buying. Customers can become annoyed if a free trial leads to charges they did not expect. Feedback may be dishonest or negative, information can leak to competitors, and the data collected can be difficult to analyse. Running a trial also takes time.