ATTRACTING THE WRONG SUBSCRIBER
The use of a giveaway can attract subscribers who are only looking for freebies, not those who are interested in your brand’s products or services. There are a variety of websites, like Pinterest and Facebook groups, where people go to search for giveaways. The entry fee of an email address is nothing to people who are looking for free stuff. Often, the email addresses submitted are throwaway accounts used specifically for signing up for giveaways, which can lead to poor inbox placement.
People who are only searching for free stuff are the type of subscribers who provide little to no value for your brand. You want to create marketing programs to attract subscribers who will create value for your brand by becoming and remaining engaged over time.
ENTRANTS NEVER ENGAGE
Many people who enter giveaways will never buy your products. Once they have entered your giveaway, chances are they are not going to check out your website to read about your products, brand, and vision. They are not going to suddenly become a brand advocate. And, if they win, they will take their prize and move on to the next giveaway.
SETTING POOR EXPECTATIONS
If your brand is constantly utilizing giveaways to increase the number of subscribers in your database, you are likely considering offering one of the products within your existing product line. Doing this can result in consumers waiting to buy the product because they think they might win your giveaway. If you are hosting giveaways regularly, this could create a scenario where some subscribers end up never buying the product.
If you MUST run a giveaway, make the prize something extra. Consider the use of something consumers cannot otherwise obtain via normal channels or something which complements your product.
WINNERS DO NOTHING FOR YOU
Like giveaway entrants, those who ultimately win will do nothing for your brand. After winning the prize from your giveaway, they are going to take their prize and leave. They will not buy your products, promote your brand, or engage with your email content. They have gotten what they came for and will move on to the next opportunity.
GUARANTEED LET DOWN
There are always people who wanted to win or loyal subscribers who you may have wanted to win your giveaway. But unfortunately, not everyone can win. Because of this, you are guaranteed to let people down. You risk losing engaged subscribers when time after time they are not the winners of your giveaway. Previously engaged subscribers could become less engaged over time or unsubscribe altogether if they always enter and do not win your giveaways.
IN CONCLUSION
On the surface, a giveaway seems like a quick and easy way to increase your email database. In the short term, that may be true. However, when considering a giveaway, you should also keep in mind the long-term impact. By adding these types of subscribers to your database, you are risking lower open rates, higher unsubscribe rates, and damage to inbox placement when it comes to your emails. You are also risking negatively impacting loyal subscriber relationships.
