Free gift with purchase is a promotional strategy commonly used by Shopify store owners to incentivize customers to make a purchase. It involves offering customers an additional product or item at no extra cost when they buy a certain product or spend a specific amount of money in the store. The goal of this strategy is to enhance the overall shopping experience, increase customer loyalty, boost sales, and clear out any excess inventory.
What to offer as Free Gifts for a Win-Win Situation
- Complimentary Products - Offer products that complement the items customers are already purchasing. For example, if you sell skincare products, consider giving away a free facial cleanser with the purchase of a moisturizer. This can motivate the user to complete the purchase.
- Substitute Products - Alternatively, you can also offer a different product as a free gift. The best example to understand this is adding a sachet of sugar with the purchase of milk. For instance, if a customer buys a red dress, offer a free scarf or necklace that matches the dress.
- Samples of new products - Offering free samples with purchases can help merchants to introduce new products in the market to a defined audience. Use this opportunity to introduce customers to your latest products. Additionally, this reduces CAC; without the need to run expensive ads, samples can help get your brand rolling.
- Old Stock - Free gifts are a great way to clear out excess and old inventory, especially if you have products that need to be moved quickly, such as perishable goods and products whose expiry date is approaching.
Unlock Higher Sales by targeting these User Groups
- High Spenders - Merchants can set a cart threshold limit to reward big spenders with a free gift. You can set a cart threshold limit to encourage customers to add more items to their carts to qualify. For eg. Free Gift is only applicable to users with cart amount > $100.
- New Users - Attract and engage first-time customers with a tempting offer to make their initial shopping experience memorable. Offering free gifts to new users can help build trust and establish a brand image.
- Repeat Users/Loyal Customers - Show appreciation to your loyal customers by surprising them with free gifts. It strengthens their bond with your brand and costs you less in customer acquisition costs (CAC) than acquiring new customers.
- Product-Centric Targeting - Tailor your free gift offers based on the specific products customers are buying or browsing. Run free gift campaigns on selected products to manage your margins more effectively.
- Demographic Partners - Align your free gift offerings with the preferences and interests of your target demographics. When expanding into a new territory, run free gift promotions tailored to the preferences of the new demographic location.
Best time to offer Free Gift with Purchase
- Special Occasions/Holiday Season - Capitalize on holidays like BFCM, Christmas, New Year, Birthdays, Anniversaries, or other significant events relevant to your target audience. Offering a free gift with purchase is considered as a delightful gesture by your users.
- Product Launches - Use free gifts to generate excitement and interest when launching new products. Offer mini samples of products at the time of purchase to organically raise awareness of the product.
- Minimum Purchase Amount - Encourage customers to spend more by setting a minimum purchase amount to qualify for the free gift. This will help increase AOV and delight consumers with a free gift.
- Limited-Time Offers - Create a sense of urgency with short-term promotions that drive immediate action.
One Strategy, Numerous Benefits
- Upsell - Encourage customers to spend more by enticing them with the prospect of a valuable free gift.
- Sell Old Stock/Clear Inventory - Use free gifts strategically to move slow-moving inventory and make way for new products.
- Retention & Repurchase - Free gifts foster customer loyalty, making them more likely to return for future purchases.
- Less Customer Acquisition Cost (CAC) - Happy customers are more likely to refer friends and family, reducing the need for expensive marketing efforts.
- Increase Conversion by Delighting - Surprise and delight customers, converting hesitant shoppers into paying customers.
- Reduce Cart Abandonment - A free gift can be the tipping point that prevents potential customers from abandoning their carts.
- Word of Mouth Marketing - Satisfied customers become advocates who spread the word about your brand and promotions.
- Create a Sense of Urgency - Limited-time free gift offers can create a sense of urgency, prompting quicker purchases.
Promote your free gift offers through these channels.
- Site-Wide Banners - Highlight the promotion prominently on your website. Home Page, Sticky Banners and Popups can help users to get aware about the offer.
- Social Media Promotions - Share eye-catching visuals and messages on your social media platforms. Offering free gifts can encourage users to share them with their friends and family, helping you spread the word.
- Email Newsletter - Send out newsletters to your subscribers, showcasing the offer and its benefits.
- Product Display Page - Include information about the free gift on product pages.
- Cart & Checkout - Remind customers about the free gift when they are in the process of making a purchase.
Kite: Add to Cart Free Gifts on Shopify Store
Decided to adopt a free gift with purchase promotion after seeing these great gift with purchase ideas?
Well, you're in luck! The Free Gift with Purchase strategy is a powerful tool in your e-commerce arsenal. When executed thoughtfully, it can incentivize spending, build a positive brand image, enhance customer satisfaction, tap into the human desire for rewards, create a sense of exclusivity, and generate shareable content that boosts your brand's visibility.
For a one-stop destination for Free Gift with Purchase, download Kite from the Shopify App Store to seamlessly manage and track your Free Gift with Purchase campaigns. The best part is, it's completely free and packed with features like setting custom rules, UI customizations, and automations.
So, why wait? Start planning your next irresistible free gift promotion today and watch your Shopify store thrive.
Check list of top Shopify discount apps by our partner PluginHive.