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7 Ways Customer Contests Can Benefit Your Business

7 Ways Customer Contests Can Benefit Your Business

February 3, 2016

Online contests offer a fun and rewarding outlet for customers to interact with your brand. While customers are engaging with the content you’ve created, you in turn are driving repeat visitors toyour website and creating more awareness of yourbusiness.

Seven entrepreneurs from FounderSociety (FS) share the benefits their companies have gleaned from creatingcustomer contests.

Q. Do you ever host contests of any kind for yourcustomers? Why do you find them useful/helpful?

1. Social Media Interaction

We have an annual scavenger hunt called Tiger Drop. It’s a shameless ploy to get people to follow us on social media. We hide cash in black envelopes every week in July and hide the envelopes. We post daily clues as to the whereabouts of the envelopes; the clues range from local history to brain teasers. Each week involves a different local charity to whom we bring awareness. It’s a blast! –Max CourseyTiger Prop

2. Idea Generation

Contests are an integral part of how we keep in touch with our players and their parents. As an example, we run an annual writing contest that allows kids to exercise their creativity while writing about defined topics. These submissions give us insights into how kids think about specific topics, ideas, and subjects. This helps us drive game designs and ideas for the future. –Coy YonceMantis Digital Arts

3. Cause Benefit

Almost every celebrity has a nonprofit that they care about. By hosting a contest to benefit that nonprofit, you can reach celebrities who otherwise wouldn’t engage. Kuli Kuli hosted a contest with Chef José Andrés tobenefit moringa farmers in Haiti. Hundreds of people tagged #MoringaInspired recipes via Instagram. We got amazing exposure and donated 100 percent of the proceeds to the nonprofit. –Lisa CurtisKuli Kuli

4. High Response Rate

No one likes to complete surveys or feedback forms, but if you can add an incentive to the process you will see a much higher response rate. Value the time of your audience by offering something in exchange for a few seconds of their time. Offering a free t-shirt or a $25 gift card will increase engagement and provide more results. Keep the survey short and don’t ask too personal of questions. –Zac JohnsonStart a Blog

5. Product Feedback

A functional product feedback loop between you and your customers is paramount to know you’re building the right thing and meeting their needs. Contests and giveaways are a great way to incentivize users to complete a survey, join a focus group, provide user testing, or give other feedback. They’re also a useful tool for growing your email database and inspiring invitations. –Robert SwisherFestPop

6. Reduced Acquisition Costs

At HeyGorgeous.com, we find contests to be a great way to grow ourcustomer list and reduce our acquisition costs. We also love the excitement that they bring to the customers, and the general brand awareness that we gain. –Aimee CheshireHey Gorgeous

 

7. Brand Engagement

At AlignedSigns.com we love offering contests and quizzes, especially around holidays throughout the year. It’s an opportunity for people to get engaged with our brand, spread the word about who we are with friends, and give valuable feedback to make improvements. It’s a fun and positive way to hear your customers’ voice. –Jessica BakerAligned Signs 

 

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