2 Impactful Gift with Purchase Promotions

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It all starts with a goal.

When we begin working with new retailers, we do a discovery meeting to determine the areas of opportunity to help grow their business. It always leads us to increase the average ticket. When is comes to marketing, there are several ways to increase an average ticket, but a popular option that we use may have lost it’s luster in the industry. Does “Free TV with Purchase” make you cringe? 

We removed TV’s from the equation and began trying to develop more unique options that really appeal to our retailer’s customers.

A sales promotion is defined as a short-term inducement to achieve specific objectives. Different promotion techniques are employed depending on the goal. Gift with purchase premiums can be used to focus on a specific brand/product, reward loyal customers, increase unit sales or increase average ticket. This can be an added value to that higher priced mattress or simply help incentivize the close of a big ticket.

Here are 2 case histories of successful gift with purchase programs. Both were 1-month promotions from early 2019 by privately owned retail furniture stores.

Case history #1

Increase mattress unit sales while driving volume at higher price points; create excitement for the category.

GWP offer
2 different premiums were offered: a free Tempur-Neck pillow with the purchase of any Tempur-Pedic mattress and a free iRobot Roomba robot vacuum with mattress purchase $2999+.

During the promotional period overall mattress sales increased 33% over month prior and percent of store sales was 35% VS 25% year prior. 13 units sold at $2999+ driven by the Roomba premium. The unique nature of the item created a “buzz” among both buyers and casual shoppers.

Case history #2

Increase average ticket storewide and mattress unit sales.

GWP offer
A free, 12-bottle wine cooler with qualifying purchase.

Average ticket storewide was well above norm at $4310.83. Mattress average ticket also increased to $2187, with unit volume up 25% over month prior.

Understanding promotion techniques and how they are used to achieve goals are just one of the ways R&A Marketing helps our retail partners succeed.


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