Give Free Products to Customers Without Buying Customer Loyalty

If a company is rendering a gift or loyalty plan, then it is important to actually give them to the customers
  • BY Jaspreet Kaur

    Feature Writer, BusinessEx

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  • Aug 05,2020
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  • 14 Mins Read

When companies offer gifts to consumers to win their loyalty, then there are specific ways to do it. Mostly, organizations overlook how consumers’ perspective changes with the business gifting technique. They do not oversee how gifts influence the customers and change their attitude toward the business. If a firm offers gifts and other benefits massively, then customers believe that the company is desperate to sell goods and services. Such practice is not good for companies that seek to grow their customer base and create goodwill in the market. 

If a company is rendering a gift or loyalty plan, then it is important to actually give them to the customers. In essence, companies that get engaged in loyalty plans involuntarily lose customers as they anticipate that a firm tries to win their trust. Customers will step backward and leave the company. 

Here are some of the ways companies can build customer loyalty with the gifting approach without losing existing customers.  

1. Check If Customers are Getting Offers 

When the company announces free offerings then it should cross-check if the customers are being rendered prizes and other offerings. In a loyalty program, customers receive free products for procuring a particular amount of products or services. Free offerings stimulate customers to stay along with the company in the future as well. 

2. Offer Gifts Rather than Free Services 

The company needs to distinguish between a gift and free products. By giving out a free product, a company unknowingly decreases the value of a product. It should rather sell new products as free offerings with the customers. Through this, it can collect their feedback and later, do modifications. 

By offering free products, the business downgrades and loses its value amid customers. Thus, the organization has to set metrics for free products in the future. 

3. Try to Win Old Customers 

While creating new bonds, a company has to value rapport with old customers as well. It can offer free products to former customers reminding them of their loyalty and association. By doing this, the company exhibits a good picture in front of its targeted audience that it values rapport with old as well as existing customers. 

4. Surprise the Audience 

While giving out free offerings, a company should think of enlarging its business. It needs to fulfill its customers’ demands. It should not distribute low-rated products as offerings as this will create a bad impact and show that the company wants to get disposed of poor quality products. 

While giving out offerings, a company should try to surprise and woo customers rather than breaking their hopes.

5. Offer a Solution

While offering a free product, the company has to ensure that it is giving a complete solution to the people. The offering should further enhance the customers’ overall experience. The organization need not be generous in giving away free purchases. It should rather focus on giving a seamless experience to the customers. Thus, it has to render a satisfying seamless customer experience and interested customers will certainly start buying products as well as services. 

6. Give an Additional Tool 

Whatever product or service a company offers, it should give lifelong loyalty to the customers. The company need not have to offer free product up gradation, such services will directly impact the business. It can rather offer a complementary tool to the customers or enhance the experience. 

7. Personalize the Gift 

Customers like when the company customizes their gift. Thus, a well-thought gift is appreciated and useful for the customers. This shows that the firm cares about its customers and understands their needs.

The above-cited information tells how companies have to understand winning customer loyalty without providing free products. Offerings help increase the business when competitors are offering massive discounts or during festival seasons. Rendering free products every time decreases customers’ interest in the product. It also affects a company’s market value in the long run. Thus, the company should focus on surging its brand value through loyalty programs rather than free offerings. Loyalty programs help the company realize a number of customers who are closely associated with it.


Use these suggestions while framing loyalty programs and distributing free products or services, will help achieve organizational objectives and meanwhile, earn a hefty revenue.

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