Using Free to Your Advantage

Many small businesses include "free" offers when crafting their marketing strategy. This can be effective; however there are myriad regulations which control the use of that word. A small business owner must ensure they are all followed. There are many routes to use to get the offer out so it is known in the first place.

Postcard printing is now quite cost effective. Using a combination of offset and digital ink jet printing this avenue provides high ROI especially for long print runs with limited variable data. Flyer printing is similarly effective when you need more marketing "real estate" than a post card supplies. Even smaller "real estate" like the space on your custom business cards can be put to great use.

Outdoor routes like posters or billboards also are great methods to get your word out. Many obvious marketing tools are often ignored. Your storefront window might be one. Are you taking full advantage of the space your storefront provides? You are already paying for this space. Failure to fully utilize it is wasted opportunity.

As indicated, if you are including a free offer in your mailings it becomes incumbent upon you to know the controlling regulations. You can not advertise a free offer for more than six months in any year period. There must also be at least a month's time in between free offer periods. If the offer requires an additional purchase, then that additional purchase cannot be marked up above what you ordinarily charge for the product.

If you discuss your "regular" price it must be the lowest price you have advertised during the preceding thirty day period. For example, you cannot take an item usually selling for five dollars and mark it up for one day to $10 only to subsequently offer a buy one and get one "free" for a total of $10. That obviously doesn't translate to a free item seeing the consumer could ordinarily buy them for $5 each.

If you attach conditions to your "free" offer then you must display them very close and visible to the free offer language itself. For example, if the "free" product is contingent upon paying for 5 full price ones, then you must prominently disclose this. Putting it as a small asterisk on the bottom doesn't meet this test.

You cannot avoid any of the above regulations by using semantics. It cannot be termed a gift or bonus thus escaping regulations. These regulations can be confusing if you already haven't deciphered that. Consequently, it is wise to seek professional counsel before "free" offerings are made.

Done correctly and legally an occasional "free" offer can have great use when introducing a new product or trying to revive lagging sales of another. However, if you don't follow all the guidelines that "free" offer can prove quite costly to the business owner indeed.

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