November 11th, 2007

The Right Way To Deploy BOGO in Digital Marketing

By Dr. Shuki Idan

As tempting as it might be to use Buy One Get One (BOGO) offers to influence user spending, you want to be careful to keep just the right balance at all times.

Having reviewed some of the key differences between using the BOGO paradigm in the brick-and-mortar world and in the online marketing world, some of our best practice recommendations for the proper use of BOGO with digital products are:

Always provide full price and value information of the “benefit”, to allow consumers to assess what they are getting. The regular price of the product should be retained wherever possible as its mere presence will reduce the likelihood of drawing a price related inference (that can be unfavorable) from the value of the deal. Include the “value” of the benefit, if it is a reasonable value, for while consumers may not accept the full claim, they will use this value to anchor on and assess the value.

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November 4th, 2007

Marketing digital services within the ‘Buy One Get One’ paradigm

By Dr. Shuki Idan

The Buy/Get or BOGO (Buy One Get One) offering is a common retail promotion practice. The BOGO model encourages the customer to buy one or a few items and get special terms on other items, e.g. discounted or free other items, loyalty points, eligibility for preferential terms in other promotions, etc. This model is also applied in digital marketing scenarios such as: download a song and get a ringtone for free, buy this Madonna song and get another song for half price, or sign up for VOD service and get 100 minutes of international calls for free. In this post we will be looking at the use of the Buy/Get model in the marketing of content and digital services.