I recently received a question about rebate marketing, and it reminded me that many companies still wonder if rebate marketing is a good method for attracting consumers.
Question: "Laura, do companies offer smaller rebates, knowing that people won't take time to fill out the forms as opposed to the larger rebates? Also, do you think that the smaller rebates are geared towards lower income consumers, as opposed to more wealthy consumers?" - Tim
In an article by US News I found what John Gourville, professor of marketing at Harvard Business School had to say very interesting...
"While redemption rates are typically kept under wraps by retailers and the fulfillment companies that handle rebates, Gourville estimates that even for pricey items with rebates worth $50, the redemption rate is below 50 percent."
Rebate marketing programs have existed for years, but is it a marketing method that you should consider? There are key components that can make a rebate program successful, but they are not for everyone. Learn how to determine whether a rebate program is right for your products and how to plan it so that it carries a marketing benefit to your company.
What do you think? Are rebates and coupons still valuable marketing tools to businesses today?
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