A free trial is one of the most popular marketing strategies for businesses of all shapes and sizes, but that doesn’t mean it is always the perfect solution for every situation.
Free trials are so common because they usually represent a situation that benefits the customer as much as the company offering the deal. This is because the consumer gets a risk free chance to engage with a company’s product or service, and it is a very effective way for a business to generate sales.
However, even though there is no doubt about the effectiveness of a free trial as a marketing tool, it is crucial to understand that there are certain pros and cons you need to weigh up before deciding if it is the correct option for your business.
Effective Uses Of Free Trials
- Investing in your product
If you have a great product offering a free trial is the most straightforward and effective way of getting that product or service in the hands of as many people as possible. Offering a free trial can be a great way of introducing new customers to the brand and getting them interested and willing to invest in the platform or product.
- Amazon Prime
A great example of this is the free trial being offered by Amazon Prime. It is a fantastic service that offers free delivery on all Amazon orders, access to Prime Video, a free subscription to streaming platform Twitch and many other benefits.
- iGaming Industry
If someone uses the services during the free trial, they become incredibly likely to extend their subscription beyond the free trial. It is also used effectively in the iGaming industry, where the best no deposit free spins allow players to get a feel for games they would be interested in playing.
Negatives Of Offering A Product For Free
- It Can Be Costly
The first and most important consideration is that running a free trial is not cheap. You need to provide near enough of the same experience the consumer would receive if they were paying for it. Before any people sign up for the free trial, decisions need to be made about how long the free trial is run for, how many features are included, and there needs to be support offered to users even though no one is paying a cent.
- Free Removes Value
A certain psychological attachment comes when a product or service is paid for, making it far more likely that someone will use something they have paid for. No matter how good your product or service is, there is no guarantee someone will use it or continue to interact with your business even if they sign up for a free trial.
- People Will Try To Abuse It
If you run a free trial, you need to make sure there is no way that it can be abused. To use the Amazon example again, the offer is only available if you haven’t been signed up to the service at any point in the past 12 months. The reason for this is that there are people out there that will take advantage of any system they think they can cheat, so your free trial needs to be watertight.