Promotional Risk Coverage allows you to give away millions, without any liability associated to your promotion budget. The strategy behind marketing promotions, which include promotional risk coverage, is simple. It enables companies to differentiate brands in a very competitive market. Promotional risk coverage could provide your company with the means to give away millions in cash or large prizes. Your prize offerings are based on the odds of a winner claiming the prize. As long as your promotional strategy does not include a guaranteed prize offering as the only prize, your company can include promotional risk coverage with the promotion.
Promotional risk coverage can be found in promotions like you see on television, hear on the radio, read in newspapers or magazines, and see online or in internet promotions. They offer the consumer a chance to win, and when there is a winner, your company is protected against having to pay the winner. Much like you insure your car from an accident or your home from a natural disaster, you can cover your promotion against a risk associated with the liabilities of giving away large valued prize amounts. The cost of promotional risk is minimal, literally a fraction of the prize value, and is based on the promotional odds, the prize value, and the number of chances given to win the promotion – allowing you to deliver a huge incentive at a fixed cost that will never blow your budget.
Promotional risk covered promotions open up possibilities to offer larger prizes than most companies can afford, or would want to take promotional risk on. These large prizes are proven to increase registrations of online users, traffic in stores, and sales at any given time. Strategies including promotional risk coverage also build large brands through consumer loyalty. Everyone appreciates winning something, people enjoy watching others win, and everyone remembers who was offering the big prize.
Protect your company from promotional risk.
Promotional Currency’s proprietary promotional risk coverage service is a powerful tool that enables you to super-size your promotional programs.
Along with incorporating promotional risk coverage into all of their digital incentive product offerings, they help businesses manage their risk on redemption-based promotions. By analyzing the odds of redemption and then placing the risk with an A+ insurance company, Promotional Currency can provide your brand with a fixed-cost solution that amounts to a fraction of the actual promotional value. And should over-redemption occur, Promotional Currency will cover the cost – whatever the value of the prize, rebate, coupon or premium.
Read Case Studies: Sara Lee Royal Bank of Canada®
Benefits
- Offer High-Value Incentive for Fraction of Retail Cost
- Receive Fixed-Cost Solution that Ensures Budget Certainty
- Protect Your Company from Over-Redemption Expenses
- Eliminate Promotional Liability from Your Books