Sunday, July 24, 2011

Auctions and Giveaways: Good for your business?

Do you think they help your business or hurt it?

I've been doing some of both lately to work on increasing recognition. However, I wonder if they cheapen people's opinion of your goods. I am on the fence. I know several people who have had great success in selling online that recommend them. I know several other people that are frustrated by people always seeming to want free things from them.

If you give your items away very early in the promotion of your page, you are risking creating an idea in the consumer's mind that your products have no value. If auctions and give-aways are one of the ways to increase recognition, how do you avoid de-valuing your item to the consumer?

Maybe I'm putting too much thought into this whole thing, but I remember reading a book in Consumer Behavior that talked about this topic. You have to create value to your products in the consumer's mind. If they see no value, they will not purchase it.

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