Unfortunately, free rebate certificate promotions fall into this “too good to be true” category.  If you tell a potential customer that, for example, if they buy a car you’ll give them a certificate for $500 worth of free gas, they are instantly suspicious and on their guard.  Many will ask you what the catch is.  Consequently, if you use free gas and grocery promotions (we offer six categories plus a Combo), you have to know them backwards and forwards. You need to be able to explain to a customer, on a moment’s notice, exactly how the gas and grocery certificates work so thoroughly that they have no doubts left that the offer is indeed legitimate.  To help you in that, this article will explain in detail just exactly how free gas and grocery promotions work. 

First, you (the store owner) purchase a number of these free certificates from a redemption company.  You buy them at a greatly discounted rate, paying “pennies on the dollar”.  You then use these certificates as an incentive to get customers to buy your product or service.

The best analogy that you can use to explain the process to your customer are the mail-in rebates for items at electronics stores like Best Buy.  The customer pays full price for the item, mails in the rebate receipt, and within a few weeks the company mail back a check for the rebate amount.

To use free gas and grocery promotions, the customer must: (for this article I’m referring to Gas and Grocery but we have six categories available – Gas, Grocery, Dining, Pharmacy, Pet and Retail

1. Choose a gas station (for gas certificates) or grocery store (for grocery certificates) that they want to use their certificate with.  They can choose any store they want, but then must always use the same store for the entire certificate redemption period.

2. Activate the free gas or grocery certificate, and state which store they plan to use it at.  They can ONLY do this online.
(Your customer must have access to a computer)

3. The redemption company provides the customer a redemption coupon that is printable from the registration site (much like a mail-in rebate form) with the customer’s name, activation number, and month & year the coupon needs to be sent in on.

4. On the first day of the next month, the customer begins saving receipts of their gas and/or grocery purchases. 

5. At the end of the month, the customer mails in the redemption coupon for that month and their receipts to the redemption company. Receipts must be entered by the end of the month and mailed before the 15th of following month – see “Terms and Conditions” on actual certificates. 

6. If their receipts show they have spent at LEAST $100 on gas or groceries that month at the store they previously selected, the redemption company will mail the customer a $20 VISA gift card or make a “Direct Deposit” on their Visa card which the customer may use anywhere. ( or Option B – 24 hour turn around after approval of physical receipts)

7. They continue this process until the certificate amount is used up.  For example, if they received a certificate for $100 in free gas, they can get $20 in free gas once a month for five months.  If they get a certificate for $500 in free gas, they can get a gift card for $20 worth of gas once a month for 25 months ($20 per month x 25 months = $500.00).

That’s how it works.  The customer does have a few hoops to jump through, and a deadline each month, but nothing unreasonable.  If you explain this clearly enough to them, hopefully they’ll become convinced that your free gas or grocery promotion is legitimate.  That builds customer trust—something worth its weight in gold in a competitive marketplace.

The following is a “Industry Specific” slideshow presentation on HOW the actual system works.
This presentation is for the “Home Security” industry.
http://incentivesgroceryandgas.com/slideshow/security/starrebates

Only the Best,

Michael Goulet – TL
Direct Strategies, Inc.
“The Incentive Pros!”
http://incentivesgroceryandgas.com
http://www.incentivebasedpromotions.com/    (Star Rebates)

The Pharmacy Certificate

1. Must purchase 50% prescription and non-prescription medicine. The other 50% can be anything in the Pharmacy.
2. CAN have more than one receipt dated from the same day. The REASON: Some pharmacies make you pay for prescriptions at the pharmacy counter and other items at a separate cash register.
3. We give away a Prescription Discount card at activation now that saves a person up to 60%. Add that to a $25 VISA card each month and you have a grand slam for everyone.

• The site is full of information that will help any prospective or current client understand WHAT we do, HOW we do it, and WHY we can continue on the long road
• Pay close attention to the ADVERTISE link (numerous options to our clients) – how about a list option that is growing at close to 50,000 new members per month you could have access to (refined to Zip Code for local impact)
• We are opening dozens of Manufacturer FORUMS over the next 30 days.  We will be connecting the manufacturer with their buyers.  Social Networking is HOT right now and will be for some time to come.  Manufacturers will be able to display audio/video, do surveys, polling, offer specials and coupons all within their own private label forum.  The manufacturer will assign a moderator for the forum.  All users in the forum will be able to communicate with each other as well.  For example if it was the Weight Watchers forum the users could exchange recipes.  And Weight Watchers might be introducing a new meal and offer it FREE for taking a survey or deep discounts.
• We have a FREE discount prescription card coming shortly that will be FREE to every end user that entitles them to up to 60% off prescriptions.  $500 in Rewards Cash that will get them Entertainment coupons that offer 2 for 1 restaurant discounts, and the ability to purchase $25 OFF coupons in restaurants across the USA for ONLY $5.  And the list goes on and on…
• The new Pharmacy/RX certificate is right around the corner.  Stay close!
• If you’re facilitating, sitting on the fence thinking about what you could do improve your business etc…what are you waiting for exactly…
• We have the solution “Incentives That Work“!

Gas and grocery promotions ( also Merchandise and Pharmacy available April 1, 2009)—offering certificates for free gas or groceries to encourage customers to make purchases—has the potential to drastically improve your business, sales, and profits. Note that we only said “potential”. Like any other sales campaign, if you don’t do free gas and grocery promotions just right, you’ll only get mediocre results—or possibly no results at all. This article will give you some hints and tips on how to get the most out of free gas and grocery promotions.

ADVERTISE, ADVERTISE, ADVERTISE

First and most importantly, you HAVE to advertise a free gas and grocery promotion as much as possible. The purpose of free gas and grocery promotions is to get customers into your store who wouldn’t normally come, and to make purchases they wouldn’t otherwise make. If you DON’T advertise the free gas and grocery promotion adequately, what you’ll get instead are people who come to your store planning to make a purchase anyway, and consider the free gas or grocery certificates a pleasant, but unexpected, surprise bonus.

There are many ways to advertise. Blast emails are probably the cheapest. A direct mail campaign to a targeted audience is also effective. Finally, spend the money to place an advertisement where it will reach a large general audience, like an ad in the local newspaper or a commercial during the local news. The goal is to make as many people as possible aware of your free gas and grocery promotion.

BIG DEAL

You also have to make the deal sufficiently sensationalistic to turn heads. If, for example, you only offer a certificate for $50 worth of free gas if a customer makes a $1000 purchase, that’s not going to encourage very many people to come into your store. In general, the closer the values of the purchase and the free gas and grocery certificate are, the more people will respond. That same $50 free gas certificate, if offered in exchange for a $100 purchase, will generate more interest. A $500 free grocery certificate in exchange for a $1000 purchase will have the same effect. The ultimate is to offer a certificate equal to the amount of the purchase—for example, a $300 free gas certificate for a $300 purchase—because customers will see that as “free money”, and consider themselves fools not to take you up on the offer.

MEDIA MATTERS

If your free gas and grocery is sufficiently sensationalistic (such as in the last example mentioned above), it might generate enough interest to be newsworthy. Contact your local newspaper and television news program, and let them know about your sale. There’s always the chance they’ll have a slow news day, and decide to run an article or news report on your free gas or grocery promotion. This is essentially fantastic, free advertising. Even if your local media declines to do a spot on your promotion, you haven’t really lost anything—it takes almost no time or money to have made a phone call or mailed a letter.

FOLLOWUP AND FEEBBACK

Finally, make it as easy as possible for customers to collect on their free gas and grocery certificates. Your free gas and grocery campaign can backfire if the first round of certificate holders grumble to their friends that your promotion wasn’t all it was cracked up to be—or even a scam. That’s the kind of free advertising you DON’T want.

Instead, explain the redemption process to your customers in detail. Provide them with written instructions. Finally, purchase your free gas and grocery certificates from a redemption company that makes it simple and easy for certificate holders to get their free gas or groceries, with a minimum of conditions, restrictions, deadlines, or hoops for the customer to jump through.

Michael Goulet
Free Fuel Nationwide Team Leader
http://incentivesgroceryandgas.com
w-612-377-5262
Fax-480-304-9095
michaelg@freegrocerycenters.com