Once the online store is set up, the next step is building a contact database, primarily focusing on collecting email addresses and other information from existing or potential customers.
Building Customer Base and Genuine Customer Engagement
Establishing a broad network of people is crucial for many businesses, as it can significantly boost your growth. This can be achieved through actions such as contests, rewarding referrals using email or social media. Giving something to potential customers can lead to them giving back even more.
We carefully monitor and measure the impact of such actions. These types of promotions are among the most effective advertising methods.
Building email address databases can be done in various ways. Choose a few and carry them out well: the quality of addresses matters more than quantity. It all starts with building a base with existing customers.
Some examples of actions you can include in your online store:
- Newsletter sign-up, which should be visible on the entrance page of the online store,
- Contests,
- Free guides and e-books,
- Free webinars,
- Free samples, testers,
- Free advice,
- Coupons for discounts for purchases in the online store,
- Various contests, and
- Presence on social networks.
Prize Draws and Contests
Contests can quickly grow a contact base and have a positive effect on the customer relationship, but they also attract prize hunters, so always check the quality of the contacts.
With a well-thought-out strategy, a contest can increase the reach of advertising in a short time without a large financial investment. Consent to the newsletter must be separate from entering the contest: a pre-ticked box or consent as a condition of entry is not valid. Contests must have published rules and meet the rules of the network (Meta and TikTok have their own contest rules) and the law of your country: whether a promotional prize draw counts as gambling, and how prizes are taxed, differs from country to country, so check the rules where you operate and talk to your accountant before the first contest. Choose prizes tied to your offer to attract buyers, not prize hunters. For sign-up use double opt-in. The contest can be advertised on various portals and social networks, where users also promote them.
The contest achieves the best effect if supported by other areas of online marketing.
Why is making a contest a smart decision?
Making a contest is an advanced service that increases the base of your potential customers. Social networks are a popular place to win new potential customers.
Advantages of creating a contest:
- acquiring a new potential customer base (email addresses, phone numbers, etc.),
- increasing the number of visits to your website or store, and
- increasing the recognition of your brand.
Which types of contests are most often used online?
In principle, clients prefer and most often opt for two types of contests:
- viral contests,
- contests on social networks.
Viral games work on the principle of "invite a friend" and spread quickly among online users. With such games, we can be more successful than with regular contests, but the concept of the game itself must be very attractive for friends to respond to the invitation.
Contests on social networks (Instagram, Facebook, TikTok) reach many people, but run them according to the rules of each network.
Frequently asked questions
A contest can quickly grow your contact base, but it also attracts participants who are only interested in the prize. The newsletter signup must be separate from entering the contest and based on consent; with a prize tied to your offer you attract higher-quality signups.
A contest must have rules (prize description, participation conditions, deadline, winner selection method). Consent to the newsletter must be separate from entering the contest. Prizes may be taxable for the winner and the organizer may have obligations; rules differ by country, so check them and talk to your accountant before the first contest.
Define the platform (Facebook, Instagram), the mechanic (like, comment, share, registration), the prize, and the timeframe. Make sure the mechanic complies with Meta policies (ban on mandatory sharing as a condition). Announce results transparently.
Quality is lower than organic signups - part of participants are only interested in the prize. The key is that the prize is relevant to your target group (your product, not an iPad). With the right prize and post-contest communication, you retain relevant subscribers.
With a welcome email sequence that introduces your brand and offers value (discount, useful tips). Do not immediately bombard the new list with aggressive sales emails - first build the relationship.
My name is Anže, I am a certified Magento solution expert and the maker of several award-winning online stores. I am the architect of all Degriz projects.
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