Is it possible for a promotion to be too successful?
Every business is looking to create a promotion or campaign that generates sales, new customers and/or to drive traffic. With only thoughts of a positive outcome on businesses minds, it’s easy to forget the negative impact running a promotion can have on a business. It’s common for businesses to offer discounts, coupons or rebates on their products. On the other hand, doing so can come with financial risks.
let’s use an example. If the original promotion budget was based on the cost of fulfilling a 2% response rate, and the actual response rate is over that percentage, the fulfillment costs could put the brand in a deep financial hole. Sure, strong sales may have eased the blow, but, it’s still a promotion with results outside of expectations. This is where Over Redemption coverage comes in handy.
What Is Over Redemption Insurance
Simply put, Over Redemption insurance can protect businesses financially in the event that a promotion ends up becoming more successful than was originally anticipated.
- Secures the financial risk of such sales promotion and customer loyalty campaigns .
- Work within your budget to achieve a bigger and more exciting promotion
- Ideal for large or small brands
- Stretch your promotional budgets for maximum market impact.
You can enjoy these benefits and more by getting Over Redemption coverage.
Coupon, discount and rebate management can be complex and unpredictable, but it doesn’t have to be. The good news is that Interactive Promotions Group provides Over Redemption Insurance – giving brands exactly the protection they need. By working with IPG, you also get tailor-made security. We analyze the data of your promotions and calculate the financial risk to give your business full peace of mind.
You can count on Interactive Promotions Group to deliver an effective policy for the lowest price. For more information about Over Redemption insurance, give us a call at 888-882-5140. Don’t let your next promotion become an expensive lesson.