Experiential Marketing: What Are the Pros and Cons
This is a writing sample from Scripted writer Emily Caldwell
Experiential marketing is exactly as it sounds; a form of communication marketing to customers that is all about creating experiences. Perhaps as a consumer you’ve experienced this type of marketing without realizing it. Some examples of experiential marketing include product demos or samples, which we’re all familiar with.
Experiential marketing is when brands hold events to allow their customers to interact with the products and services personally and create a meaningful engagement. This ultimately helps to gain customer trust and loyalty and enhance customer lifetime values (CLV).
Though this may sound instantly appealing from a customer’s eyes, from a business perspective, there are both pros and cons to examine when considering experiential marketing tactics. When strategically done, experiential marketing can have a solid return on investment (ROI) for your company. In this article, we’ll examine some of the main advantages and disadvantages to experiential marketing.
Advantages to Experiential Marketing
One clear advantage of experiential marketing is that it allows your business to connect on a deep level with your customers. Such as other forms of marketing tactics, such as targeted digital marketing, you can specifically target your audience via experiential marketing. Through experiential marketing, you are able to create a unique and memorable experience for your consumer, which people are likely to share via social media platforms. This means that an experiential marketing plan can be easily paired with a digital marketing plan.
People tend to share their memorable experiences via social media and word of mouth. This means more customers are attracted to your brain by the creation of one memorable experience. By creating a connection, this leads to long-term success. The options for experiential marketing are not limited, which gives you creativity to make your business stand out from others providing or selling similar products or services. Creating a connection via live-events, music, sampling, etc leads to increased conversion rates.
Disadvantages to Experiential Marketing
One potential disadvantage of experiential marketing is that it requires a clear grasp and understanding of your target audience. You want to make sure your marketing tactics are properly matched to the audience in mind. Without this, you risk creating a negative perception of your brand. It also may be difficult to foresee how the audience will react to your experiential marketing campaign, which makes it some form of a risk. For many companies, a risk vs. rewards assessment needs to be analyzed to determine the feasibility of successfully launching an experiential marketing tactic.
Another thing to consider is the budget associated with an experiential marketing campaign. In order to effectively capture your audience, a lot of effort and time is required. As such, this type of marketing involves a clear budget that is large enough to hire people skilled enough to take on such a task. The success of an experiential marketing campaign is largely dependent on the ability to capture attention and create a meaningful experience for the audience.
Written by:
