Offer great prizes while balancing financial risk
Promotional events and campaigns drive engagement from your target market, making for better business opportunities. They can generate sales, attract new customers and gain customer loyalty. Rebates, scratch-off tickets, redeemable coupons, collect-and-win games — redemption-based promotions are effective ways to reach out to both new and existing consumers while increasing activation. But what happens if consumer response to your promotional campaign is much higher than anticipated? Will this have an adverse effect on your budget?
Whether it’s a scratch-and-win, a chance at a $100 gas card or a free movie pass with the purchase of a tie-in product, companies offering redemption programs must account for unexpected consumer response. And accurately predicting redemption results is a challenging task.
Prize indemnity insurance protects promotional events that have attractive and expensive prizes for winners. We balance the financial risks associated with promotions and remove the guesswork through coordination of traditional prize indemnity insurance, or through the establishment of a fixed-fee insurance policy.
A budget overage should be the last thing on your mind when your redemption program succeeds, and with our prize indemnity insurance experts, it will be. We can:
- Choose attention-getting prizes.
- Advise on contest rules and payout structures.
- Provide traditional over-redemption insurance.
- Supply fixed-fee insurance.
- Give access to preferred pricing with top insurers in the industry.
Don’t let the ramifications of a promotion that is “too successful” impact your bottom line – find out if prize indemnity insurance is right for your event or campaign.
Talk to a HUB insurance specialist today.
