#general-chat
Thread
Has anyone ever tried giving away a free product for first time customers?
My most popular/baseline product is $15 (natural deodorant) - that also seems to be the CAC through META. $15 + $6 Cost = $21 per customer through meta for me.
Part of me is wondering if I offer first time customers a free stick of deodorant ($6 value for me) - I would probably capture alot more emails to retarget for 2nd time purchases and get a lot more folks to try the product initially (which hopefully would turn into bigger customer base).
Curious if anyone has thought about this or tried this. Thanks!
You need to increase your average order value. Can you create a package of other products? Maybe make a travel size that can be added as a part of the package?
yes I have been increasing my average order value by offering body wash + ability to buy all 3 deodorants at a discount.
More so just thinking of creative ways to really open the flood gates and attract customers for the first time (yes I would be losing money, but I would think I would get alot of first time orders if giving a stick away for free)
Ya, this free stick for first time customer idea would kind of being throwing unit economics out the window in hopes that the amount of new customers that come in the door could be monetized on their second purchase + become loyal customers. On the flip side, there will be people who just want the free product and never come back.
Im still in the "get product in as many peoples hands as possible" stage as opposed to the "need to be profitable right now" stage
Yes, I collect reviews and currently have a 10-15% repurchase rate (because its deodorant some people havent gone through their sticks yet so repurchase rate numbers probably not very accurate at the moment)
deodorant repurchase rate seems to range from 1-3 months depending on the specific person (how much they use, how much are they sweating, how many applications per day, etc). Still waitning for more of that data (i've only been live for 2 months or so)
will dm you when im back at my computer - its minimal though as I would like to not have that be the foundation of my business and find other ways to drive revenue
So a free stick for first time customers make sense but are they already buying Deodorant?
I would call all of your current customers and see what they like or don’t like. Start there.
Cash back or a gift for first time customers is potentially a better option as it doesn’t automatically eat into margin
Issue with giving away free product as a customer acquisition method is 1) perceived value is $0 or very low; 2) FB algo will find freebie seekers who won’t come back.
If you are at a $15 cac for a $15 product,
You are effectively acquiring paying customers for the cost of the product + shipping which is much better than giving it away for free. You are just 1 or 2 more purchases away from a profit. Try to get the aov up thru bundles, get them on subs, get the COGs down, improve the product (higher repeat / LTV), and test lower cac channels (AMZ, TT shops, retail)
I saw Duradry's conversion hack (since you mentioned your product as natural deodorant) on Twitter yesterday by
And I guess @Wiehan Britz can also share some insights on welcome flow offering free gifts
Such a good convo and thanks for the tag @Anubhav Narula,much appreciated as always.
@Kellemen we have had varying success with free gift on first-purchase. Some consumers don't care for free gifts and attach more to other incentives.
Like others have said here, we always try and tie it to a benefit for the DTC Founder to mitigate any financial risk from it. I've seen a ton of tactics over the years being used by different eCom brands:
• Spend thresholds for free gifts to boost AOV
• Gift card rewards for first-purchase to encourage returns
• Exclusive product bundles with free gifts to drive value
• Tiered incentives tied to higher spend levels
• Discount codes for future purchases instead of free gifts
• Digital freebies like eBooks or guides for low-cost rewards
• Free expedited shipping on orders over a set threshold
• Let customers pick their free gift to increase engagement
• Limited-edition gifts to create scarcity and excitement
• Free trial memberships to boost loyalty and retention
• Mystery gifts to spark curiosity and drive conversions
• Double loyalty points when joining our loyalty program
• Charitable donations as an alternative incentive
• Social sharing rewards to amplify brand visibility
• Product samples as gifts to encourage upsells
Split-testing is usually the way to determine the impact of a free gift with first purchase, but it requires some robust setup to truly determine its impact. e.g. using Rebuy