“Pepsi Stuff” and Giveaway Marketing Campaigns

Anecdote…

In the 1990s, Pepsi launched its now infamous “Pepsi Stuff” campaign, where consumers could collect points from Pepsi product purchases and redeem them for prizes. The company featured a commercial showing a teenager jokingly claiming a Harrier Jet as a reward for 7 million Pepsi Points. A participant named John Leonard collected enough points (with the help of investors) and tried to claim the jet. Pepsi had to deal with a public relations headache and a lawsuit, ultimately arguing that the jet was clearly a joke and not a legitimate prize.

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A giveaway marketing campaign is a promotional initiative where a brand or company offers free products, services, or discounts to participants in exchange for their engagement.

Usually a sense of urgency can increase participation. Limited-time offers encourage more rapid engagement.

These campaigns are designed to increase brand awareness, grow an audience, generate leads, or boost Customer loyalty.

For a chance to win, participants enter by liking, sharing, tagging friends, or commenting on posts, or sign up to the company’s email list to enter, building a database for future marketing. Or possibly submit photos, videos, or testimonials related to the brand.

What are the three most significant Pros and Cons?

1) Increased Brand Exposure:

• Pro: Giveaways often go viral, especially when participants are encouraged to share or tag friends, significantly boosting brand visibility
• Con: If not targeted correctly, you may attract participants who are only interested in the free item rather than becoming long-term Customers

2) Lead Generation and Customer Acquisition:

• Pro: Giveaways are an excellent way to collect valuable Customer data, such as email addresses, which can be used for future marketing efforts
• Con: The quality of leads can be low, as many participants may not have genuine interest in your products or services

3) Enhanced Engagement and Social Proof:

• Pro: Giveaways can dramatically increase engagement on social media, building social proof and trust for your brand
• Con: High engagement might be short-lived, dropping off after the campaign ends if not nurtured properly, leading to temporary attention without lasting impact

Warning: be careful about legal compliance, different Countries have regulations about contests and giveaways – don’t risk going against local laws.

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By the way, how did it end up with “Pepsi Stuff”?

In 1999 came the court ruling, in favour of Pepsi.

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Andy Cavallini