Retailers are constantly looking for new reasons to bring customers through their doors. Price, convenience and product selection will always matter, but physical stores offer something digital channels can't fully replicate: the opportunity to create memorable, in-person experiences. Celebrity appearances, athlete challenges, chef demonstrations, gaming competitions, product experiences and community events can generate excitement and give consumers a reason to make a special trip.
But here's an opportunity retailers may be overlooking: they don't necessarily have to pay for—or even execute—the experience themselves.
Let Brands Help Create the Experience
Many established brands already invest significant marketing dollars in experiential programs designed to connect with consumers face-to-face. For those brands, access to a retailer's customers and physical locations can be highly valuable.
That creates an opportunity to rethink the traditional event model.
Rather than hiring talent, producing an event and allocating a marketing budget, a retailer can partner with a brand to fund and execute the activation. The retailer provides the environment and designated space, while the brand brings the experience. Depending on the partnership, the brand may also pay for ongoing access, creating an incremental revenue opportunity for the retailer.
The possibilities are virtually endless. A sporting goods retailer could host an athlete skills challenge. An electronics retailer could stage a gaming competition. A grocery retailer could offer a chef demonstration or tasting experience. A fashion retailer could create a celebrity or influencer shopping event.
And the experience doesn't have to involve a celebrity. Demonstrations, contests, giveaways and community partnerships can create meaningful engagement, too.
Make the Retailer Part of the Promotion
The partnership can extend beyond the event itself. Brands can purchase retailer gift cards to use as contest prizes, appointment incentives or promotional rewards—giving consumers an immediate reason to engage with the retailer and an opportunity to make a purchase.
Brands can also promote activations through their own social media, email, digital advertising and local marketing, potentially introducing the retailer to audiences beyond its existing customer base.
What starts as a single event can become a broader campaign that builds excitement before, during and after the experience.
Rethink the Economics of Events
An in-store event doesn't always have to be another expense. With the right brand partnership, it can drive traffic, deepen customer engagement, generate incremental revenue and create gift card opportunities.
So instead of asking, “What would it cost us to create an event?” , retailers might ask: “What kind of ROI can brands generate from an event?”
*This article originally appeared in the Retail GIft Card Association (RGCA) library, accessible here.