I previously said that making contests giving free cakes away gave me a small victory in increasing subscribers, widening my reach. SCRAPE THAT PLEASE I WILL NEVER DO IT AGAIN.
At least, I must change the way I do it next time.
The subscribers I got from these contests were the most inactive people ever! It poisoned my email open rates and made it super difficult to track effectiveness of my newsletters. PLUS, here’s the kicker: one of the winners unsubscribed.
The ROI was almost zero. Almost, because I’m not sure if a couple of customers would have bought from me anyway if the contests didn’t exist, haha.
So, my lesson learnt is: Referrals for email subscriptions are useless! Even sharing post on Facebook might not be useful too. These things don’t necessarily translate to sales. Plus, people are likely to give you an unused email address and your marketing messages are not going to reach them anyway. The only referral rewards I’ll give out next time will be for referred purchases.