It is widely understood that the Bait and Switch technique is a sort of fraud, but the question is, why do people use it, or if they do, then what are the pros and cons of it?
Bait and Switch advertising is a technique of generating traffic for businesses to fulfill the purpose of bringing up new customers to further products that may otherwise have to remain unnoticed or have been promoted less. Some kinds of bait and switch techniques are legal, while other kinds are not. It is significant for the effectiveness of the Bait and switch technique as an advertising tool, to know the difference between legal and illegal bait and switch advertising alongside realizing when to use the bait and switch technique of advertising and with which product.
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Pros And Cons Of The Bait And Switch Technique
Let’s discuss some advantages and disadvantages of the bait and switch sales method:
Pros of bait and switch
Encourages Satisfaction of Customers
Admissible reasons for a switch encompasses showing a customer something they might also be interested in, being sold out of adequate stock, and replacing or updating a product or service. Such reasons are approaches to enhance customer satisfaction and service as they represent the business’s willingness to help the customer identify a suitable alternative.
For instance, suppose if a customer comes to know about a cell phone via its advertisement, he goes to have a look at that phone, his intentions may only be to inquire about the product further because he is in the market for a new phone. Hereby, it implies that switching sales assistance to varied cell phones may enhance this particular customers’ shopping experience and research experience.
Increases market exposure
Bait and switch advertising also increases market exposure. Consider, if an advertising campaign of bait and switch is regarded as negative and the company as a corrective measure quickly follows up with clearer advertising, the ultimate effect may result in greater advertising leverage than the outcome of utilizing a standard advertising methodology consistently. In other words, the advertising itself can be bait and switch, beginning with one type of advertising to catch customers’ attention and another one to build on that attention.
Bait and switch advertising can boost sales forecast for a company. If the method utilized is legal, and the sales tactic is suitable to the product and market, bait and switch can boost the sales consistently. In simpler words, some specific markets and products suit better with bait and switch advertising than others. For instance, unique brands such as Coach Purses may not be finding it easy to switch with other brands yet; the purses themselves may be switched, provided they remain the Coach brand. The usage of market research can prove largely helpful in ascertaining whether and when a bait and switch marketing campaign is the correct choice for your business.
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Cons of Bait and switch
Constitutes false advertising
The Code of Federal Regulations determines some specific criteria. For avoiding possible negative litigation, bait and switch advertising techniques should generally not meet these criteria. In consideration of this, the variations of the bait and switch that do intend to sell the bait product alongside switched products are more effective and safer as compared to a traditional bait and switch.
Reduces brand perception
Loyal or long-term customers who have some specific advertising expectations from the company may not value bait and switch advertising at all. They may apprehend it as breaching of their trust and non-recognition of their value to the company as long time customers. While making use of the bait and switch technique with such customers, it may prove more effective to mold the technique to a soft-sell or more customized approach, where the bait and switch aren’t much defined. For identifying client preferences and demographics, market research is helpful. It can be utilized in determining whether a bait and switch is the correct promotional choice or not.
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Could reduce long-term revenue
A bait and switch advertising campaign could even turn out to be a complete disaster, depending on a business and its clientage. This fact is validated in a Pennsylvania State University Study about the bait and switch search engine advertising. In the study, ‘piggyback products‘ are offered or advertised alongside the search results for brand-specific queries, which will lower the impact of the original advertisers’ goals and paid for advertising. It is an example of third party advertising using bait and switch.