GWP Marketing - Meaning & Definition

Jatin Khosla

5 min read

What is a gift with purchase marketing strategy in retail and how an online store can use it to improve its sales and introduce new products.

GWP, stands for Gift with Purchase. This is a sales promotion technique in which a customer is offered a second product free on the condition that the customer buys a larger value product.

This is a very important difference, a Gift increases the incentive to buy the product it is paired with by increasing the over all value of the product, which is different from a giveaway, which is merely a nice to have. For example, offering a free pair of running socks with a pair of shoes, may dramatically increase the chances of a purchase, then just offering say a pack of stickers for example.

Gift with Purchase Implementation Tips by retail guru Kar Tiong

  1. The GWP marketing technique is used for introducing new products, or increase the probability of purchase of a product. 
  2. This technique has been used extensively by the beauty and cosmetics industry.
  3. The gift should truly add value to the product , cannot stress this enough.
  4. The gift should be representative of your brand and your values.
  5. Time it right , for example, during the onset of Covid19, a brand I consult started offering face masks free with every purchase of T-shirts over $30. This was well received and now the brand is selling face masks as an individual product.
  6. Make it explicit , under what conditions the offer is valid, in fact update your product listings to reflect this. Or use the Konigle Bulk Price Editor to automate updates of product listings and manage the GWP.
  7. Inform your customer base, make sure to make some noise and promote your GWP to your customer base, to make it easier, you could just use the Konigle email feature to inform your email list about the GWP in seconds. Love this feature ! 

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