What is a Fixed Fee? The Ultimate Guide to Risk-Free Campaigns

If you are planning a marketing campaign, you might be asking yourself: What is a Fixed Fee in the context of sales promotions, and how does it protect your brand?

While the term has many meanings across different industries, our definition at Mando focuses entirely on risk – or more importantly, the total removal of risk. Our Fixed Fees provide a financial safety blanket for your marketing campaigns, where the financial risk of over-redemption is completely transferred from your business to us.

There are many unknowns when planning a sales promotion campaign:

• How many claims will I get?
• What communication message will drive the best engagement?
• Which promotional mechanic will hit my marketing objectives?
• Will this campaign blow my budget?

Mando Promotions and our fixed fee solutions can provide answers and security to all of these questions.

To understand what a Fixed Fee model’s true value is, you have to look at how it is calculated. To calculate a Fixed Fee, we measure specific campaign metrics and predict the response level. We use our vast, industry-leading past promotion history database to help inform future campaigns.

We interrogate your promotional plan, ensure it is completely watertight and then offer a single, set price and take over the financial risk of redemptions. It really is that simple!

But why should you run a sales promotion using this model? Here are the key benefits of partnering with Mando:

With a Fixed Fee, you know exactly how much your campaign will cost upfront, meaning you can put every penny of your budget to work. Your promotion will work smarter, garnering the maximum engagement for your campaign. In a time of economic uncertainty, we provide absolute certainty for your budget – which we are sure will please your CFO!

In addition to financial security, we also help guide you with response level expectations, communications planning and provide full data reporting throughout the campaign.

Whether your goal is increased sales, building an emotional connection with your brand, or achieving greater cut-through on the supermarket shelf, we ensure the promotional campaign you are planning hits these metrics.

With Mando, understanding what a Fixed Fee benefit goes beyond just budget security – it also means gaining robust data insights and promotional response expectations. We will work closely with you to model the campaign and the Fixed Fee around certain scenarios, showing you exactly what levers can be pushed or pulled to meet your objectives and KPIs.

Our advanced modelling can include looking into different promotional mechanics to showcase the exact impact these have on your budgets and consumer engagement.

First Party data is the key to repeat purchase and creating a loyal consumer base. We it hear it so often from brands – the retailer knows my consumers, but I don’t know who is buying my product.

Getting to know your consumer is invaluable for future planning, and sales promotions are an excellent way to not only reward your consumers, but get to know them too. It’s the gateway and building block to a long-term relationship.

Make the experience smooth and seamless, the reward enticing and unique, and you’ve got a winning formula for first party data gathering.

The beauty of Fixed Fee is certainty amongst many variables. Budgets are tight and needing to stretch further, and work harder. With Mando’s Fixed Fee, you can be sure that your sales promotion won’t go a penny over budget. You can sit back and enjoy the engagement your campaign is receiving, and not have to spend time worrying about budgets.

Mando Promotions is a data-driven promotional management agency – your partner to get into the nitty-gritty of a campaign and help it run smoothly, securely and cost-effectively.