Some small business owners looking to improve lead generation might take classes, seminars, and watch YouTube videos for helpful tips and market research. However, the most effective and historically successful way to generate verified local leads is through offering free prizes, also known as incentive marketing.

Its probably not surprising then that CliquePrize® data shows a direct correlation between prize value and lead volume. While the app enforces a $1,000 Approximate Retail Value (ARV) limit, most Sponsors never need to offer a prize at that maximum to capture a significant number of local Contestants.

The key to success is choosing prizes that hold sentimental or historic value to the local community. When a prize resonates with local culture or has social impact, it attracts higher engagement and may even capture attention from local press and influencers. The most effective local lead generation strategies stem from authentic connections, built through research, community involvement, and meaningful incentives.

Lead Generation Business Model

Small businesses must treat lead generation as an investment with measurable ROI rather than an expense. The sunk cost of a giveaway is not just about giving away a prize; it is a strategic investment to capture a highly targeted, local customer database.

With CliquePrize®'s base Coin Package fee upfront and pay-per-lead model ($1 per verified local lead) optional during the post-promotion phase, small businesses can effectively control their budget while ensuring every marketing dollar is tied to real, usable Contestant data. This list of local email addresses and mobile numbers can be used for follow-ups, promotions, and long-term customer relationship building, leading to repeat business and increased foot traffic.

Lets look at the model itself.

Lead Generation Model for a Brick-and-Mortar Business Using CliquePrize® (Plan B – Giveaway Promotion)

Business Scenario:

Suppose a Sponsor, lets say a local bricks and mortar small business, wants to attract new customers and build a database of engaged leads using CliquePrize® Giveaways. The Small Business Owner chooses to go on subscription Plan B ($199/month), which allows the small business to run one giveaway per month.

Lead Capture Strategy (Giveaway Promotion)

1. Attract Local Contestants
   • Promote "Win a $100 Gift Card” or Donate It To A Local Charity in the Community
   • Promote the giveaway through social media, email, in-store signage, or a Private CliquePrize® giveaway using a QR code
   • Encourage existing customers to refer friends (i.e. valid Contestant registrants) to earn CliquePrize® Loyalty Rewards Points
2. Engage & Capture Leads
   • Contestants only click once to Enter to Win
   • CliquePrize® verifies location data to ensure all leads are local
3. Lead Capture Post Mortem
   • In our case study, suppose the promotion receives 800 verified local leads through CliquePrize®
4. Convert Leads into Repeat Paying Customers
   • Follow-up Email & SMS:
     • All registered Contestants of the promotion receive a “Thank You” message along with a 10% off coupon
   • Special Offer for Non-Customers
     • The Small Business offers a BOGO (Buy One, Get One Free) offer
   • Incentivize Repeat Visits
     • Enter all Contestants that registered into the promotion qualify for a VIP loyalty club for exclusive deals

Why This Works for Brick-and-Mortar Businesses

✔ Hyperlocal Targeting: Only nearby Contestants enter the giveaway, ensuring quality leads
✔ Low-Cost Acquisition: $199/month base plan fee plus $1 per verified local lead is cheaper than traditional ads. Never pay for the same record twice
✔ Engaged Audience: Contestants don't want to win a free prize if they have no plans to redeem it; unless of course, they are truly interested in your small business and want a "free trial"
✔ Scalable Growth: Successful campaigns can be repeated monthly to build a deep, exhaustive qualified local leads list

In just one example in one month $1000 CliquePrize® spend capturing 800 leads is returning anywhere from the low end of 40 to a high end of 120 new customers based on average conversion rates for small businesses. The Gift Card itself may also be tax deductible depending if its promoting the small business or not.

Small Business Lead Generation Services

Brick-and-mortar small businesses have traditionally relied on legacy advertising tactics such as Google/Facebook ads, Valpak inserts, flyers, and local sponsorships. While these methods help build brand awareness, they do not directly capture leads or provide measurable customer data.

• Google and Facebook ads charge anywhere from $3–$10 per click, but businesses have no guarantee that clicks will result in paying customers.
• Valpak mailers and flyers reach a broad audience, but small businesses typically advertise their coupons as their "go-to" offer and only a small percentage of that audience converts; not because of the offer but because there is no connection established with the prospect
• Sponsoring local sports teams may create goodwill and is great for reach and frequency but it doesn't capture any lead data

CliquePrize®, in contrast, offers a lead-first approach by transforming engagement into verified Contestant data through digital promotions. Instead of just driving brand awareness, CliquePrize® ensures that every Contestant opts in and their intent to purchase is high.

With a base fee up front as well as fixed cost of $1 per lead, small businesses can gain an exclusive and trackable list of potential Prospects for much cheaper than traditional local lead generation services. In sum, CliquePrize® provides a repeatable, data-driven strategy that fosters long-term local repeat paying customer acquisition and retention.

CliquePrize®*** is the iPhone Giveaways mobile app that helps Small Businesses grow by reaching, nurturing and converting local, high value prospects. If you have any questions or feedback, please let us know!***