Community Banks

Local Store Marketing has always been the domain of small business, but recently large companies are recognizing the value of community building. A great example of this is Bank of America's program to donate $100 to a customer's charity of choice just for opening an account with them.

Here's why you should take notice:
* B of A is willing to pay a customer $100 to gain their business. Restaurants can gain customers by giving away $2 worth of food, yet many still balk at the idea. What does B of A know that you don't?

* B of A is supporting what their customers support, decreasing the number of times they need to deliver the message (and saving them money on advertising).

* This program has a higher potential for word of mouth than any traditional advertising they could have done. It also promotes instant referrals. Imagine if a school promotes the program for the bank, in hopes that 100 parents open accounts that donate $100 each to the school for a playground.

This is a great example of a Trial generating offer from a big company. They aren't afraid to give away more upfront because their cost per customer gained will be lower in the long-run, customer loyalty will be higher, and word of mouth will be stronger.

If a bank can do this, surely a restaurant that is food rich and cash poor can achieve even better results.