Fixed Fee / Over Redemption
If a promotion is a runaway success, with more people responding than anticipated and more importantly budgeted, promoters may incur huge financial costs.
In conjunction with our partners PIMS-SCA, Edge Loyalty makes your promotional budget work harder; adapting mechanics to fit your requirements, removing financial risk and paying out for excess costs incurred.
Our Fixed Fee
Our insurance-backed solution provides total budget protection for a campaign. The one-off fee covers redemptions from 0–100%, prize coverage plus management of the promotional services required, from start to finish.
Services can include:
We only work with leading suppliers in their field to ensure you receive the best packaged Fixed Fee.
THE most financially secure Fixed Fee product in the Sales Promotion Industry; each and every promotion is guaranteed $10 million worth of cover, backed by ‘A’ rated Insurers – the highest security rating in the Industry.
As we never carry any risk on our own balance sheet there is never any doubt about our ability to pay out on any promotion that over redeems.
We strive to offer the best, most appropriate and cost-effective Risk Management Solutions but what if a promotion doesn’t achieve anywhere near the expected response and the Fixed Fee becomes a costly expense rather than a cost-effective assistance? Our Under Redemption Guarantee can offer a rebate up to a maximum of 40% of the remaining Fixed Fee fund if the final cost is significantly less than expected.
Over redemption insurance is an alternative option providing campaigns with purely financial protection. Edge Loyalty agrees a response rate and promoters select the level of protection required. This can be for a range of redemptions as well as up to 100%.
Over Redemption Sample
Promotion: $100,000 Instant Win
Prizes available: 100 x $1,000 Cash Prizes
Expected Response Rate: 20%
Over Redemption Coverage: 20% to 100%
Fee to Cover risk from 20% to 100%: $4,000
Our team of dedicated risk specialists can provide quotations for both options and will advise as to which would best suit the individual campaign.
To find out more, or to discuss your ideas and budgets contact us