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In The Media

What is a Second Stage Premium (SSP)?

by Larry Chiang on October 24, 2019

By Larry Chiang

A premium is when you give a sales prospect a gift for signing up. Incentives are used to drive lead generation. #LeadGen

Therefore a Second-stage premium is after the initial premium. Normal = 1st stage sales premium only. 

image1.jpegStanford Engineering meta cookie Giveaway

For example a cookie. 

Elon Musk uses cookies at Tesla stores. This is the premium. His second stage premiums are complicated Easter Eggs he buries. Elon Musk is a lead generation genius and second stage premium practitioner extraordinaire. 
For example a Pez dispenser
image3.jpegGive away rubber ducks as a Second Stage Premium
For example, ducks
image4.jpegDreamForce used stuffed animals as a second stage premium
For example a Waze car mount
Tracy Chou @triketora with a Waze car mount as a Second Stage Premium
An example of Second Stage Premium is a stuffed animal. Here is Astro. SalesForce uses this stuffed animal to brand activate CRM tools. 

Solving the #CostPerActivatedAccount problem

Larry Chiang @duck9 (@LarryChiang)
Problem: A premium causes your cost per activated account to spike higher. But not using a premium causes loss of distribution when you’re doing #LeadGen

Mark McCormack had a problem. Pro athletes would drive drunk and die. This causes an interruption in revenue. 
Mark McCormack gave his clients free limo (aka a Uber black car; also known as Uber SUV). This is the first stage premium. 
Free car service so that you do not DUI. But players didn’t use the free limo. So, he said, if you take a limo X number of times…, I’ll buy you a Rolex. 

Larry Chiang @duck9 (@LarryChiang)
SSP. Something my sports agent mentor taught me. 



Premium. Rolex after you take Uber; x # of EFFEN times


Tim O’Reilly (@timoreilly)
New study: on demand car services do reduce drunk driving… #WTFeconomy

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