I spend a great deal of time talking about brands. Whether the conversation is held with our clients, fellow Grippers, or even with friends who share my fascination with marketing and consumer dynamics, it seems the question of how to build brand equity is a consistent topic.

Many conversations of late have revolved around whether contests and promotions build or undermine brand equity in the long-term. As with many debated in the marketing world the answer is frustratingly non-specific: “it depends.”

Contests and promotions offer brands an opportunity to provide value. In doing so, they have the potential to build affinity with their consumers by rewarding them for being advocates of, or participants in, the world of their brand. It is seemingly, and frequently, positive for a brand, especially when the contest or promotion links well to the objectives and, more importantly, the positioning of the brand. There are a multitude of examples of brands effectively using contests or promotions to build interest with consumers in a way that “fits” with how consumers see the brand.  Generally, these tactics – and they are tactics – work as long as the brand avoids some of the common pitfalls, namely over-reliance on price discounting, confusing mechanisms or high barriers to participation, etc.

Then there are the moments when brands run a promotion that is inconsistent with their consumers’ expectations. And yes, that can be damaging. Frankly, these examples are more fun to look at; in fact, one in particular was the influence behind this post.

A while back a friend forwarded me an email. The first thing that caught my attention was the subject line: “Dinner?”

Hmm, I thought. I do like a good dinner.

The ante was upped a bit when I realized that it had been forwarded, and that the original sender was President Obama. While we must acknowledge that Obama is a person (an American actually – thanks to Mr. Trump for clearing that up), we must also recognize the extent to which he has become a brand. In fact, his equity was strong enough to win him the 2009 Nobel Peace Prize before he had done anything (aside from offer relief from the Bush Jr. administration.) At any rate, it’s safe to say that there is a certain tone of prestige and gravitas that I would associate with the Obama brand.

You can imagine my surprise when I realized that this email was essentially contest spam.

The body of the email explained that any donation over $5 to the administration would enter the donor into a draw for a dinner with the President himself. I am not kidding. It gets weirder when you read the poorly drafted faux messages from the man himself:

“I’ve set aside time for four supporters like you to join me for dinner”

“Most campaigns fill their dinner guest lists primarily with Washington lobbyists and special interests. We didn’t get here doing that, and we’re not going to start now.”

And my favourite: “This won’t be a formal affair. It’s the kind of casual meal among friends that I don’t get to have as often as I’d like anymore, so I hope you’ll consider joining me.”

That’s right, a nice casual dinner at the White House with the President with his “friends” who, if you remember, were picked by random lottery after donating a minimum of $5.

I initially thought this email was a joke. It seemed so out of character that my first reaction was to laugh. Then I felt sad. This is a prime example of how to damage the equity of your brand. It seemed less “Obama” than it does “Russell Oliver.”

Hard to believe, but it got worse when I realized that it wasn’t a one-off. A mere 6 days later, my friend forwarded me another email from Joe Biden checking in to make sure that we don’t miss out on this great opportunity. Joe seemingly went to the same writing classes as Obama:

“I’m reminded every week that sitting down for a meal with the President of the United States — without TV cameras or a big crowd — is something only a few people will ever get to do.”

He even signed off by wishing us luck!

The debate will continue as to whether contests or promotions build or diminish a brand’s equity over time. Clearly some, like this spam campaign, can do damage. On the whole though, I think they are a powerful tool when used correctly. They drive the desired behaviour (usually sales) and build brand equity. My one piece of advice would be to ensure that promotions alone aren’t doing the heavy lifting of building your brand. Strive to make this the case, and you will be much more likely to create something of value to the brand as well as the consumer.

You will also avoid embarrassing incidents like the team Obama email.