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Experiential marketing is a way of advertising products by allowing customers to actually try out a specific brand offered by their company. This is done by companies setting up booths at public events or by inviting consumers to their company building to experience their brand of products. By allowing consumers to actually test their products first hand before the initial purchase, it allows them to truly find out if the product is suitable enough for them. Normally, marketing companies advertise their products on television, which only allows consumers to view the product, but not have any hands on contact. This makes for an extremely risky purchase for those consumers who have yet to test the product.

A great example of experiential marketing is when beverage companies go to public areas and start handing out free samples of their product. By handing out these free samples, they are giving potential buyers a chance to taste the product to see if they would ever be interested in buying products for that particular company. Another example of this type of advertising is clothing and shoe companies holding contests to win free products from their store. Although this method does not allow all consumers to test out their products, it allows a variety of them to wear the product and show it off to other potential buyers.

Although experiential marketing causes large companies to lose money by handing out free products for testing, it is basically money in the bank in the long run. Even though free products are being handed out, the individuals receiving them will be able to try the product out, resulting in your company gaining them as a customer, as well as the numerous people that that person passed your companies name to.