Hoover free flights promotion

The Hoover free flights promotion was a marketing promotion run by the British division of the Hoover Company in late 1992. The promotion, aiming to boost sales during the global recession of the early 1990s, offered two complimentary round-trip plane tickets to the United States, worth about £600, to any customer purchasing at least £100 in Hoover products. Hoover had been experiencing dwindling sales as a result of the economic downturn and a sharp increase in competing brands. Hoover was counting on most customers spending more than £100, as well as being deterred from completing the difficult application process, and not meeting its exact terms.

Consumer response was much higher than the company anticipated, with many customers buying the minimum £100 of Hoover products to qualify. It was perceived as two US flights for just £100 with a free vacuum cleaner (or other product) included. The resulting demand was disastrous for the 84-year-old company. Hoover cancelled the ticket promotion after consumers had already bought the products and filled in forms applying for millions of pounds' worth of tickets. Reneging on the offer resulted in protests and legal action from customers who failed to receive the tickets they had been promised. The campaign was a financial disaster for the company and led to the loss of Hoover's Royal Warrant after the airing of a 2004 BBC documentary. The European branch of the company was eventually sold to one of its competitors, Candy, having never recovered from the losses, the promotion and the subsequent scandal. Provided by Wikipedia