HouseParty: Retro Party Plan Marketing Goes Mod

In discussing their online digital and social media marketing strategy, the online grocer FreshDirect mentions that they are "doing a lot of experiential marketing and experimenting with HouseParty.com"

I was curious about HouseParty, which describes itself as, "the only social media marketing company that marries social, digital and experiential programs to put your brand in consumers’ hands, in their homes and in their conversations.  We identify, screen and select the most active and viral brand advocates and create a program that helps jump the consideration set, creating authentic and real consumer usage."

So basically we're talking an updated, social media-friendly twist on “the party plan” marketing model, as in Tupperware parties.  Yet different—with HouseParty there are product demos, along with sampling, free swag and a chance to win prizes, but no pitching guests to make direct sales of the featured product, and the hosts have to apply and be selected to give a party.  The privately hosted HouseParty events all happen on the same day for a given brand, in a group of 1,000 parties or more, like a flash mob..but a flash of parties instead. HouseParty appears to serve all types of brands—recent parties include adult incontinence pads, snack chips and an exercise program, as featured products. The digital aspects include interactive event-specific websites for each brand’s HouseParty, and related digital social marketing activities on the event website as well as on Facebook, Pinterest and any sites on which the selected party hosts are active and mention their upcoming HouseParty.

I wonder, can the classic hosted at home party plan marketing model be morphed and expanded across any and all brands, from liquor to magazines, and be profitable for the brands in measurable, meaningful ways without direct sales via guest purchases at the party?  Will the concept of hosting these branded parties become mainstream cool, or more "long tail" like Tupperware or Amway, in terms of who embraces it and the associated revenues? Could the party plan marketing model really be updated into an effective social and digital marketing force?

According to HouseParty, yes branded parties are profitable.  HouseParty promises that brands will reach thousands of participants through the parties which will generate millions of conversations, recommendations as well as Facebook posts, tweets and User-Generated Content.  This in turn promotes the brand and drives purchase intent.  HouseParty claims that based on market data, their campaigns result in consumer purchases with a proven ROI of $1.75 in net profit.

Their Tapeña wines campaign indicates impressive impact, as described by HouseParty.  The party activities: (a) “Reinforced the brand’s heritage by creating fun Spanish themed activities that included Tapas recipes and wine tasting cards.  (b) Drove product interest and help brand stand out in cluttered retail environment.”  Results include: (a) Generated over 32,000 product trials; (b) Conversations online and off spread to over 2.6 million impressions.  (c) Retailers ordered 500% more Tapeña wine in House Party states due to consumer demand for product.

Sounds impressive.  It will be interesting to see how this updated party-based marketing will grow as brand competition and efforts to engage in effective, digital and social marketing intensifies. 

Would any of you throw a HouseParty event?