Take a look around, and you are likely to see a promotional product—or several—within close proximity. These marketing products are extremely common in modern society, providing brands with an opportunity to gain valuable impressions at a relatively reasonable cost. These promotional items are often extremely effective, at least partly because there is no cost to the consumer or similar recipient.
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The commercial history of promotional products in the United States dates back to the late s. That is when the first company to manufacture these products opened the door to leveraging promotional products as a marketing and advertising tool.
Fast forward to present, and the promotional products industry has grown exponentially. At this point, this industry rakes in more than $23 billion in annual sales, according to Promotional Products Association International (PPAI). Modern businesses and other organizations have discovered how to use promotional items effectively to realize significant gains in marketing, sales and retention.
Promotional products are essentially customized items that companies can brand and offer to customers and other parties. From apparel to office products and kitchenware, promotional items have become a staple in modern business. These products can help provide latent impressions over time, familiarizing potential customers with a company’s brand and offerings.
Examples of them exist just about everywhere in today’s society. At live events for sports or entertainment, t-shirt cannons propel marketing products to the audience. New employees will sometimes receive a “swag bag” with company-branded items like a notebook, water bottle or hat. Trade-show sponsors may provide attendees with a drawstring bag or a USB charger. Prospective students on a campus visit may receive a t-shirt or writing instrument with the institution’s brand.
Taken as a whole, there are countless examples of how organizations can leverage promotional and marketing products. Furthermore, businesses have a high degree of control over how to employ promotional items as a strategy for corporate growth.
Encompassing thousands of suppliers and distributors, the promotional products industry serves companies of all shapes and sizes. Within the promotional products industry, there are essentially two different players:
Companies seeking to purchase promotional products typically engage with a distributor at the onset. After deciding on the type of product and degree of customization, companies place an order with the distributor. Once the supplier creates the products in question, the distributor then sends the finished product to the customer. And then the customer can offer promotional products to increase brand awareness and drive sales revenue.
They come in many different forms. Depending on the organization’s needs, industry and customer base, certain promotional items may be more useful than others. But in terms of overall popularity and effectiveness, there are certain promotional products that rise above the rest.
Promotional products are typically measured through impressions over the lifetime of the item. In other words, impressions attempt to measure the number of times someone will view or be exposed to the promotional product and its branding. The lifetime of a promotional product is often tied to its usefulness and longevity—ending when the item deteriorates or is discarded.
According to PPAI, the following promotional products are the most popular and effective, based on estimated lifetime impressions:
On a related note, personal protective equipment (PPE) is an emerging and extremely popular category of promotional products. Since the COVID-19 pandemic spread throughout the world, branded PPE has become commonplace, including masks, hand sanitizer, bandanas, and face shields.
As noted in the previous section, the effectiveness of promotional products can be traced to the number of lifetime impressions. Accordingly, it is important to evaluate how long promotional and marketing items will last. If a person keeps and continues to use a promotional product for a long time, it can maximize the number of lifetime impressions and potential organizational gains.
According to a PPAI consumer study, promotional or marketing products generally have the following lifetime expectancies:
Parsing out the data above, approximately 81 percent of consumers keep promotional products for more than 12 months. This means that promotional items can achieve a long-lasting approach to branding, marketing and advertising, maximizing the number of impressions over the lifetime of the product in question.
Given the vast array of available options, not to mention to levels of potential customization, there are limitless applications for promotional products. Commercial businesses, nonprofit organizations, academic institutions and government agencies can all leverage the power of promotional and marketing products, externally and internally.
From an external perspective, organizations can employ promotional products to recognize a variety of potential gains. Current and prospective customers may receive marketing products to drive sales and referrals. Businesses may give away promotional items to celebrate a new product launch. Organizations may promote branded items in an effort to incentivize or modify certain behaviors.
From an internal perspective, organizations can leverage marketing products to improve relationships with key stakeholders, such as employees, investors or partners. By demonstrating appreciation through promotional items, organizations can help secure long-time contributions from these actors.
Broadly, organizations most commonly use promotional products for:
Promotional products can be a highly effective marketing tool. But any organization intending to use promotional products must consider their objectives carefully. When promotional items are beneficial to the user—while also communicating an organization’s brand and message appropriately—it can help an organization achieve numerous goals.
To illustrate the effective of promotional products as a marketing tool, consider the following PPAI statistics:
In addition, promotional products are ranked as the most effective form of advertising and marketing to spur action across multiple consumer generations. From the Silent Generation to the baby boomers, Gen Xers and millennials, marketing products were the highest rated method to prompt consumer action. Across these vastly different generations, promotional products outranked other marketing and advertising methods, including online, broadcast, print, and mobile. Overall, promotional products are an extremely popular and effective marketing tool. Businesses can broadcast culture, advertising, and other messaging in a way that sticks with customers, prospects and even employees. It is this sense of stickiness that separates promotional products from other marketing and advertising methods.
The key to choosing the best promotional products rests with the industry, organization, and intended recipient. Entities of all shapes and sizes should strive to align promotional marketing products with their strategy, brand, and commercial approach. It is vital to remember that well-executed promotional products can leave an impression for a long time after the consumer receives the item in question.
As noted above, apparel and other wearables make up the majority of extremely popular and effective promotional products. Part of the appeal likely stems from the fact that any business, in any industry, can benefit from these promotional items. Anything that a consumer can wear—from backpacks and bags to headgear and apparel, such as hats, t-shirts and jackets—tends to perform highly from a lifetime impressions standpoint.
Beyond a far-reaching category like apparel and wearables, there are practically unlimited promotional items that organizations can consider using. In order to choose the best option for a particular organization, it can be helpful to evaluate the factors below:
To speed up the evaluation process for promotional products, organizations can lean on surveys to provide valuable insights. By surveying the group of recipients intended to receive a marketing product, organizations might be able to avoid pitfalls and deliver useful promotional items.
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Sales, marketing and branding expert. CEO of GoPromotional, distributor of promotional products with a focus on online business development.
Digital advertising has taken over the world of marketing, so many are probably wondering whether investing in promotional products is worth it. To that, as the CEO of a promotional product distribution company, I can give a reassuring "yes." Here’s how promotional products can be effective and the impact they can have on your business marketing strategy.
Defining Promotional Products
Even if you haven’t sent out promotional products before, you’ve likely come across them throughout your life as a consumer. Essentially, promotional products are branded merchandise that various businesses give away entirely for free to their target audiences. The whole purpose of these products is to pique interest and generate buzz, thus serving as fantastic promotional means.
The goals are simple to understand. Branded merchandise should inspire people to take action by selecting one particular business over all of its competitors. Alternatively, the products ought to at least help people remember the brand so that, at some point in the future, they opt for it and do business with it.
Promotional products come in many forms, from simple plastic pens and mugs to eco-friendly plant pots. The idea is that they have to be useful to the recipients for their impact to be truly felt. Otherwise, they could quickly end up in the bin, never completely fulfilling their potential.
Naturally, the meaning of branded merchandise goes beyond free gifts. They are, above all, a reflection of the company that’s giving them out. Thus, when deciding on the ideal promotional products, businesses have to consider the quality, the general appeal and the perceived value. That is one of the keys to driving a marketing campaign to success and gaining a satisfying ROI.
How They Can Help Your Brand
The digital era has changed the whole world, so businesses are now fighting every step of the way for customer retention. Chasing a larger ROI doesn’t have to involve endless ads on TV, though. Promotional products still offer high ROIs in marketing due to the way they impact the public.
According to an ASI (Advertising Specialty Institute) case study from , branded merchandise can still impress consumers. The study showed that they are almost 2.5 times more likely to think positively about tangible branded products than the ads.
Better still, promotional products can remain in the recipient’s possession for about seven months on average. As long as they are well made and useful to the target audience, your branded merchandise could keep generating impressions for months.
Why Your Target Audience Wants Them
The great thing about branded merchandise is that it’s loved by consumers when the design and purpose are aligned with their wants and needs. But that appeal becomes even more critical to your business if you consider the psychological implications the products can have on your audience.
For example, freebies offer people a general sense of accomplishment. Once they receive them after an event or with a purchase, they feel as if they have done something right. Even though the products are free, people feel like they’ve earned them somehow. Such a positive feeling could allow your business to flourish further by sowing the seeds of loyalty at the very start of the company-customer relationship.
And let’s not forget about the principle of reciprocity here. It’s embedded in our minds that once we receive something, we should give something back. Consumers are unlikely to give their own freebies to companies to maintain direct reciprocity. The two ways they can “give back” is by being converted into a customer and/or using and sharing the product with others. Both options are a win for your business!
How To Pick The Perfect Promotional Products For Your Business
In order for your branded products to serve their purpose, you must carefully consider which ones you’ll pick and why. In a nutshell, this boils down to:
• Defining your target audience and learning as much about them as possible: Consider their age and key interests, but try to be specific to ensure success.
• Agreeing on the budget: Usually, business-to-consumer companies allocate anywhere from 5% to 10% of their revenue to their marketing. That budget should also include branded merchandise; you decide how much money you’re comfortable spending on promotional freebies. Naturally, you have to consider the occasion, the type of consumer you’re looking to impress and other factors to decide on a cost-effective product that will get you the greatest ROI.
• Narrowing the list down to a few items: Once you have a few favorites, compare them to find a product that suits both your brand’s and your audience’s needs. Take into account the design and printing here, too; that could easily push some products up or down your list.
Final Step: Consider Distribution Options
Of course, you must determine how many products you’re going to need for your giveaway. You should also consider whether the product itself fits the occasion. The good news is that there are lots of events where branded merchandise comes in handy.
Business events, such as trade shows, are an excellent opportunity to dazzle a crowd with your freebies. At the same time, though, even events like holiday parties could benefit from a few free gifts and should make everyone excited!
Another way to distribute your branded merchandise is through various giveaways and contests. Consider using social media to your advantage here to breed desire in your target audience. Use that to persuade them to like, share, follow and even tag other people who could also participate. All that exposure should help you create some well-deserved buzz around your business.
Finally, you could gain more awareness through brand ambassadors or even your own staff and clients. A brand ambassador’s main job is to advertise your company and use your products, which could result in thousands of people learning more about your brand. Similarly, you can turn your employees and clients into brand ambassadors by giving them practical corporate gifts as proof of your care and appreciation.
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