5 Key Benefits of Promotional Product Giveaways
Promotional products are another marketing vehicle that if leveraged properly, can reap a lot of benefits.
There are many affordable options available, meaning that promo items can be used for even the smallest enterprise.
As our recent review of some of the best promotional product services currently available showed; most companies will provide low minimum orders and are able to supply everything from pens, to bags, watches and even phone covers.
The fact is, useful promo items that your prospective customer can go on to utilize regularly (pens, mugs and bags being some of the most popular) does make them interested in your brand.
And this of course should be the goal or any promotional giveaway.
You want to make potential customers aware of your brand, with the underlying psychology being they are grateful for the free product, feel positivity towards your company and will remember you when they next need your service or product.
With all of this mind, let’s take a look at 5 key benefits of using promotional products as part of a marketing campaign.
1. Promotional gifts can create brand loyalty
Positive engagement with new customers is the heart of any business development.
Can you think of a more positive act then giving away a free gift? This is why so many businesses do it.
Studies show that giving your customer a promotional item increases brand loyalty, making them more likely to choose you over a competitor when the time to make a purchase arrives.
Furthermore, at an exhibition or industry gathering, people are more likely to visit a stand and become engaged if a promotional item is given away.
And clearly, the more premium the gift, the larger amount of attention you are likely to receive.
This interest can be directly leveraged so that a potential customer becomes a fully fledged customer.
2. Promotional items for existing customers leads to strong customer retention
Showing commitment to existing customers by offering them freebie goodies is always appreciated.
It shows that your business values their custom.
A 2014 study claimed that “it costs five times as much to attract a new customer than to keep an existing one”.
So why chase the new customer at those kind of costs only to loose them again because you are not paying attention to your retention levels.
Promo items are one way to combat against this, (alongside top level customer service and an excellent sales product or service in the first place of course).
3. Promotional products can make customers passionate about your brand
With quality branded merchandise it is possible to make customers passionate for your brand by engaging with them emotionally.
Coca-Cola’s 2 year marketing campaign of “share a coke” is a great example of this.
The offer was available in the UK and allowed customers to request personalised names on Coke bottles.
This effect was that customers felt a personal relationship with the brand. The Coca-cola website stated that the campaign was a huge success with “Over 730,000 glass bottles personalised via the e-commerce store”
This increased interaction with the brand, plus the emotional involvement that the customer had through receiving a personalised bottle, was a very clever way of creating passion for Coca Cola’s products.
4. Branded Merchandise is often passed on, boosting “cost per impression”
A useful promotional item is often passed along from person to person. Your branding is visible to see on every step that the item takes during its lifecycle.
A study from the ASI organisation said that “more than half of the consumer’s report that they will give away a promotional product that they are finished with rather than throwing it away.”
This only leads to increased impressions, which is great for your business.
5. Promotional merchandise is a cost-effective marketing strategy
Promotional merchandise is cost-effective when you compare it to other forms of advertising media.
Branded Merchandise has a potentially higher cost at the beginning (depending on the item being given away), however, as shown in the benefit above, the cost per impression is low due to the longevity of the item.
Another benefit over more passive forms of advertising (i.e, magazines, online display ads, television) is that specialised merchandise enjoys are much more active interaction with the consumer.
A recent American study stated that: “TV and magazine ads both cost 1.8 cents per impression, ad specialities (promotional products) cost an average of 0.6 cents per impression.”
Now you can’t argue with those kind of statistics. Promotional items are a clear winner in terms of cost and overall engagement.