The Benefits of Promotional Products
Submitted by Jessica Cumbie | Florida
Until recently, the use of promotional products for business marketing has been kept to a minimum. Promotional products are now gaining more popularity and because of the benefits associated with promotional product marketing, more businesses are flourishing as well.
In 2005, Georgia Southern University conducted a study to see the reaction of consumers who received a business gift. Those who received a promotional product had a significantly higher positive image and perception of the company than those who did not receive a promotional product. The experiment was conducted using a restaurant located a few miles from a university. Also, those who received the promotional product were more inclined to recommend the business to others than those who did not receive a promotional product.
A 2003 study by Georgia Southern University on benefits of promotional products at tradeshows, confirmed that 71.6% of recipients of a promotional product remembered the name of the company that gave them the product and 76.3% of the attendees were more favorable to the company that gave them the product as well.
Business travelers were randomly surveyed in an airport and were asked if they had received a promotional product in the last 12 months. According to a study conducted by L.J. Market Research, 71% claimed they had received a product and out of those, 33.7% were carrying the product on them. Also 76.1% of those who claimed they had received a promotional product in the last 12 months remembered the name of the company and only 53.1% of those participating in the survey could remember the name of an advertiser in a magazine or newspaper they had seen the previous week. Furthermore, 52% of those participants who had received a product proceeded with doing business with the company and 52.1% claimed to have a more positive image of the company.
The participants also were making use of the products given. On a daily basis, 45.2% used the product and 73% stated they made use of the product at least once a week. Those, however, who did not keep the product, were asked what they did with it and 26% responded with giving the product to someone else.
Promotional products also increase sales and customer attitudes, according to a 1998 study by Wayne State University. The study used three groups, each given a different reward from a company and then were compared with each other. The letter group received a letter of thanks from the company, while the silver and gold groups received a thank you letter along with a silver desk set (worth $20) or a gold desk set (worth $40). On a scale of 1to 7 for satisfaction rating, 1 being very dissatisfied and 7 being very satisfied, those participating in the letter group received a 3.0 for satisfaction, while the silver and gold groups received a 3.6 and a 4.2 for satisfaction, significantly higher than the letter group. On a scale from 1 to 7 for intent to buy, 1 being very unlikely to buy and 7 being very likely to buy, the letter group scored a 2.8 while the silver and gold groups scored a 3.7 and 4.7. The silver and gold groups’ intent to buy was greater by 10 to 20% than that of the letter group’s.
In 1993, Baylor University conducted a survey involving 20 Mary Kay representatives. Ten were given promotional products to give to their customers and the other ten offered no promotional products to their customers. Results showed that 13.3% of customers who received a gift referred Mary Kay products, while only 11.7% of those customers not to receive a gift referred Mary Kay products. Also 44% of Mary Kay representatives referred Mary Kay products, while only 35.8% of representatives made Mary Kay product referrals and 40% of Mary Kay consultants who handed out the promotional products commented on how well the products were received.
Promotional products have a wide range of benefits for businesses including increased sales, increased product referrals, improved image to customers, as well as continual advertising for the company by way of recipient. The use of promotional products can affect the success of a business, and because of recipients’ positive attitude towards promotional products a business can flourish more effectively.
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