What are Promotional Products?

Promotional Products (aka Corporate Merchandise, Branding Items, Business Gifts, Swag or Advertising Specialties) are items that companies give away (typically at no cost to, or overt obligation from, the consumer) to clients, potential clients, business associates, employees and other stakeholders. The items typically come with some kind of branding, logo or promotional message such as a slogan or company mission statement. There is a variety of reasons why promotional products are used; most often to strengthen branding, establishing brand recognition and increasing awareness of a company. They may be used to create or reinforce an image or promote an event; reminding existing customers and arousing curiosity from potential customers. The aim is to encourage new or repeat use of the company’s products or services, in part through the building or strengthening of the relationship between an organisation and its stakeholders. The response may be instant, but there is also a strong likelihood of the impact being a slow (though regular!) burn, with the majority of merchandise remaining in the presence of the target for months or even years.

Promotional merchandise may be direct – and used by the recipient directly and consistently for an extended period of time. For example, a mouse pad that sits on their desk at work and brings a personal level of attachment to the consumer from the organisation that provided the product. The branding message is subconsciously embedded in the mind of the recipient with each use.

Other types of promotional products use the promotional item as a travelling advertisement, a billboard for the company. Apparel such as t-shirts and hats or accessories such as bags are common examples. Each time the consumer uses or wears the product it is highly likely the item and branding message will be seen by people that the promotional product holder interacts with.

Promotional items may be a premium i.e. given with some requirement to undertake an activity, for instance register on a website to receive a free cap. The incentive is the driving force. They may be a recognition award such as a plaque recognising an employee achievement. Some high-end executive or business gifts may not even have any imprint from the company providing the item.

Whilst promotional product acceptability and popularity is growing, it is important to recognise that a target market is more likely to interact with and utilise a product if it has a particular benefit to them, whether it be particularly unique, stylish, useful or creative. Consider what your relationship is with the target market and what the market predominantly consists of e.g. families, other businesses etc. If your merchandise ties in with both your core business activities and the recipients interests or values then it will likely be a great fit!

The best promotional items are typically ones used frequently because they are of some use or intrinsic value to the consumer on a regular basis. Sometimes it is finding the balance between the everyday and the creative that can be a challenge. A well designed and strategically placed logo on a useful product may have the desired effect, however certain demographics will respond better to particular product elements. 

Even the best-designed products are essentially just products. Success often follows when they are part of a well conceived promotional campaign. The product may even be the centre of the campaign, however for maximum effect (and perhaps the possibility of the product becoming iconic) consider utilising merchandise as one element of a considered, structured campaign that seeks results which can be assessed and measured for effectiveness.

Promotional items are a great part of an advertising budget as they are more targeted and strategic than most traditional mass media advertising. The audience for merchandise can be well considered and precise. Whilst television advertisements, newspaper ads etc may be seen by more people (at least on the actual day of advertising), it is unlikely they will be kept or valued in the way a tangible advertising product is utilised. Traditional advertising also tends to interrupt audiences, whereas promotional merchandise provides a way of engaging with users. They also offer a unique ability to build a relationship with the recipient of the item, which will continue through the lifespan of that product (and possibly beyond), a distinct advantage compared to other media, where the relationship typically ends when the consumer looks away from an ad.

Studies suggest traditional media is losing impact compared to newer media and many marketing agencies and businesses are seeking alternative ways of building consumer relationships. Factors such as audience segmentation, the escalating costs of mass communication, increasing numbers of advertisements and competition for market share, combined with the proven success of merchandise as a marketing communications tool means the promotional industry provides an attractive option. Promotional products are not only an effective mass-media alternative, but can also be easily integrated into the media mix for maximum effect, capitalising on the current movement towards integrated communication.

A key benefit of promotional products is personalising a brand and emphasising not just the physical practicalities of a product, but the emotional connection and personal advantages which become intrinsic through the consumer’s use of a product or services. Once a promotional item is given it opens up the relationship between business and client. Depending on how the item is given to the recipient, businesses may be privy to instant and valuable feedback as to their perception of the product and organisation. Promotional items are also accepted or declined in an active way by the recipient; enabling businesses to better determine their true level of interest. Used wisely, merchandise will help organisations build and maintain a reputable company image.

Statistics are varied as to how many times a person needs to hear or see a message before it registers in their brain. Some say as few as three times, others as many as ten. However a tangible promotional item, particularly one constructed with care and creativity is likely to cut through the estimated 3000 advertising messages a person is exposed to each day. It is also about the only form of advertising people will physically interact with and get excited about, engaging them and making them feel valued whilst eliciting a positive response and appreciation for the organisation providing the product!