Promotional Merchandise In 2012

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A fully researched insight into the state of the promotional gifts industry in 2012. The research was carried out by the industry body the BPMA and certainly makes very interesting reading for all …

A fully researched insight into the state of the promotional gifts industry in 2012. The research was carried out by the industry body the BPMA and certainly makes very interesting reading for all marketers throughout the UK.

Presented by the UK's most trusted suppliers of promotional merchandise.

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  • 1. Promotional Merchandise in 2012 Brought to you by GoPromotional
  • 2. New bpma Research 2012The bpma (British Promotional Merchandise Association) postedan article to their website on 28th June 2012, presenting theirresearch results for the financial year 2011-12, showing someinteresting trends you might like to take note of. So what have they found out?
  • 3. The BPMA’s FindingsThe BPMA have, for the first time, interviewed senior marketers in the UK, asking questionsabout the buying of promotional merchandise, and their intended uses. Their research hascovered various business sectors and respondents were aged between 25 and 44.Their key findings were that• 49 percent of senior marketers have increased spend on promotional merchandise since the last financial year• 33 percent have stated they will increase it from this year to the next• Senior marketers give fascinating insight into the role of promotional merchandise in the marketing mix
  • 4. Promotional Merchandise: Spend 2011-12So, whats changed?• Spending on promotional items is up by just less than half• Over a quarter of spending has stayed the same• Only less than a quarter of spending has fallenGood figures all round for promotionalmerchandise suppliers.And these increases look to be stayingin place for the next financial year…
  • 5. Promotional Merchandise Predicted: Spend 2012-13According to this chart from the BPMA,their information indicates anothergood year for suppliers:• Half of spending on promotional merchandise is set to remain the same• A healthy third of spending should also be on the increase.• Which leaves less than 20% of these marketers spend on the decrease.As we said before, the figures arelooking good all round.
  • 6. Promotional Merchandise Uses: Major UsesThe senior marketers that were interviewed stated that the major uses ofpromotional merchandise were in their campaigns to drive sales and awareness.69% said they used the merchandise because it hit their target market efficiently,52% said that the merchandise allows their business message to last longer, and46% say that the use of merchandise helps them to create loyalty with theircustomers.The BPMA research quotes directly from the comments made by the marketers,with one saying that “It’s an excellent way of getting the clients attention. We candemonstrate the brand attributes we want to get across.” Another stated that“For a cascade promotion, if we send items to X they pass them out to theircustomers who might also sign up. It builds relationships and goodwill.”
  • 7. Promotional Merchandise Uses: Other UsesThe researchers also questioned the purposes for the purchase ofpromotional merchandise, finding that 73% of them would use it for eventsand conferences, with 63% going further to state that they used it forbranding purposes, existing and new. Other stated uses included awarenessand launches, saying that promotional merchandise is extremely notoriousfor grabbing attention and increasing interest and sales.Other uses for the merchandise include its use alongside product giveawaysand calls to action, with just less than a fifth of those always using slogans.
  • 8. Promotional Merchandise Uses: Popular ProductsThe BPMA were also able toestablish which products are popularamongst these senior marketers.When they were asked about which3 items they highly rated for its uses,they found that:• 35% said a pen• 13% said pads, notebooks and Post-Its• 10% said canvas shopping bags or eco bags.
  • 9. Promotional Merchandise Uses: Popular ProductsStephen Barker, one of BPMA’s directors, made the following comments:“What these results confirm is that practicality and relevance to the recipient are keyfactors in the decision-making process on promotional merchandise. Giving a productthat serves a purpose ensures that it will be retained by the recipient, providing ongoing exposure for the brand that gave it.”It was also found that 50% of customers preferred the use of long standingmerchandise and a third preferred to use both a mixture of new and long standingmerchandise. The statements made by the marketers show the concern shared by allin business in the current economic difficulties, saying “We know they work. We don’thave the budget to experiment” and “Items need to be reliable.”
  • 10. Promotional Merchandise: SourcingSenior marketers also talked of the sourcingof information relating to their interest inpurchasing merchandise.• Nearly 70% stated that their current suppliers were their top choice for information on merchandise• 53% used catalogues,• Surprisingly in our digital age only 33% sought out information on the Internet• And some minorities (under 30%) turned to their creative department or agency, co-workers and exhibitions for information.
  • 11. Promotional Merchandise: Product ChoiceWhen asked about influencesselecting merchandise, 79% ofmarketers said price was their keyinfluence and 59% said that theusefulness of the merchandiseplayed a huge part.Other factors, minor in comparison(under 30%), included relevance tothe brand, attractiveness to thetarget market and themerchandise’ ability to meet theirdeadlines.
  • 12. Promotional Merchandise: Product ChoiceStephen Barker commented:“It is no surprise that cost is a key factor in decision making as the economy remains less thanbuoyant but it is encouraging to note that factors such as relevance and usefulness remainimportant.”53% of the senior marketers also stated that they would make use of promotional clothing, witht-shirts and polo shirts being the most popular items, often purchased for staff to wear at eventsetc.Looking toward Christmas, under 50% of the marketers said they sent promotional merchandiseat Christmas time. The most popular products being typically food or drink items.And among some of the marketers, more unusual products purchased throughout the year wererubber ducks, spinning tops and inflatable ice cubes!
  • 13. Promotional Merchandise: ConclusionsLooking at the BPMA’s research, Stephen Barker concluded:“The results of the survey demonstrate first-hand the value that seniormarketers place on promotional merchandise and how it plays a key rolein marketing activity. The frequency with which products are purchasedshows this very clearly. In addition, the fact that useful products top thelist of those items most purchased highlights that there is widespreadrecognition among marketers of the ways in which merchandise can bringlongevity to promotional campaigns and is therefore an effective brandawareness tool.”
  • 14. Promotional Merchandise in 2012 Brought to you by