The Power Of Promotional Products


Published on

Promotional product advertising is advertising that lasts. Bundled with your traditional advertising you can greatly improve your reach, memorability and effectiveness

Published in: Business
  • Be the first to comment

No Downloads
Total views
On SlideShare
From Embeds
Number of Embeds
Embeds 0
No embeds

No notes for slide

The Power Of Promotional Products

  1. 1. 888-340-8006
  2. 2. Promotional Product Advertising <ul><li>Promotional products are the only form of advertising that customers will thank you for! </li></ul><ul><li>In regular print, radio, and television advertising the marketing ends when the message is delivered. </li></ul><ul><li>With Promotional Products – the advertising just begins when you give the product. </li></ul>
  3. 3. Advantages of Using Promotional Products <ul><li>Flexible </li></ul><ul><li>Tangible and long-lasting </li></ul><ul><li>Impact easily measured </li></ul><ul><li>Higher perceived value </li></ul><ul><li>Complements targeted marketing </li></ul><ul><li>Complements other advertising media </li></ul>
  4. 4. Promotional Products are Memorable <ul><li>Try this test yourself: </li></ul><ul><li>Do you remember which radio ads you heard driving to work? </li></ul><ul><li>What newspaper ads did you see as you read the paper. </li></ul><ul><li>Look at your desk, think about your home – are there promotional products playing their role right in front of you? </li></ul>
  5. 5. 2008 SALES BY PROGRAM CATEGORY Source: 2008 PPAI Product and Program Category Surveys Employee Relations & Events 11.87% Trade Shows 11.48% Brand Awareness 12.59% Dealer Distributor Programs 7.78% Public Relations 10.56% New Customer/Account Generation 8.22% New Product/ Service Introduction 7.09% Employee Service Awards 6.26% Not-For-Profit Programs 6.26% Internal Promotions 5.01% Customer Referral 4.43% Safety Education/Incentive 4.64% Marketing Research 1.69% Other 2.10%
  6. 6. 2008 SALES BY PRODUCT CATEGORY Wearables 30.68% Writing Instruments 9.04% Calendars 7.89% Drinkware 6.09% Bags 6.92% Desk/Office/ Business Accessories 5.54% Recognition/Awards/Trophies/Jewelry 3.23% Other 3.19% Textiles 1.99% Sporting Goods 2.99% Magnets 2.32% Housewares 2.60% Computers 2.27% Automotive 1.85% Clocks & Watches 1.43% Buttons/Badges/ Ribbons 2.53% Stickers & Decals 2.06% Electronics 2.04% Games 2.44% Food 1.25% Personal 1.63% Source: 2008 PPAI Product and Program Category Surveys
  7. 7. Promotional Products – A Key Ingredient to Integrated Marketing <ul><li>In a study conducted in a controlled environment by researchers at </li></ul><ul><li>Louisiana State University and University of Texas at San Antonio </li></ul><ul><li>researchers explored: </li></ul><ul><li>Effectiveness of promotional products when compared to other traditional forms of advertising such as television and print </li></ul><ul><li>Synergistic effects of promotional products when used along with these other media </li></ul>A 2006 Study by Louisiana State University and University of Texas at San Antonio
  8. 8. Promotional Products – A Key Ingredient to Integrated Marketing (Contd.) <ul><li>Seven groups of people were exposed to advertising for a new pizza product via the three mediums, namely, television, print and promotional products </li></ul><ul><li>These groups were: </li></ul><ul><li>Group 1: TV Only (control group) </li></ul><ul><li>Group 2: Print Only (control group) </li></ul><ul><li>Group 3: TV-Print (control group) </li></ul><ul><li>Group 4: Promotional Product (Experimental group) </li></ul><ul><li>Group 5: TV-Promotional Product (Experimental group) </li></ul><ul><li>Group 6: Print-Promotional Product (Experimental group) </li></ul><ul><li>Group 7: TV-Print-Promotional (Experimental group) </li></ul>A 2006 Study by Louisiana State University and University of Texas at San Antonio
  9. 9. Promotional Products – A Key Ingredient to Integrated Marketing (Contd.) <ul><li>In particular, the questions in the study measured the following: </li></ul><ul><li>Advertisement credibility </li></ul><ul><li>Attitudes toward product, advertisement or promotional product </li></ul><ul><li>Product purchase intention </li></ul><ul><li>Referral value </li></ul><ul><li>Impressions of the advertisement </li></ul><ul><li>Perceptions about the product </li></ul>A 2006 Study by Louisiana State University and University of Texas at San Antonio
  10. 10. Promotional Products – A Key Ingredient to Integrated Marketing (Contd.) <ul><li>When comparing the effectiveness of promotional products with television </li></ul><ul><li>and print, findings revealed: </li></ul><ul><li>While the print ad came in first overall, the promotional product outperformed television across the board. </li></ul><ul><li>Respondents preferred advertising through a promotional product to the television ad in terms of their: </li></ul><ul><li>- Positive attitudes toward the ad (41% to 18%), </li></ul><ul><li>- Positive attitude toward the product (20% to 16%), </li></ul><ul><li>- Message credibility (54% to 33%) </li></ul><ul><li>- Purchase intent (25% to 17%) </li></ul><ul><li>- Referral value (26% to 16%) </li></ul><ul><li>Adding a promotional product to the media mix generated favorable attitudes toward the ad in all cases (up to 44%) </li></ul>A 2006 Study by Louisiana State University and University of Texas at San Antonio
  11. 11. Promotional Products – A Key Ingredient to Integrated Marketing (Contd.) <ul><li>When examining the synergistic effects of promotional products </li></ul><ul><li>when used along with other media, findings of the study revealed: </li></ul><ul><li>Integrating a promotional product with television and print ads increased referral value as well as credibility of the message </li></ul><ul><li>Groups who were exposed to promotional products tended to rate the advertising message more positively than those groups not exposed to a promotional product </li></ul>A 2006 Study by Louisiana State University and University of Texas at San Antonio
  12. 12. Promotional Products’ Impact on Brand/ Company Image (contd.) <ul><li>An experimental study conducted by Georgia Southern University shows that recipients of promotional products have a significantly more positive image of a company than those who do not receive promotional products. </li></ul><ul><li>For the study, the researchers selected, as the test company, a restaurant located in a college town a few miles from a university campus. </li></ul><ul><li>The group receiving the promotional product was significantly more likely to recommend the business to others than the group that received nothing. </li></ul>
  13. 13. Promotional Products’ Impact on Brand/ Company Image (contd.) <ul><li>The group receiving the promotional product had a more positive image as evidenced in their comments about the company than the non-recipient control group. The difference was statistically significant. </li></ul>
  14. 14. Promotional Product Incentives Produce Valuable Referrals From Satisfied Customers <ul><li>Accompanying a request for referrals, an offer of a promotional product incentive or an offer of a promotional product incentive and eligibility in a sweepstakes drew as many as 500 percent more referrals than an appeal letter alone. </li></ul><ul><li>Offers of promotional product incentives are likely to be substantially more effective than enclosing free promotional products with an appeal letter. </li></ul>A 2005 Study by Louisiana State University and Glenrich Business Studies
  15. 15. Effectiveness of Promotional Products at Tradeshows <ul><li>71.6% of attendees who received a promotional product remembered the name of the company that gave them the product </li></ul><ul><li>76.3% of attendees had a favorable attitude toward the company that gave them the product </li></ul>A 2003 Study by Georgia Southern University
  16. 16. Increase Booth Traffic with Promotional Products <ul><li>Are Pre-show mailings with </li></ul><ul><li>Promotional Product Offerings </li></ul><ul><li>More Effective in Increasing Booth </li></ul><ul><li>Traffic Than Mailings Without? </li></ul><ul><li>Including a promotional product with a pre-show mailing or an offer of a promotional product increases the likelihood of an attendee stopping by a tradeshow booth </li></ul><ul><li>As a general rule, promotional products of greater value generate more sales leads than products of lower value </li></ul>A 2004 study by Georgia Southern University
  17. 17. Impact, Exposure and Influence of Promotional Products <ul><li>Reach: </li></ul><ul><li>71% of business travelers randomly surveyed at DFW Airport reported receiving a promotional product in the last 12 months </li></ul><ul><li>33.7% of this group had the item on their person - a coveted location for advertising </li></ul><ul><li>Recall: </li></ul><ul><li>76.1% of participants could recall the name of the advertiser on the promotional product that they received in the past 12 months </li></ul><ul><li>In comparison only 53.5% of participants could recall the name of an advertiser they had seen in a magazine or newspaper in the previous week. </li></ul>A 2004 Study by L.J Market Research
  18. 18. The Results of a study at DFW Airport: <ul><li>71% had received a promotional product in the last 12 months </li></ul><ul><li>76% could recall the advertiser's name on the product </li></ul><ul><li> (only 53% could recall a single print ad from the past week) </li></ul><ul><li>33.7% had the item with them - the best place of all for advertising! </li></ul><ul><ul><li>- 73% said they used it weekly </li></ul></ul><ul><ul><li>- 45% said they used it daily </li></ul></ul><ul><ul><li>- 55% said they keep their promotional products more than a year </li></ul></ul><ul><li>52% did business with the advertiser after receiving the product </li></ul><ul><ul><li>- Of those who had not done business, nearly 50% were likely to choose that company </li></ul></ul><ul><ul><li>- 52% said their impression of the company was more favorable since receiving the item </li></ul></ul><ul><li>High recall - Repeated Exposure - Favorable Impression of your company </li></ul>
  19. 19. Impact, Exposure and Influence of Promotional Products (contd.) <ul><li>Impression of the Advertiser </li></ul><ul><li>52% of participants in the study did business with the advertiser after receiving the promotional product. </li></ul><ul><li>Of those who had not done business with the advertiser that gave them the product, almost half stated that they were more likely to do business with the company that gave them the item </li></ul><ul><li>52.1% of participants reported having a more favorable impression of the advertiser since receiving the item. </li></ul>
  20. 20. Impact, Exposure and Influence of Promotional Products (contd.) <ul><li>Frequency of Exposure/Lower Cost Per Impression </li></ul><ul><li>73% of those who used the promotional product that they had received stated that they used it at least once a week </li></ul><ul><li>45.2% used it at least once a day </li></ul><ul><li>The greater the frequency of exposure, the lower the cost per Impression </li></ul><ul><li>Repeated Exposure </li></ul><ul><li>55% of participants generally kept their promotional products for more than a year. </li></ul><ul><li>22% of participants kept the promotional product that they had received for at least six months. </li></ul>
  21. 21. Impact, Exposure and Influence of Promotional Products (contd.) <ul><li>Why Keep the Promotional Product </li></ul><ul><li>75.4% of those who received a promotional product stated that they thought the item was useful </li></ul><ul><li>20.2% kept the promotional product because they thought it was attractive </li></ul><ul><li>Pass - Along Exposure </li></ul><ul><li>Participants of the study were asked what they do with promotional products that they do not keep. 26% of participants reported that they give the item to someone else. </li></ul>
  22. 22. Clients Respond to Business Gifts A study by Wayne State University demonstrated that business gifts not only improved sales but also customer attitudes. Results were compared among three groups: a) The letter Group -a group that received a letter of thanks b) The Silver Group - those that received a letter plus a silver desk set (a $20 value) c) The Gold Group - those that received a letter plus a gold desk set (A $40 value) A 1998 study by Wayne State University
  23. 23. Clients Respond to Business Gifts 1 = Very Dissatisfied/Very unlikely to buy and 7 = Very Satisfied/Very likely to buy
  24. 24. Trade Shows To promote traffic at its booth, an exhibitor sent invitations to 4900 trade show registrants. Registrants were further broken down into smaller groups, each of which received from zero to three gifts(before, at, and/or after the show). The researchers measured booth traffic, post-show memory of having received the invitation and goodwill toward the company. A 1991 Study by Exhibit Surveys, Inc
  25. 25. Trade Shows Booth Visitation Rates 176% Increase
  26. 26. The use of promotional products in this study increased : <ul><li>Booth visitation </li></ul><ul><li>Remembrance of the invitation </li></ul><ul><li>Feelings of goodwill </li></ul>
  27. 27. Improve Direct Mail Response Rates with Promotional Products <ul><li>The use of promotional products in conjunction with a sales letter can make a significant difference in direct mail response rates. </li></ul><ul><li>The use of promotional products can also improve a business’ effectiveness in converting leads to sales appointments. </li></ul>A 1992 study by Silver Marketing Group
  28. 28. Findings * In terms of appointments secured
  29. 29. <ul><li>The inclusion of a Promotional Product to a mail promotion increased the response rate by 50%  The use of Promotional Products as an incentive to respond generated four times as many responses as a sales letter alone  The use of a Promotional Product as an incentive to respond reduced the cost per response by two- thirds. </li></ul>
  30. 30. Repeat Business New customers who receive promotional products, on average, return sooner and more frequently, and spend more money than new customers who receive coupons. In two separate studies, SMU researchers tested whether promotional products would outperform coupons in the area of repeat business and sales. Promotional product recipients spent 27% more than coupon recipients and 139% more than welcome letter recipients over an 8-month period. Promotional product recipients were also 49% more likely than coupon recipients and 75% more likely than letter recipients to return and patronize the business in each of the eight months studied. A 1994 Study by Southern Methodist University
  31. 31. Total 8-Month Spending
  32. 32. Employee Awards and Incentives In 1994 Baylor University randomly surveyed 1,500 people, asking their opinions regarding employee awards and incentives. Survey recipients were asked to rate how most employees felt about awards and incentives. A 1994 Study by Baylor University
  33. 33. <ul><li>The survey found that: </li></ul><ul><ul><li>Employees like awards and incentives </li></ul></ul><ul><ul><li>Employees are motivated to win awards </li></ul></ul><ul><ul><li>Employees work hard to win awards </li></ul></ul><ul><ul><li>Employees encourage their co-workers to work </li></ul></ul><ul><ul><li>toward awards and incentives. </li></ul></ul>
  34. 34. Motivating through Incentives <ul><li>A 1999 survey by the Incentive Federation Inc., revealed that incentive programs are both highly effective as well as cost efficient. </li></ul><ul><li>The survey was sent to 4,000 executives in a cross section of American Companies. Respondents were current users of merchandise and travel items for motivation/incentive applications. </li></ul><ul><li>The study revealed that American businesses spend $23 billion annually on merchandise and travel for motivational use. </li></ul>A 1999 Incentive Federation Study
  35. 35. How Incentives are Used
  36. 36. Percentage of Incentive Programs that Achieve Established Goals
  37. 37. Generate Customer Referrals Using Promotional Products A 1993 study by Baylor University found that customers who receive promotional products are more willing to provide leads than customers who don’t receive promotional products. Twenty Mary Kay consultants participated in a study where half of them distributed promotional gifts to customers and the other ten offered no promotional items to their customers. Both groups then asked customers (200 in all) to refer names of acquaintances. A 1993 Study by Baylor University
  38. 38. Findings
  39. 39. <ul><li>Customers who received a promotional product were 14% </li></ul><ul><li>more likely to provide leads than those who did not  Sales people who gave promotional gifts to their customers </li></ul><ul><li>received 22% more referrals than sales people who did not </li></ul><ul><li>use promotional products  40% of the salespeople who used gifts commented on how </li></ul><ul><li>well the gifts were received by their customers </li></ul>Findings
  40. 40. Build Customer Goodwill with Promotional Products <ul><li>Promotional products foster customer goodwill toward a company and its salespeople. </li></ul><ul><li>A 1992 study by Baylor University, involved a textbook publisher sending 4000 educators either: 1) a pocket calculator plus a letter, 2) a lower priced highlighter pen plus a letter or 3) a letter only. </li></ul>A 1992 study by Baylor University
  41. 41. Feelings of Goodwill Toward Company and Sales Representative
  42. 42. <ul><li>An increase in feelings of goodwill toward the company and its salespeople </li></ul><ul><li>A more positive attitude among those who received the calculator than for those who received the less expensive highlighter pen </li></ul><ul><li>On questions relating to the customers’ personal feelings toward the company and its sales representatives, customers who received the calculator scored 52% higher than the letter only group. </li></ul>The use of promotional products in this study resulted in:
  43. 43. Dimensional Mailings <ul><li>The packaging of promotional products can evoke curiosity as well as an increase in direct mail response rates. A 1993 Baylor University study revealed that the use of dimensional mailers can significantly improve response rates over direct mail alone. </li></ul><ul><li>For this study 3000 school administrators were divided into three groups and received either: 1) sales letter and sales literature, 2) sales letter, literature and a promotional product, 3) the sales letter, sales literature and promotional product but delivered in a box with a die-cut slot. </li></ul>A 1993 Baylor University study
  44. 44. Dimensional Direct Mail Response Rates
  45. 45. Improve Response Rates to an Advertising Campaign With Promotional Product Mailings In a 1996 study PPAI helped a national tile distributor integrate the use of direct mail and promotional products into a print advertising campaign. One group of subscribers received only the trade ad. Other groups received a sales letter, a promotional product, or a promotional product incentive along with the trade ad. 1996 study by Dallas Marketing Group
  46. 46. Findings
  47. 47. Overview of Stowebridge Promotion Group
  48. 48. <ul><li>Mission Statement </li></ul><ul><li>Our mission is to provide outstanding marketing solutions through the use of promotional products. We make it as easy as possible for the customer from selecting an appropriate item to creating or refining the artwork and delivering the products on time and within budget. </li></ul><ul><li>We strive to be sought after in the industry by customers through the delivery of great value and great service at competitive prices. We do our best to make each customer feel like they are our only customer in order to create a positive long term working relationship with the highest quality customer service. We are a team player working within a company’s marketing and corporate teams as a valued member to deliver successful promotions for the growth and success of our customers. </li></ul>
  49. 49. <ul><li>We are ranked #2 in Arizona </li></ul><ul><li>We have been ranked in the </li></ul><ul><li>TOP 3 </li></ul><ul><li>of all promotional product companies </li></ul><ul><li>In Arizona by </li></ul><ul><li>Arizona Business Magazine Ranking AZ </li></ul><ul><li>since 2002! </li></ul>
  50. 50. <ul><li>We have invested in the most sophisticated search capabilities in the industry to find just the products you are looking for – on time. </li></ul><ul><li>Our regular attendance at trade shows help us find new and exciting products. </li></ul><ul><li>We have strong relationship with the industry’s leading suppliers and meet with them on a bi-monthly basis to keep up to date on any changes . </li></ul><ul><li>In depth experience working with companies of all sizes since 1994 – nationwide. </li></ul>Strong Product and Promotional Knowledge
  51. 51. Kathy Thomas: Background <ul><li>19 years in sales, sales training and marketing at Eastman Kodak Company specializing in consumer segmentation marketing, trade programs and sales training. </li></ul><ul><li>3 years with AirTouch Cellular as Director of Marketing for the Southwest Region. </li></ul><ul><li>Co-Founder of Stowebridge Promotion Group </li></ul>
  52. 52. Ron Thomas: Background <ul><li>22 years with grocery retail, wholesale club management, and small specialty retail management which built strong experience in retailing and display advertising </li></ul><ul><li>Certified Advertising Specialist requiring over 100 classroom hours and completion of test. He is currently working on his Master Advertising Specialist level. </li></ul><ul><li>Founded Stowebridge Promotion Group in 1994 (originally Thomas Promotions) </li></ul>
  53. 53. We are well connected in the industry and overseas <ul><li>Memberships in Promotion Products Association International and Advertising Specialty Institute enable us to qualify for specials and preferred pricing programs from manufacturers that we pass on to you. </li></ul><ul><li>When large quantities are requested and lead times allow, we have developed a network of suppliers overseas to get products made at a substantial savings. </li></ul><ul><li>We require our overseas vendors to complete our compliance survey and certify that they are in compliance with International Labor Organization Regulations. </li></ul>
  54. 54. We design programs that work for you <ul><li>We work with you to tailor programs that work for you rather than making you fit into our way of doing business. </li></ul><ul><li>Customer specific websites. </li></ul><ul><li>Fulfillment and warehousing programs. </li></ul><ul><ul><li>We have websites for several of our accounts to order apparel and other items. They are stocked in our temperature controlled warehouse and shipped the same day when ordered by noon. </li></ul></ul><ul><li>We have put together incentive programs to encourage rescue flight pilots and medical personnel to take extra shifts. </li></ul><ul><li>We can design print and mail your direct mail pieces </li></ul><ul><li>We can bring product into our warehouse and ship to multiple locations. </li></ul><ul><li>We want to be more than just a supplier for you – we want to be a true asset and partner to your business . </li></ul><ul><li>. </li></ul>
  55. 55. <ul><li>In house production capabilities: </li></ul><ul><li>Screen Printing </li></ul><ul><li>Embroidery </li></ul><ul><li>Direct to Garment Printing </li></ul><ul><li>Banners and large format printing including floor decals, window graphics, and more </li></ul><ul><li>Data replication on Flash Drives quickly and affordably in the security of our facility. We don’t pass it on to a third party to handle your secure data. </li></ul><ul><li>Storage and Fulfillment capabilities </li></ul><ul><li>We are constantly adding to our production capabilities to better serve our customers with fast turnaround and excellent quality. </li></ul>We have invested to offer you more
  56. 56. <ul><li>What Sets Us Apart… </li></ul><ul><li>Screen printing shop recognized for quality - Contracts received for hot market printing for </li></ul><ul><li>To attract the best employees we have the only air conditioned screen printing shop in Phoenix </li></ul><ul><li>We have so much capability in screen printing that we also do screen printing for promotional product companies all over the country. </li></ul>
  57. 58. <ul><li>What Sets Us Apart… </li></ul><ul><li>In house embroidery department </li></ul><ul><li>Embroidery manager comes with 15 years experience at Antigua, a leading nationwide apparel embroiderer. She has been with us since 2007. </li></ul>
  58. 61. Large Format Printing <ul><li>Full Color Banners </li></ul><ul><li>Window Graphics </li></ul><ul><li>Floor Graphics </li></ul><ul><li>Posters </li></ul><ul><li>Car Graphics </li></ul>
  59. 62. Direct Garment Printing <ul><li>Allows us to print directly on a variety of items </li></ul><ul><li>Easy to customize or personalize </li></ul><ul><li>Great reproduction </li></ul>
  60. 63. <ul><li>T-shirt Design </li></ul><ul><li>Brochures </li></ul><ul><li>Catalogs </li></ul><ul><li>Direct Mail Pieces </li></ul><ul><li>Banner Design </li></ul><ul><li>Custom Calendars with Customer Owned artwork </li></ul><ul><li>Artwork for Embroidery </li></ul><ul><li>We can create whatever you need. </li></ul>Complete array of Graphic Services
  61. 64. <ul><li>Full in house graphics capabilities to help your ideas come alive on paper and then on the final product! These are a selection of the logos we’ve created: </li></ul>Logo Design
  62. 65. <ul><li>We have great sources for Flash Drives with excellent quality with production as quick as 24 hour at good prices or overseas production and delivery within 15 days. </li></ul><ul><li>We have our own data replicator to load data for you. This is particularly helpful when you need data loaded at the last minute or the data is sensitive. </li></ul>Your source for Flash Drives – we can load data for you.
  63. 66. <ul><li>What Sets Us Apart… </li></ul><ul><li>On line Company Stores </li></ul><ul><li>We create on line stores for our customers tailored to their needs. </li></ul><ul><ul><li>General Stores with a large variety of products to choose from </li></ul></ul><ul><ul><li>Fulfillment Sites – with direct order capabilities </li></ul></ul><ul><ul><li>Apparel only sites </li></ul></ul><ul><ul><li>Association sites </li></ul></ul>
  64. 67. <ul><li>We have developed apparel and uniform programs for several customers </li></ul><ul><li>We are able to turn decorated apparel around in about one week. We often provide even faster service when we can. </li></ul><ul><li>Our apparel programs can be billed to the company or to the employee’s credit card. </li></ul><ul><li>This program can also be combined with a fulfillment program so you don’t have to stock all the embroidered clothing with a multitude of sizes and colors. </li></ul>Uniform and Apparel On Line Programs
  65. 68. <ul><li>What Sets Us Apart… </li></ul><ul><li>We have experience working with large and small companies, schools and organizations since 1994. </li></ul><ul><li>We are completely focused on the promotional product industry and have made the financial commitments to set our company apart. </li></ul><ul><li>We have outstanding and dedicated employees all ready to meet your needs. </li></ul><ul><li>We are not here just to gain your business – we are here to work with you and you won’t be turned over to a junior member of our organization. </li></ul>
  66. 69. We Sincerely Want Your Business <ul><li>We have made the investment in our business to offer you a complete solution for all your promotional needs </li></ul><ul><li>We have the experience and the right facility </li></ul><ul><li>We are large enough to be able to offer you outstanding pricing and capabilities but small enough and flexible enough to offer you just what you need. </li></ul>
  67. 70. Questions? Ready to get Started? Give us a call: 480-940-8006 or Email: