Corporate Gift Giving Study Results

The  BPMA
The BPMAPromotional Products at British Promotional Merchandise Association
1 
Corporate Gift Giving 
Study Results 
Nathaniel Kucsma 
October 2014
2 Background and Methodology 
In September 2014, ASI® commissioned a study to be 
conducted with corporate end-buyers about their gift-giving 
plans for the 2014 holiday season. Respondents were screened 
to ensure that they had final purchase authority or significant 
influence over the gift-giving decisions for employees and 
customers/prospects. 
A total of 303 end-buyers who met these criteria responded to 
the survey. Survey responses were collected between 
September 30th and October 27th.
3 Key Findings - Overall 
• About six in 10 (62%) companies are planning on giving out gifts 
this holiday season to employees or customers/prospects. 
o The remaining 38% of companies have either decided to not give out gifts this year 
or are still undecided. 
• Spending on corporate gifts is anticipated to remain unchanged 
from 2013 for most companies (74%) who are giving out gifts. 
o Among the companies anticipating a change in spending this year, many 
more (19%) are anticipating increasing their expenditure than decreasing 
it (7%). 
• On average, 68% of gifts that will be distributed this holiday season 
will have the company’s logo on it. 
o More than four in 10 (42%) companies who are giving out gifts this year 
report that all of the items they give out will have their company’s logo 
on it. 
• When asked what the most important attributes are when deciding 
what promotional products to purchase, attractiveness, durability 
and utility topped the list.
4 Key Findings - Employees 
• More than four in 10 (43%) companies are planning on giving out 
gifts this year to employees. 
o Nearly one-third of companies are undecided about their employee gift giving plans 
for employees. 
• Three-quarters (75%) of companies who are giving gifts to 
employees report that all employees will receive a gift. 
• The most popular gifts for employees are gift cards (53%), followed 
by food/beverages (33%), apparel (31%) and cash bonuses (28%). 
• Employers report that they will spend an average of about $50 per 
employee on gifts this holiday season. 
• The median amount being spent by companies is $38 per employee. 
• Most companies (78%) are planning on spending the same amount 
this year as last year on employee gifts. 
• Only 5% of companies that are giving employee gifts this year report that they are 
planning to decrease their spending on them, compared to 17% who expect to 
increase their spending.
5 Key Findings – Customers/Prospects 
• More than four in 10 (42%) companies are planning on giving out 
gifts this year to customers and/or prospects. 
o One-quarter of companies are undecided about their customer/prospect gift-giving 
plans. 
• On average, companies who are giving gifts to customers will 
distribute 116 gifts, while those giving gifts to prospects will 
distribute 76. 
• The most popular gifts for customers/prospects are food/beverages 
(53%), followed by desk accessories (35%), writing instruments 
(31%) and calendars (28%). 
• The main goal of giving gifts to customers/prospects is to express 
appreciation (86%) and for relationship development (69%). 
• Companies report that they will spend an average of $43 per 
customer/prospect on gifts this holiday season. 
• More than four in 10 (42%) giving gifts to clients/prospects report 
spending more on their larger clients than on their smaller ones.
6 
Overall Gift-Giving Plans
7 
Overall Gift Giving 
• Among surveyed companies, 62% are planning on giving gifts 
out to employees and/or clients and prospects. 
• The remaining 38% are not planning on giving out gifts this 
year, or haven’t made the decision to do so yet. 
Who companies are giving gifts to this 
Employees 
only 
19% 
Clients/ 
Prospects 
only 
Both 19% 
employee 
and client/ 
prospect 
24% 
Neither/ 
Not sure 
38% 
holiday season
8 
Overall Gift Giving 
• Most companies are planning to spend the same amount on 
holiday gifts this year as compared to last year. 
• Among those changing the amount they are spending this year, 
more are likely to report increasing their spend than decreasing 
it. 
Change in spending on all 
gifts from prior year 
Increased 
19% 
Decreased 
7% 
About the 
same 
74%
9 
Overall Gift Giving 
• On average, 68% of gifts that are given out will have the 
company’s logo imprinted on it. 
• 42% of companies who are giving gifts this holiday season 
report that all of the items they give out will have their logo on 
them. 
Percentage of gifts that will 
have company logo on it 
100% 
42% 
75% - 99% 
10% 
0% 
23% 
1% - 49% 
11% 
50%-74% 
14% 
68% 
95% 
Mean Median
10 
Importance of Attributes When Buying Promotional Products 
• Attractiveness, durability and utility are all important factors 
when end-buyers are deciding which promotional products to 
purchase. 
• Alternatively, much less consideration is given to the eco-friendliness 
of the product or whether it was made in the USA. 
46% 
37% 
92% 
85% 
70% 
55% 
83% 
24% 
25% 
27% 
19% 
5% 
9% 
10% 
29% 
39% 
6% 
7% 
11% 
18% 
3% 
0% 20% 40% 60% 80% 100% 
Atractiveness of product 
Durability of product 
Utility of product 
Product is low-cost 
Product has been tested for 
safety 
Product is made in the USA 
Product is eco-friendly 
Important (8-10) Somewhat Important (6-7) Not Important (1-5)
11 
Employee Gifts
12 
Gift Giving to Employees 
• More than four in 10 employers are planning on giving gifts to 
their employees this holiday season. 
• As of the survey date, nearly one-third of employers were still 
undecided about giving out gifts to employees, while about one-quarter 
had decided against it. 
Planning to give gifts this 
holiday season to employees 
Yes 
43% 
Not 
Sure 
30% 
No 
27%
13 
Gift Giving to Employees 
• The majority of companies (75%) who are planning to give gifts 
to employees will give them to all of their employees. 
• 86% of companies giving gifts to employees this holiday season 
will give them to 75% or more of the employees in their 
company. 
Percentage of employees who 
will receive gifts 
All 
Employees 
75% 
75% to 
99% 
11% 
50% to 
74% 
5% 
Less than 
50% 
9%
14 
Gift Giving to Employees 
• Gift cards are the most likely gift to be given out to employees 
this holiday season, followed by food/beverages, apparel and 
cash bonuses. 
Types of gifts companies plan to give to employees 
5% 
3% 
8% 
8% 
7% 
12% 
19% 
18% 
16% 
21% 
31% 
28% 
33% 
53% 
Gift cards 
Food or beverages 
Apparel 
Cash bonuses 
Desk accessories 
Drinkware 
Electronics 
Writing instruments 
Calendars 
Sporting goods 
Bags/Luggage 
Jewlery/Watches 
Travel 
Charitable donation 
0% 10% 20% 30% 40% 50% 60% 
Tier 1 
Tier 2 
Tier 3
15 
Gift Giving to Employees 
• The median spent per employee is $38, indicating that half of 
employers who are giving gifts will spend under $38 and half 
will spend over $38. 
• On average, employers giving gifts to employees will spend an 
average of about $50 per employee. 
Amount planning to spend 
-Per employee- 
$250+ 
7% $101 - 
$249 
11% 
$76 - $100 
11% 
$51 - $75 
$10 or less 
$26 - $50 6% 
24% 
$11 - $25 
22% 
19% 
Median: $38 per employee
16 
Gift Giving to Employees 
• Most companies are planning to spend the same amount on 
employee gifts this year as compared to last year. 
• Those that are changing the amount they are spending this year 
are more than three times as likely to report increasing their 
spending than decreasing it. 
Change in spending on 
employee gifts from prior year 
Increased 
17% 
Decreased 
5% 
About the 
same 
78%
17 
Customer & Prospect Gifts
18 
Gift Giving to Customers/Prospects 
• About four in 10 companies are planning on giving out gifts to 
customers and/or prospects this holiday season. 
• As of the survey date, one-quarter of companies were still 
undecided about giving gifts to customers and/or prospects. 
Planning to give gifts this 
holiday season to customers/prospects 
Yes 
42% 
Not 
Sure 
25% 
No 
33%
19 
Gift Giving to Customers/Prospects 
• Companies who are giving gifts to customers anticipate 
distributing them to 116 customers on average. 
• Companies sending gifts to prospects expect to distribute them 
to 76 prospects. 
Number of gifts 
116 
Clients Prospects 
50 
76 
23 
Mean Median Mean Median
20 
Gift Giving to Customers/Prospects 
• Food or beverages are the most popular gifts for customers and 
prospects. 
• Following food/beverages in popularity are gifts that could be 
used around the office, specifically desk accessories, writing 
instruments and calendars. 
Types of gifts companies plan to give to customers/prospects 
2% 
1% 
6% 
6% 
10% 
9% 
17% 
15% 
22% 
20% 
31% 
28% 
35% 
54% 
Food or beverages 
Desk accessories 
Writing instruments 
Calendars 
Drinkware 
Gift cards 
Apparel 
Electronics 
Bags/Luggage 
Sporting goods 
Charitable donations 
Travel 
Cash bonuses 
Jewlery/Watches 
0% 10% 20% 30% 40% 50% 60% 
Tier 1 
Tier 2 
Tier 3
21 
Gift Giving to Customers/Prospects 
• The primary goal of giving gifts to customers and prospects is to 
simply express appreciation. 
• Relationship development is also a key driver behind the 
decision to give gifts to customers and prospects 
Goals of giving gifts to customers/prospects 
7% 
22% 
21% 
28% 
51% 
51% 
69% 
86% 
Express appreciation 
Relationship development 
Generate company good will 
Increase company awareness 
Obtain a referral 
Generate a lead 
Obtain a sale 
Other 
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% 
Tier 1 
Tier 2 
Tier 3
22 
Gift Giving to Customers/Prospects 
• On average, employers who are giving gifts to 
customers/prospects will spend an average of $43 per contact. 
• The median spent per customer/prospect is $38, which 
indicates that half of employers who are giving gifts will spend 
under $38 and half will spend over $38. 
Amount planning to spend 
-Per customer/prospect- 
$250+ 
3% 
$101 - 
$249 
3% $76 - $100 
9% 
$51 - $75 
15% 
$26 - $50 
21% 
$10 or less 
24% 
$11 - $25 
25% 
Median: $38 per customer/prospect 
Mean: $43 per customer/prospect
23 
Gift Giving to Customers/Prospects 
• More than four in 10 who are planning on giving gifts to clients 
state that they spend more on their larger clients than their 
smaller clients. 
Whether more is spent on larger 
clients than smaller clients 
Yes 
No 42% 
58%
24 
Gift Giving to Customers/Prospects 
• Most companies are planning on spending the same amount on 
customer/prospect gifts this year as compared to last year. 
• Those that are changing the amount they are spending this year 
are just as likely report increasing their spending as decreasing 
it. 
Change in spending on customer/ 
prospect gifts from prior year 
Increased 
11% 
About the 
same 
76% 
Decreased 
13%
1 of 24

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Corporate Gift Giving Study Results

  • 1. 1 Corporate Gift Giving Study Results Nathaniel Kucsma October 2014
  • 2. 2 Background and Methodology In September 2014, ASI® commissioned a study to be conducted with corporate end-buyers about their gift-giving plans for the 2014 holiday season. Respondents were screened to ensure that they had final purchase authority or significant influence over the gift-giving decisions for employees and customers/prospects. A total of 303 end-buyers who met these criteria responded to the survey. Survey responses were collected between September 30th and October 27th.
  • 3. 3 Key Findings - Overall • About six in 10 (62%) companies are planning on giving out gifts this holiday season to employees or customers/prospects. o The remaining 38% of companies have either decided to not give out gifts this year or are still undecided. • Spending on corporate gifts is anticipated to remain unchanged from 2013 for most companies (74%) who are giving out gifts. o Among the companies anticipating a change in spending this year, many more (19%) are anticipating increasing their expenditure than decreasing it (7%). • On average, 68% of gifts that will be distributed this holiday season will have the company’s logo on it. o More than four in 10 (42%) companies who are giving out gifts this year report that all of the items they give out will have their company’s logo on it. • When asked what the most important attributes are when deciding what promotional products to purchase, attractiveness, durability and utility topped the list.
  • 4. 4 Key Findings - Employees • More than four in 10 (43%) companies are planning on giving out gifts this year to employees. o Nearly one-third of companies are undecided about their employee gift giving plans for employees. • Three-quarters (75%) of companies who are giving gifts to employees report that all employees will receive a gift. • The most popular gifts for employees are gift cards (53%), followed by food/beverages (33%), apparel (31%) and cash bonuses (28%). • Employers report that they will spend an average of about $50 per employee on gifts this holiday season. • The median amount being spent by companies is $38 per employee. • Most companies (78%) are planning on spending the same amount this year as last year on employee gifts. • Only 5% of companies that are giving employee gifts this year report that they are planning to decrease their spending on them, compared to 17% who expect to increase their spending.
  • 5. 5 Key Findings – Customers/Prospects • More than four in 10 (42%) companies are planning on giving out gifts this year to customers and/or prospects. o One-quarter of companies are undecided about their customer/prospect gift-giving plans. • On average, companies who are giving gifts to customers will distribute 116 gifts, while those giving gifts to prospects will distribute 76. • The most popular gifts for customers/prospects are food/beverages (53%), followed by desk accessories (35%), writing instruments (31%) and calendars (28%). • The main goal of giving gifts to customers/prospects is to express appreciation (86%) and for relationship development (69%). • Companies report that they will spend an average of $43 per customer/prospect on gifts this holiday season. • More than four in 10 (42%) giving gifts to clients/prospects report spending more on their larger clients than on their smaller ones.
  • 7. 7 Overall Gift Giving • Among surveyed companies, 62% are planning on giving gifts out to employees and/or clients and prospects. • The remaining 38% are not planning on giving out gifts this year, or haven’t made the decision to do so yet. Who companies are giving gifts to this Employees only 19% Clients/ Prospects only Both 19% employee and client/ prospect 24% Neither/ Not sure 38% holiday season
  • 8. 8 Overall Gift Giving • Most companies are planning to spend the same amount on holiday gifts this year as compared to last year. • Among those changing the amount they are spending this year, more are likely to report increasing their spend than decreasing it. Change in spending on all gifts from prior year Increased 19% Decreased 7% About the same 74%
  • 9. 9 Overall Gift Giving • On average, 68% of gifts that are given out will have the company’s logo imprinted on it. • 42% of companies who are giving gifts this holiday season report that all of the items they give out will have their logo on them. Percentage of gifts that will have company logo on it 100% 42% 75% - 99% 10% 0% 23% 1% - 49% 11% 50%-74% 14% 68% 95% Mean Median
  • 10. 10 Importance of Attributes When Buying Promotional Products • Attractiveness, durability and utility are all important factors when end-buyers are deciding which promotional products to purchase. • Alternatively, much less consideration is given to the eco-friendliness of the product or whether it was made in the USA. 46% 37% 92% 85% 70% 55% 83% 24% 25% 27% 19% 5% 9% 10% 29% 39% 6% 7% 11% 18% 3% 0% 20% 40% 60% 80% 100% Atractiveness of product Durability of product Utility of product Product is low-cost Product has been tested for safety Product is made in the USA Product is eco-friendly Important (8-10) Somewhat Important (6-7) Not Important (1-5)
  • 12. 12 Gift Giving to Employees • More than four in 10 employers are planning on giving gifts to their employees this holiday season. • As of the survey date, nearly one-third of employers were still undecided about giving out gifts to employees, while about one-quarter had decided against it. Planning to give gifts this holiday season to employees Yes 43% Not Sure 30% No 27%
  • 13. 13 Gift Giving to Employees • The majority of companies (75%) who are planning to give gifts to employees will give them to all of their employees. • 86% of companies giving gifts to employees this holiday season will give them to 75% or more of the employees in their company. Percentage of employees who will receive gifts All Employees 75% 75% to 99% 11% 50% to 74% 5% Less than 50% 9%
  • 14. 14 Gift Giving to Employees • Gift cards are the most likely gift to be given out to employees this holiday season, followed by food/beverages, apparel and cash bonuses. Types of gifts companies plan to give to employees 5% 3% 8% 8% 7% 12% 19% 18% 16% 21% 31% 28% 33% 53% Gift cards Food or beverages Apparel Cash bonuses Desk accessories Drinkware Electronics Writing instruments Calendars Sporting goods Bags/Luggage Jewlery/Watches Travel Charitable donation 0% 10% 20% 30% 40% 50% 60% Tier 1 Tier 2 Tier 3
  • 15. 15 Gift Giving to Employees • The median spent per employee is $38, indicating that half of employers who are giving gifts will spend under $38 and half will spend over $38. • On average, employers giving gifts to employees will spend an average of about $50 per employee. Amount planning to spend -Per employee- $250+ 7% $101 - $249 11% $76 - $100 11% $51 - $75 $10 or less $26 - $50 6% 24% $11 - $25 22% 19% Median: $38 per employee
  • 16. 16 Gift Giving to Employees • Most companies are planning to spend the same amount on employee gifts this year as compared to last year. • Those that are changing the amount they are spending this year are more than three times as likely to report increasing their spending than decreasing it. Change in spending on employee gifts from prior year Increased 17% Decreased 5% About the same 78%
  • 17. 17 Customer & Prospect Gifts
  • 18. 18 Gift Giving to Customers/Prospects • About four in 10 companies are planning on giving out gifts to customers and/or prospects this holiday season. • As of the survey date, one-quarter of companies were still undecided about giving gifts to customers and/or prospects. Planning to give gifts this holiday season to customers/prospects Yes 42% Not Sure 25% No 33%
  • 19. 19 Gift Giving to Customers/Prospects • Companies who are giving gifts to customers anticipate distributing them to 116 customers on average. • Companies sending gifts to prospects expect to distribute them to 76 prospects. Number of gifts 116 Clients Prospects 50 76 23 Mean Median Mean Median
  • 20. 20 Gift Giving to Customers/Prospects • Food or beverages are the most popular gifts for customers and prospects. • Following food/beverages in popularity are gifts that could be used around the office, specifically desk accessories, writing instruments and calendars. Types of gifts companies plan to give to customers/prospects 2% 1% 6% 6% 10% 9% 17% 15% 22% 20% 31% 28% 35% 54% Food or beverages Desk accessories Writing instruments Calendars Drinkware Gift cards Apparel Electronics Bags/Luggage Sporting goods Charitable donations Travel Cash bonuses Jewlery/Watches 0% 10% 20% 30% 40% 50% 60% Tier 1 Tier 2 Tier 3
  • 21. 21 Gift Giving to Customers/Prospects • The primary goal of giving gifts to customers and prospects is to simply express appreciation. • Relationship development is also a key driver behind the decision to give gifts to customers and prospects Goals of giving gifts to customers/prospects 7% 22% 21% 28% 51% 51% 69% 86% Express appreciation Relationship development Generate company good will Increase company awareness Obtain a referral Generate a lead Obtain a sale Other 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% Tier 1 Tier 2 Tier 3
  • 22. 22 Gift Giving to Customers/Prospects • On average, employers who are giving gifts to customers/prospects will spend an average of $43 per contact. • The median spent per customer/prospect is $38, which indicates that half of employers who are giving gifts will spend under $38 and half will spend over $38. Amount planning to spend -Per customer/prospect- $250+ 3% $101 - $249 3% $76 - $100 9% $51 - $75 15% $26 - $50 21% $10 or less 24% $11 - $25 25% Median: $38 per customer/prospect Mean: $43 per customer/prospect
  • 23. 23 Gift Giving to Customers/Prospects • More than four in 10 who are planning on giving gifts to clients state that they spend more on their larger clients than their smaller clients. Whether more is spent on larger clients than smaller clients Yes No 42% 58%
  • 24. 24 Gift Giving to Customers/Prospects • Most companies are planning on spending the same amount on customer/prospect gifts this year as compared to last year. • Those that are changing the amount they are spending this year are just as likely report increasing their spending as decreasing it. Change in spending on customer/ prospect gifts from prior year Increased 11% About the same 76% Decreased 13%