Berhampur 70918*19311 CALL GIRLS IN ESCORT SERVICE WE ARE PROVIDING
Power of Promotional Products
1. The Power of Promotional Products
Promotional Products Association International
2. Table Of Contents
Section A: Industry Information and
Statistics
Section B: Applications of Promotional
Products
Section C: Research Studies
Section D: Conclusion
4. What are Promotional Products?
Items used to promote a product, service or company
program, including advertising specialties, premiums,
incentives, business gifts, awards, prizes,
commemoratives and other imprinted or decorated items.
5. How big is the Promotional Products
Industry?
.
$19,440,837,547
Source: The PPAI 2007 Sales Volume Estimate
10. Safety Other
Education/Incentive 2.73% (1.84%)
Marketing Research
2.78% (3.04%)
1.53% (1.36%) 2007 SALES BY
Employee Service
PROGRAM
Awards
5.44% (5.43%)
Employee
Relations & Events
CATEGORY
13.80% (8.46%)
(2006 in parentheses)
New Product/
Service Introduction
5.78% (5.29%)
Brand Awareness
12.84% (8.87%)
Dealer Distributor
Programs 6.16%
(7.73%)
Internal Promotions Trade Shows
6.30% (3.47%) 10.68% (11.36%)
Customer Referral
6.76% (2.33%)
Public Relations
New Customer/Account
7.05% (8.75%)
Not-For-Profit Generation 9.98% (7.61%)
Programs
8.16% (5.89%) Source: 2007 PPAI Product and Program
Category Surveys
Note: (Business Gifts as a category
has been eliminated in 2007)
11. Advantages of Using Promotional Products
Flexible
Tangible and long-lasting
Impact easily measured
Higher perceived value
Complements targeted marketing
Complements other advertising media
13. Promotional Products – A Key Ingredient
to Integrated Marketing
In a study conducted in a controlled environment by researchers at
Louisiana State University and University of Texas at San Antonio
researchers explored:
Effectiveness of promotional products when compared to other
traditional forms of advertising such as television and print
Synergistic effects of promotional products when used along
with these other media
A 2006 Study by Louisiana State University and University of Texas
at San Antonio
14. Promotional Products – A Key Ingredient
to Integrated Marketing (Contd.)
Seven groups of people were exposed to advertising for a new
pizza product via the three mediums, namely, television, print
and promotional products
These groups were:
Group 1: TV Only (control group)
Group 2: Print Only (control group)
Group 3: TV-Print (control group)
Group 4: Promotional Product (Experimental group)
Group 5: TV-Promotional Product (Experimental group)
Group 6: Print-Promotional Product (Experimental group)
Group 7: TV-Print-Promotional (Experimental group)
A 2006 Study by Louisiana State University and University of Texas
at San Antonio
15. Promotional Products – A Key Ingredient
to Integrated Marketing (Contd.)
In particular, the questions in the study measured the following:
Advertisement credibility
Attitudes toward product, advertisement or promotional product
Product purchase intention
Referral value
Impressions of the advertisement
Perceptions about the product
A 2006 Study by Louisiana State University and University of Texas
at San Antonio
16. Promotional Products – A Key Ingredient
to Integrated Marketing (Contd.)
When comparing the effectiveness of promotional products with television
and print, findings revealed:
While the print ad came in first overall, the promotional product
outperformed television across the board.
Respondents preferred advertising through a promotional product to the
television ad in terms of their:
- Positive attitudes toward the ad (41% to 18%),
- Positive attitude toward the product (20% to 16%),
- Message credibility (54% to 33%)
- Purchase intent (25% to 17%)
- Referral value (26% to 16%)
Adding a promotional product to the media mix generated favorable
attitudes toward the ad in all cases (up to 44%)
A 2006 Study by Louisiana State University and University of Texas
at San Antonio
17. Promotional Products – A Key Ingredient
to Integrated Marketing (Contd.)
When examining the synergistic effects of promotional products
when used along with other media, findings of the study revealed:
Integrating a promotional product with television and print ads
increased referral value as well as credibility of the message
Groups who were exposed to promotional products tended to
rate the advertising message more positively than those groups
not exposed to a promotional product
A 2006 Study by Louisiana State University and University of Texas
at San Antonio
18. Promotional Products’ Impact on Brand/
Company Image
An experimental study Overall Image
conducted by Georgia
Southern University shows 5.5
5
that recipients of promotional 4.5
products have a significantly 4
3.5
more positive image of a 3
company than those who do 2.5
not receive promotional 2
1.5
products. 1
0.5
0
For the study, the Product No Product
researchers selected, as the Image Uniqueness
test company, a restaurant Perception Lunch Patronage Likelihood
located in a college town a Dinner Patronage Likelihood
few miles from a university
campus.
A 2005 Study by Georgia Southern University
19. Promotional Products’ Impact on Brand/
Company Image (contd.)
Likelihood To Recommend
The Business
The group receiving the 3.2
promotional product was
3
significantly more likely to
recommend the business to 2.8
others than the group that 2.6
received nothing. 2.4
2.2
2
Product No Product
20. Promotional Products’ Impact on Brand/
Company Image (contd.)
Perception Of The Business As
Reflected By Positive Comments
The group receiving the About The Company
promotional product had a
more positive image as 1.2
evidenced in their 1
comments about the 0.8
company than the non-
0.6
recipient control group.
The difference was 0.4
statistically significant. 0.2
0
Product No Product
21. Promotional Product Incentives Produce
Valuable Referrals From Satisfied Customers
Accompanying a request for
referrals, an offer of a 0.05
promotional product incentive 0.045
4.80% 4.80%
or an offer of a promotional 0.04
product incentive and 0.035
eligibility in a sweepstakes 0.03
drew as many as 500 percent 0.025
more referrals than an appeal 0.02
letter alone. 0.015 0.80%
0.01
0.005 0%
Offers of promotional product 0
incentives are likely to be
substantially more effective Appeal Letter alone
than enclosing free Letter plus free promotional product
promotional products with an Letter + promotional product incentive for referral
appeal letter. Letter + promotional product incentive + sweepstakes
A 2005 Study by Louisiana State University and Glenrich Business Studies
22. Effectiveness of Promotional Products at
Tradeshows
PERCENT OF COMPANIES THAT
71.6% of attendees who REMEMBERED THE NAME OF
THE COMPANY
received a promotional
product remembered the 80.00% 71.6%
name of the company that 70.00%
gave them the product 60.00%
76.3% of attendees had a 50.00%
Yes
favorable attitude toward 40.00% 28.4% No
the company that gave 30.00%
them the product 20.00%
10.00%
0.00%
A 2003 Study by Georgia Southern University
23. Increase Booth Traffic with Promotional
Products
45%
Are Pre-show mailings with 41%
40%
Promotional Product Offerings 36%
35%
More Effective in Increasing Booth
Traffic Than Mailings Without? 30%
23%
25%
Including a promotional product with a 20%
pre-show mailing or an offer of a
promotional product increases the 15%
likelihood of an attendee stopping by a
tradeshow booth 10%
As a general rule, promotional products 5%
of greater value generate more sales
leads than products of lower value 0%
Mailer Only Mailer with Mailer with T-
Magnet shirt Offer
A 2004 study by Georgia Southern
University
24. Impact, Exposure and Influence of Promotional
Products
Reach: Recall:
76.1% of participants could recall the
71% of business travelers name of the advertiser on the promotional
randomly surveyed at DFW product that they received in the past 12
Airport reported receiving a months
promotional product in the In comparison only 53.5% of
last 12 months participants could recall the name of an
advertiser they had seen in a magazine or
33.7% of this group had the newspaper in the previous week.
item on their person - a
80.00%
coveted location for
70.00% 76.10%
advertising
60.00%
50.00%
53.10%
40.00%
30.00%
20.00%
10.00%
A 2004 Study by L.J Market Research 0.00%
Print Media Promotional
Products
25. Impact, Exposure and Influence of Promotional
Products (contd.)
Impression of the Advertiser
52% of participants in the study did business with the advertiser
after receiving the promotional product.
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
52.1% of participants reported having a more favorable
impression of the advertiser since receiving the item.
26. Impact, Exposure and Influence of Promotional
Products (contd.)
Frequency of Exposure/Lower Cost Per Impression
73% of those who used the promotional product that they had received
stated that they used it at least once a week
45.2% used it at least once a day
The greater the frequency of exposure, the lower the cost per Impression
Repeated Exposure
55% of participants generally kept their promotional products for more than
a year.
22% of participants kept the promotional product that they had received for
at least six months.
27. Impact, Exposure and Influence of Promotional
Products (contd.)
Why Keep the Promotional Product
75.4% of those who received a promotional product stated that
they thought the item was useful
20.2% kept the promotional product because they thought it was
attractive
Pass - Along Exposure
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.
28. 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
29. Clients Respond to Business Gifts
5.0
4.5
4.0
3.5 4.7
3.0 4.2
3.7
2.5 Satisfaction
3.6
2.8 Intent to Buy
2.0 3.0
1.5
1.0
0.5
0.0
Letter Letter+ Silver Gift Letter + Gold Gift
1 = Very Dissatisfied/Very unlikely to buy and 7 = Very Satisfied/Very likely to
buy
30. 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
31. Trade Shows
Booth Visitation Rates
25%
20%
%
76 ase
1 e
r
15% Inc
10% 11.6%
5%
4.2%
0%
Product + Offer for Mat ching I nvit at ion Only
I ncent i ve at Show
32. The use of promotional products in this study
increased:
Booth visitation
Remembrance of the invitation
Feelings of goodwill
33. Improve Direct Mail Response Rates
with Promotional Products
The use of promotional products in conjunction with a
sales letter can make a significant difference in direct
mail response rates.
The use of promotional products can also improve a
business’ effectiveness in converting leads to sales
appointments.
A 1992 study by Silver Marketing Group
34. Findings
15%
13%
11%
9%
7%
5% 7.3%
3%
2.7%
1% 1.8%
-1%
Sales Letter Letter & Promotional Letter plus offer of
Product Promotional Product
Incentive
* In terms of appointments secured
35. 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.
36. 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
38. 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
39. The survey found that:
Employees like awards and incentives
Employees are motivated to win awards
Employees work hard to win awards
Employees encourage their co-workers to work
toward awards and incentives.
40. Motivating through Incentives
A 1999 survey by the Incentive Federation Inc., revealed that
incentive programs are both highly effective as well as cost
efficient.
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.
The study revealed that American businesses spend $23 billion
annually on merchandise and travel for motivational use.
A 1999 Incentive Federation Study
41. How Incentives are Used
90%
80%
70%
82%
60%
50% 6 1%
66%
40%
48%
30%
20%
10%
0%
Sales Incent iv es Consumer / User Non- Sales Dealer I ncent iv es
Pr omot ions Recognit ion/ Mot iv at ion
42. Percentage of Incentive Programs that Achieve
Established Goals
89.00%
88.00%
88.30%
87.00%
86.00%
85.00%
84.00%
83.00%
83.70%
82.00% 83.10%
81.00%
80.00%
Dealer Pr ogr ams Consum er / User Pr ogr ams Sales Pr ogr am s
43. 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
44. Findings
50%
45%
40%
44%
35%
30% 35.8%
Gift
25%
No Gift
20%
15%
10% 13.3%
11.7%
5%
0%
Referrals Per Number of Customers
Salesperson giving Referrals
45. Customers who received a promotional product were 14%
more likely to provide leads than those who did not
Sales people who gave promotional gifts to their customers
received 22% more referrals than sales people who did not
use promotional products
40% of the salespeople who used gifts commented on how
well the gifts were received by their customers
46. Build Customer Goodwill with
Promotional Products
Promotional products foster customer goodwill
toward a company and its salespeople.
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.
A 1992 study by Baylor University
47. Feelings of Goodwill
Toward Company and Sales Representative
6
Scale:
1=negative/6=positive
5
4
3 3.22
2.72
2
2.12
1
0
More Expensive Gift Less Expensive Gift Sales Letter
(Calculator) (Highlighter)
48. The use of promotional products in this study resulted in:
An increase in feelings of goodwill toward the company and its
salespeople
A more positive attitude among those who received the
calculator than for those who received the less expensive
highlighter pen
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.
49. Dimensional Mailings
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.
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.
A 1993 Baylor University study
50. Dimensional Direct Mail Response Rates
5%
4%
3%
3.3%
2%
2.1%
1.9%
1%
0%
Sales Letter Letter and Promotional Letter, Promotional
Product Product & Dimensional
Packaging
51. 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
54. The value of Promotional Products is in their ability to carry a
message to a well-defined audience. Because the products are
useful to and appreciated by the recipients, they are retained and
used, repeating the imprinted message many times without added
cost to the advertiser.
The information contained within this presentation will provide a
greater knowledge of promotional products, the industry and its
applications.
55. This information has been made available to you courtesy
of Promotional Products Association International and
Dynamic Image Marketing Systems, Inc.
For more Information contact:
Craig Cavanaugh
Casa del Mar
3910 Sorrento Valley Blvd. Suite 100
San Diego, CA 92121
