Not that giving gifts to clients is an easy science to learn, but there are many proven methods that business owners can follow to maximize their gifting results. We’ve laid out all the basics for you in this short article, so read on!
What are Corporate Gifts Used For?
Your clients are your most valuable source of new revenue and when they are kept engaged with you, they can go on to becoming a brand ambassador for your business, in addition to staying a loyal customer themselves. But VIP gifts are not the only thing companies use corporate gifting for. Gifting plans are good strategies for these as well:
✓ Employee Recognition
✓ Rewards Programs
✓ Customer Appreciation
✓ Client Relations Management
✓ Marketing and Promotions
Who benefits from Corporate Gifting?
You may be surprised to learn that just about any business, no matter how big or how small can benefit from having some kind of gift-giving plan in place, when it is done correctly. Such as these:
✓ Service providers of any kind
✓ Network Marketers and Direct Sales Consultants
✓ Insurance Agents
✓ Real Estate Agents
✓ DTC (Direct to Consumer) for bulk orders
✓ Event Planners
✓ Entertainment Managers and Agents
✓ Actors and Musicians
✓ Public Speakers
✓ Business Consultants
The Psychology behind Corporate Gift Giving
You don’t need Freud to tell you that serotonin levels surge when faced with a kind gesture. But did you know that there is a physical response that most people have when in the presence of generosity? It’s no wonder why so many businesses have adopted gift-giving as an effective method for customer and employee retention.
The psychological phenomenon behind this idea is known as The Endowment Effect, a behavioral model theory that says most products are perceived as more valuable when received as a gift, than when the exact same product is purchased with personal funds. The paradigm, when applied to an organization’s marketing strategy, has demonstrated improvement in employee engagement and customer loyalty as well as in exceeding sales projections. Read up here on how to REALLY impress your VIP Clients.
Corporate Gifting Companies…to use or not to use?
There is a misperception among many small business owners that if you have little to no budget set aside for corporate gifts, then doing everything “in house” is the best way to keep costs down. However, there are massive benefits to outsourcing client gifts through a reputable corporate gift company. And contrary to what you might think, working with a gifting company could end up saving you money —in addition to time (and sanity!) in the long run.
Further, the rate of return on corporate gifts is typically very high, when working with an experienced gift company, and well worth the investment. In other words, more gifts = more sales. Learn how Greetabl can help you create a gift-giving strategy and boost sales with a large return on your investment.
Corporate Gifting Industry Statistics That You Should Not Ignore:
- Only 45% of customers typically act on an email (but only when they SEE it!)
- 79% of consumers say they act on direct mail immediately or set aside a coupon to use later.
- Companies that use gift-giving campaigns increase sales 20% more than companies who don’t have a gift plan in place.
- Trends suggest that corporate gifting practices will continue to grow in the new decade, and are expected to yield 10x returns.
- Holiday trends are always changing. Read up on our seasonal report for 2020.
- 96% of digital marketers report an improvement in customer relationships with personalized gifts
- Customers respond 5x more often with a personalized gift than with any other form of marketing.
Creating A Corporate Gifting Plan That Works for You
If you provide a service, a good time to get to know your client is right at the beginning, where you can feed questions into your initial consultation, or even when they fill out a short online client form. This will help you personalize your gifts to them. The following are common circumstances that can make up a business’ gifting plan:
✓ First Booking
✓ At the close of an event
✓ Referral Thank You
✓ Client Birthdays
✓ Large Order Appreciation
✓ Holidays and National Events
✓ To celebrate several years of working together
✓ Hosting Giveaways or Contests on Social Media
✓ Vendor Referrals
If you are new to this, don’t fret. Once you streamline your gift-giving process, it will be easy as pie— and fun!! Need some ideas for gifts? We’ve got you covered for every gift-giving situation. Check out this recent list of unique gift ideas for clients and employees.
If you’re looking to send company swag to your employees or clients, we recommend checking out our friends at swag.com. Swag.com was started to be the best place to buy quality promotional products that people actually want to keep. Remember: A company purchasing poor swag is not only throwing away their money, as no one will want it, they’re also smacking their own brand in the face. We know Swag is a champion marketing tool. Be impactful, strengthen your company culture and communicate your core values with our superior quality.
Go Get ‘Em!
Now that you have the tools to create your Corporate Gifting Strategy, your final test is to implement and initiate. Make sure to keep track of your gift responses and use the data to make relevant improvements. Remember, any business strategy– including gift-giving – should remain a work-in-progress to reach optimal success.
Congratulations, you get an A+.