Justifying the Costs of Promotional Items
Justifying the costs associated with promotional merchandise is a bit easier. A measurable ROI is very common amongst promotional items. In fact, promotional items may get you the best bang for your buck. When measuring an ad’s effectiveness on a cost per impression basis, on average hats cost $.002, shirts costs $.005, where newspaper ads (black and white) and ads in national magazines are an average of $0.033 per impression, according to the ASI study. Where promotional products are closer to the national average for businesses paid search is $.0051, you should be able to integrate various forms of offline and online marketing into one umbrella campaign.
Promotional items can be cost-effective and great for keeping your brand image relevant. People continuously are coming in contact with the products, and promo items are relatively inexpensive relative to the amount of exposure. Advertising is an expensive form of promotion, but the numbers don’t lie, as previously mentioned, “62 percent of people, on average, report they have done business with a company after receiving a promotional product from them.” These numbers are a staggering response rate. Let’s say for numbers purposes, of those 62%, 50% would have still done business with you without a promotional item. Even in a modest example, that leaves you with a potential to gain 12% more business by issuing promotion merchandise to potential customers. If your business has 1,000 revolving customers, that average $150 annually, you are increasing revenue by $18,000.
Even basic promotional items have the ability to increase your business; each promotional bag issued by a company averages 1,038 impressions per month. It may seem odd turning to promotional items as a cost effective way to increase business, but when used in conjunction with a solid marketing campaign, promotional items have staying power. To get price quotes from merchants specializing in promotional items, click here.