Without being aware of it, most employees are engaged in a daily brand-building exercise for organisations other than their own. Perhaps it's a desk calendar from a supplier. It might be the freebie pen you're writing with, the mug you're drinking coffee from, a logo-embossed diary or even the USB memory stick you use on your computer.
Offices are awash with corporate freebies – the promotional merchandise market is worth £1.2bn in the UK and $18.6bn in the US – and companies are seeking new ways to stand out from the crowd.
Paul Stringer, a buyer for promotional merchandise at BT, says the company spends around a £1m a year on such goods, split evenly between high-end items such as digital photo frames and BT-branded iPods and cheaper everyday items such as pens and T-shirts. “If it's a significant customer we can go quite upmarket – when you go down the bespoke route, it can be almost anything.”
Many organisations view merchandise as a way of supporting advertising campaigns. Sarah Walsh, team head of merchandising at the COI, the UK government's marketing and communications centre, says: “The great thing about these items is that they keep sending out the message long after TV campaigns are over.”
Gordon Glenister, director-general of the British Promotional Merchandise Association, says that the past few years have seen an explosion in the variety of promotional merchandise available, with hot areas being digital items such as photo frames, personalised goods such as calendars and eco-friendly items. Wooden jigsaw puzzles can be cut, trees planted and cakes iced with the corporate logo. There's even a company out there that will create corporate bling by etching the company logo within a large crystal.
Of course, it is important to ensure your merchandise reflects the standards of your company. Since most of these goods are made in Asia, environmental and ethical soundness has become a big issue. The branding on your corporate pen may besullied if it turns out to have been made by a six-year-old child in an illegal factory in China.
Make sure, too, that your merchandise is not a load of, well, corporate rubbish: getting your message across without being tacky can be difficult. “The key thing is to be as disciplined as you are with advertising campaigns,' says Bhanita Mistry-Russell of WhatIf, an innovation consultancy. “People do not separate the type of message sent by a cheap branded pen that doesn't work [from] the type they get from your advertising.”
For this reason, some prefer a more restrained approach. At a recent conference, Hewlett-Packard chose not to give out T-shirts and bags. “We have so much stuff coming at us,” says Satjiv Chahil, a senior vice-president for marketing. “People have to carry [these items] back with them and we discovered that we wound up with so many bags ourselves and all the clothes are the wrong size.” Instead, he says, the company gave away one of its own Ipaq mobile devices (although it did leave HP chocolates on delegates' pillows).
Those who go upmarket with company gifts report that high-ticket items such as Cross Pens can prove surprisingly cost-effective. “The recipients know these are fairly valuable items based on their retail price,” says Ms Walsh. “But the company that is slapping their name on them will have bought them in bulk.” As a result, the company gets £20 worth of goodwill for less than £10.
Clothes are widely viewed as the least loved of corporate freebies. Logowear is usually worn under sufferance at company events and thereafter creates a strong brand presence only when the wearer is washing the dog or clearing out the garage.
But there are exceptions. Caterpillar, the construction equipment maker, and John Deere, the agricultural machinery maker, have pulled off a merchandising coup: they have persuaded people to pay for the kind of goods other companies struggle to give away.
For less celebrated brands there's a reason for the enduring popularity of mugs and pens. Everyone uses them without thinking and, if people don't like them – well, at least biros are cheap.
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