One of the key metrics associated with advertising is the ROI or return on investment of a given campaign. Measuring one’s return on investment is one of the best ways to measure the effectiveness of an advertising tactic. In general, this measure is a very basic comparison between the profits gained from a given marketing strategy and the cost of investing in said strategy. Understanding how ROI is measured and how ROI functions for different forms of advertising is useful for marketing teams when making decisions as to how best to finance their marketing decisions. Given that some advertising can be quite costly, understanding when and how to spend money on a campaign is very important! The very last thing you want to do is spend a lot of money only to realize very little profit in return.
Promotional Products Shake up the Advertising Game
Compared to most other forms of advertising, promotional products offer a better ROI. In order to calculate this, consider the cost-per-impression (the amount spent versus the amount of times your advertisement is seen). According to PPAI (Promotional Products Association International), over 33% of people who receive a promotional product regularly keep the item on their person. 73% of people who receive a promotional gift use their product at least once a week and as many as 45% use a promotional product at least once a day. Already this is a startlingly high ROI. Thinking strategically about the nature of your giveaway also improves your ROI significantly. Products such as pens (which can be purchased for less than a dollar) offer remarkably low cost-per-impressions as they travel, are widely viewed, and are visible to a large audience. When they’ve reached the limit of their usefulness, many products are passed on to friends, family, or donated, further extending the life and reach of the campaign. By contrast, traditional forms of advertising, such as radio ads or television commercials, are expensive to produce and distribute and run the risk of turning away an audience that will simply change the channel. Promotional products simply cannot be ignored!
The PPAI study also highlights that advertiser mentions are more memorable when placed on a promotional product. A whopping 76.1% of their survey participants could clearly identify a brand or company from whom they’d received a promotional product within the past twelve months! Of that same group, only 53% could remember a single advertiser they’d encountered in a newspaper or a magazine suggesting that traditional advertising, once considered staples in the market, are lacking in comparison to the promotional product game.
Choose the Perfect Giveaway
Improving your ROI with marketing giveaways comes down to one very important thing: choosing the right promotional item for your campaign. Tailoring your promotional gift to the context of its use is one great way to ensure that your customers keep your product around for a long time. Gyms, for example, might consider giving away water bottles branded with their logo. Not only will this be useful for clients who routinely use their facility, but fitness enthusiasts will undoubtedly take their water bottle on-the-go, ensuring high visibility in the long-term. By that same token, automotive dealerships might consider branded keychains or branded flashlights that attach to keyrings, which will make their item multifunctional and increase its overall use.
So, the next time your marketing team is devising a new advertising campaign, think about incorporating a promotional product and watch your ROI soar!