Promotional gifts

Promotional Gifts

Definition:

Promotional gifts, also known as giveaways or freebies, are items provided by manufacturers to retailers or directly to customers as incentives to promote the sale of specific products or to attract customers to a retailer's business. These gifts are typically branded or associated with the manufacturer's products.

Key Characteristics and Examples of Promotional Gifts:

Sales Promotion Strategy:

Promotional gifts are part of a sales promotion strategy aimed at boosting product sales, increasing brand visibility, and attracting customers. Manufacturers offer these gifts to create a sense of value and reward for customers.

Example: A cosmetics company includes a free makeup bag with the purchase of certain makeup products. This encourages customers to buy the promoted items and enhances the overall shopping experience.

Branded or Co-branded Items:

Promotional gifts often feature the manufacturer's brand or logo, making them a form of advertising. They can also be co-branded with both the manufacturer's and the retailer's logos.

Example: A sports apparel manufacturer collaborates with a sports equipment store to offer branded water bottles as promotional gifts. The water bottles display both the manufacturer's logo and the store's logo.

Customer Attraction and Loyalty:

Retailers may use promotional gifts to entice customers into their stores or to reward loyal customers for their repeat business. These gifts can help build a positive relationship between customers and the retailer.

Example: A coffee shop chain offers a loyalty program where customers who purchase a certain number of coffees receive a free branded travel mug. This encourages customers to return to the shop for future purchases.

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Promotional gifts

Product Bundles:

Promotional gifts can be offered as part of a product bundle, where customers receive a gift when they purchase a specific combination of products. This can lead to increased sales of multiple items.

Example: An electronics retailer promotes a bundle deal where customers purchasing a new smartphone and tablet receive a free pair of branded headphones. This encourages customers to buy both devices.

Promotional gifts serve as effective marketing tools to incentivize purchases, enhance brand recognition, and build customer loyalty. They create a sense of value for customers, making them more likely to engage with a product or brand.