The promotional product industry is a $20+ billion industry. If that’s not proof enough that promotional marketing works, we’d like to share a few  thoughts with you. They aren’t about marketing and logos. These concepts involve the psychology behind how promotional products attract more sales.

While the most effective promotional product will always be one your audience finds useful, entertaining, or cool, even poorly chosen products do provide some return on investment and an increase in sales. Here’s why:

 

Why People Buy From Companies that Give Them Something

Obligation and the Law of Reciprocity

Have you ever gone to a makeup counter and been color matched? Maybe you had the salesperson update your look through a mini makeover. This type of assistance is always free. They may even provide you with samples of the products. Is it because they are really kind and have an altruistic need to see you looking your best? Not likely. Cosmetic companies know two things — they’re confident in their product and they know by giving you something, you feel more obligated to buy from them.

Remember the Hare Krishnas and how they asked for money in airports decades ago? At first they were wildly unsuccessful. People ignored them; maybe they even laughed. Then they did something that improved their donations exponentially. They gave away flowers. Suddenly the donations increased. People who received flowers felt obligated to donate.

This is the Law of Reciprocity. According to the well-known Dr. Robert Cialdini there is not a single society in the world that doesn’t train its people to this rule.

They Take, They Keep

Another interesting stat in our disposable culture is that most people who take a promotional item, use it and hold onto it. Check out these stats:

80% of consumers own between 1-10 promotional products.

53% of those people use a promotional product at least once a week.

60% of them keep the item at least 2 years.

To sum up, if you can get a promotional product in the hands of your potential customers, they are more likely to do something for you in return, like give you their business. Once you get the item into their hands, they tend to use it and keep it.  The entire time they do, your marketing message is out there.

Your best return on investment in a promotional product will come from a well chosen promo product. However, the Law of Reciprocity shows customers are likely to buy something from you when you give them something, even if that something is as small as a single flower.