Friday, April 19, 2024

The Psychology behind Corporate Giveaways

The Psychology behind Corporate Giveaways

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Here’s how corporate gifting can establish deeper connections with employees, business partners, and customers.

The good nature that is inherent in every person always gives way to voluntary giving or sharing. In social psychology, reciprocity is a norm—when an individual receives a favor, a good deed, or a gift from another, they develop an innate feeling of wanting to give back or return the favor.

It is no surprise that the Theory of Reciprocity has become an effective strategy in marketing and human resources management across the globe. Marketing strategists have been using corporate gifting to further convince consumers to patronize their products or develop a stronger relationship with business partners. Meanwhile, human resources leads have been using the same approach to establish a deeper connection between the company and its employees.

According to research published in The Harvard Business Review (entitled ‘The New Science of Customer Experience’), people tend to develop a greater emotional connection and have a higher satisfaction with a brand when they form a deeper relationship with that brand. That strong connection can be initiated through corporate gifts that symbolize how a brand or business strives harder to reach out and care for the recipient. The feeling of having the need to reciprocate the favor does wonders, indeed.

“Corporate giveaways do not only convey the message that you care about an individual but can also highlights your brand’s identity and business values,” said Raquel Romero, President of World Expos & Concepts, the organizers of the annual Corporate Giveaways Buyers’ Show. “The personal connection established between the brand and its employees, partners, or consumers can further be reinforced by a simple gift, which does not necessarily need to be costly, just useful.”

Building brand awareness

As a marketing tool, corporate giveaways can help boost awareness of a brand among consumers and prospective business partners. Through gift items that carry a company’s branding, a lasting impression is instantly created, and brand recall is strongly reinforced. The recipient also helps with brand exposure if they constantly use that item in their everyday lives.

 

Developing and strengthening customer loyalty

Research by international gift-sending company Sendoso in 2022 found that 83% of poll respondents feel closer to a brand or business that sends them corporate gifts. Referencing back to the Theory of Reciprocity, corporate giveaways can make a recipient feel more appreciated, cared for, or valued. Upon development of brand loyalty, the person also tends to recommend the brand to other people, which is a plus point for a company’s marketing program.

Improving employees’ morale

Internal corporate gifting to employees is an effective way to demonstrate how the company values the relationship it has with its workforce. These tokens of appreciation create a sense of belonging and deep connection between the company and its valued employees. It is also a strategic way to celebrate the team’s success and achievements, bolster retention rates, and increase overall satisfaction in the workplace. Aside from building trust and rapport, corporate gifts for employees help maintain their high level of productivity and loyalty.

 

Brands and businesses can make sourcing their year-round promotional items and gifting requirements easy by visiting the annual Corporate Giveaways Buyers’ Show, happening from June 14 to 16, 2023 at the SMX Convention Center Manila.

To learn more and pre-register for free admission, visit corporategiveawaysbuyershow.com or visit their FB page at www.facebook.com/CorporateGiveaways.