• The “Promotional Gift” marketing strategy can be a powerful tool with multiple benefits. 
• If used sensibly, this marketing campaign can be a game changer. 

Businesses often use promotional gifts to boost sales, but they should focus on gifts that promote their brand rather than just an add-on. Using promotional gifts has been a relatively successful marketing strategy for decades, and multiple brands have made millions of dollars using this. Now, how could you implement this into your business? Will you make the desired profit? Or will it be a disastrous decision? Let’s explore. 

Using the promotion gift strategy that promotes goes beyond the scope of conventional marketing. You cannot dream of boosting sales by providing a logo-slapped trinket or a coffee mug. The strategy is more about giving away such items that promote a positive sense of brand association, and the gifts must become walking billboards of the company. 

The main goal behind implementing the promotional gift strategy revolves around increasing brand awareness and brand recall value. It could also generate positive feelings towards the brand or company. Plus, it could encourage repeat purchases and business that could attract new customers. 

How Coca-Cola & McDonald’s Intelligently Used Promotional Gift Marketing Strategy?

Experts firmly believe that Coca-Cola and McDonald’s have mastered the art of “Promotional gifts that promote” marketing strategy. Through their decades-long partnership, the beverage and fast food giants persuaded numerous visitors to buy McDonald’s collectible Coca-Cola cups. 

To promote their partnership and grow together, Coca-Cola and McDonald’s brainstormed ideas to boost desire and collectibility, extending the brand reach to newer customers and, with their synergy, adding value to the dining experience. This partnership and how well they executed the marketing strategy is a prime example for businesses worldwide. 

Design & its Collectibility Factor

The McDonald’s Coca-Cola cups are often made with eye-catching designs. Some cup designs were themed for holidays like Christmas, Easter, Thanksgiving, etc. Sometimes, these cups even highlighted local McDonald’s locations, teasing the customer for owning these limited edition cups. 

Interestingly, these were more than just well-designed cups; they were built to add play value and make an emotional connection. Sometimes, the cups would come with interactive features like games or toys built into them. This added an extra dimension of fun for children and young adults as they would want to keep and use these cups even after the drink inside dried up. 

For instance, in the Philippines, McDonald’s exclusively provided limited edition color-changing cups until November 30, 2023. They were initially plain white cups with the Coca-Cola logo, and the color changed when the drinks were poured. Such offerings create a sense of nostalgia and fun memories; hence, owning a unique McDonald’s Coca-Cola cup becomes an exceptional experience. 

Extension of Brand Reach & Added Value

Moreover, when the customer takes the cup home, it’s free advertising for Coca-Cola, as every time they use or someone sees the cup in their home, it’s a free promotion. Also, the excitement about owning a unique cup design facilitates word-of-mouth promotion. People would share pictures online and discuss the experience with friends, increasing brand awareness.

It is strongly believed that a cold cup of Coca-Cola goes perfectly with a McDonald’s meal, so much so that it became a norm, making the cup a natural fit. Plus, the promotion enhances the overall McDonald’s experience of every customer who uses it. Moreover, the free designer and unique cup with a meal make the customer feel that they are getting extra value, fostering a positive brand perception. 

How does the “Promotional Gifts” Marketing Strategy Work? 

Looking at the famous case study of Coca-Cola and McDonald’s, incorporating this strategy into your business might sound like a great idea. But before going all out, it’s better to understand the nuances and intricacies of the marketing strategy beforehand. It starts with choosing the right gift, focusing on branding and messaging, looking at strategic distribution, and developing ways to measure the success. 

Why Choosing the Right Gift is Crucial? 

The most important aspect of this marketing strategy is the choice of the right gift, a perfect promotional item. It should resonate with the audience, portray a positive brand image, and be cheap or at least below the product’s final cost. You would not want your gift to cost more than the product itself.  

The gift must align perfectly with the brand, product, service and target audience. Giving away a soft toy with a set of dumbbells might not be a good idea. Remember that people are likely to keep and use items that solve a problem or enhance their lives. You could provide reusable water bottles, portable speakers, etc., something the receiver could use in real life. 

Brands must refrain from looking for cheaper alternatives while offering customers value-added gifts. Invest in some decent quality products that would last longer. Providing a comb with a shampoo bottle is better than giving a shower cap. Brands must understand that the quality of the products directly reflects the company’s sentiments, so choose wisely. 

Focus on Branding & Messaging

While incorporating this marketing strategy, brands should focus on subtle branding and facilitating a call-to-action scenario. Suppose a business uses a marketing strategy to boost brand awareness and recognition; they must focus on the gift’s usefulness. For instance, a sweatband with a set of dumbbells would be a perfect pair.

Brands must also include a subtle call-to-action message that could encourage interaction. For example, with a pair of dumbbells, they can provide a QR code leading them to a workout routine or a Q&A with fitness experts. This fosters interaction, increases brand visibility and could drive revenue. 

Strategic Distribution & Success Measurement Promotional Gifts

One size only fits some; not every gift would be helpful for everyone. Brands should focus on distributing gifts at events or locations frequented by ideal customers. For example, giving away a workout routine or diet chart would only be valuable in a board meeting. 

These giveaways could also be given as a part of a contest, loyalty program, or purchase incentives. It could help create a strong connection with the gift. For example, if someone wins a dumbbell set in a competition, they would value it more than just being handed over to them as a free gift. 

Brands should monitor their social media pages and online reviews to know what people are talking about the gifts. Suppose the gift comes with a subtle call-to-action scenario. In that case, it directly helps the brands assess the effectiveness of giving away these gifts and allows the brand to measure the results of their promotional gifts campaign. 

Pros & Cons of “Promotional Gift” Marketing Strategy

Like every marketing campaign or strategy, this “Promotional Gift” marketing strategy has pros and cons, as discussed below. 

Pros Promotional Gifts

A valuable and well-chosen gift could create a positive impact and association with the brand. They are increasing the customer base to remember you when they would need your product or service. Compared to traditional advertising, this promotional gift marketing strategy could reach a larger audience at a relatively low cost per impression. 

Moreover, a well-designed gift could spark conversation; imagine your discussion when you own the color-changing Coca-Cola cup. Besides increasing customer engagement, it creates a positive brand image that you care about your customers. Trackable elements like QR codes or discount codes can be used to measure the campaign’s effectiveness. 

Cons

Choosing the right gift could be a daunting task; they would have to source it in bulk. Customizing them with the brand can be time-consuming and require upfront planning and investment. Even if the brand is targeting the events frequented by the target audience, there’s a chance that gifts could end up outside the target audience base. 

If your target audience sees the gift as cheap or low-quality, it could backfire and create a negative brand image. Remember that people are constantly bombarded with promotional items, and your gift might be seen as clutter and could end up in the dustbin. Storage and distribution of the chosen gift are also challenges in themselves. 

Using the “Promotional Gifts that Promote” marketing campaign could be a powerful tool. Before diving into this strategy, businesses must conduct in-depth audience research; they should have clear goals, the campaign must be tracked and altered as per requirements, and it should focus on sustainability. 
To surpass the competition, brands must be active and constantly employ marketing strategies. The “Promotional Gift” marketing campaign can be a powerful tool if done correctly. It can boost brand awareness, recognition, and, eventually, revenue. However, it requires detailed knowledge and market awareness for a resounding success.