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How to Increase Customer Retention With Promotional Products

In today’s economic climate, it is more important than ever to find ways to keep your customers happy. Promotional products are a great way to not only promote your company but also reward loyal customers for their patronage.

According to a study by SmallBizGenius, rewards are one of the most popular features among consumers, with 75% indicating that they prefer companies that provide incentives.

The best part about promo products is that there are so many different types of promotional items available! There are the obvious ones like pens and t-shirts, but there are also a lot of unique options like customized phone cases and promotional bags.

No matter what type of promotional product you choose, make sure it is something that your customers will actually use. If they can’t find a practical use for it, they’re likely just to toss it in the trash. Try to pick an item that is both useful and stylish, so your customers will be proud to show it off.

There are a few things to keep in mind when it comes to using promotional products to increase customer retention. This article will give you some tips on how to increase customer retention with promotional products effectively.


What Is Customer Retention?

Customer retention is the process of keeping your current customers happy and engaged with your brand. It’s important to focus on retention because it costs five times more to acquire a new customer than keep an existing one.

A few key factors contribute to customer retention, and one of the most important is engagement. If your customers are engaged with your brand, they’re more likely to stick around and be loyal to your business.

There are a few ways to increase customer engagement, and one of them is by using promotional products. Promotional products are a great way to show your customers that you appreciate their business and that you’re invested in their success.

Why Use Promotional Products For Customer Retention?

A Tangible Reminder of Your Company or Product

When customers have a promotional product with your company’s name on it, they’ll be reminded of your business every time they use it. This is a great way to keep your company top-of-mind and stay front-of-mind.

Here are some tips on making sure your product is memorable:

  • Make sure the product is high quality and long-lasting.
  • Choose a unique item that will stand out.
  • Personalize the product with the customer’s name or logo.

Stimulates Word-Of-Mouth Marketing

When customers are happy with a promotional product, they’re likely to tell their friends and family about it. This word-of-mouth marketing is one of the most powerful forms of marketing, and it can be incredibly effective in increasing customer retention. 

Not only will the customer be happy, but their friends and family will also be more likely to do business with you in the future.


Builds Brand Awareness

Another reason to use promotional products for customer retention is that it can help build brand awareness. When customers see your company’s name on a promotional product, they’ll start to associate your brand with quality and value.

Encourages Customer Loyalty

When you give promotional products to your customers, they’ll feel appreciated and valued. This will encourage them to be loyal to your brand and continue doing business with you in the future.

You have to make sure your promotional product is high quality.

A lot of times, companies will choose to go with the cheapest option when it comes to promo products. However, this is often a mistake. If you give your customers a low-quality product, they’ll likely be disappointed and won’t want to do business with you again.

Helps Differentiate You From Your Competition 

Competition is fierce in every industry, and it’s important to find ways to differentiate your business from your competitors. One way to do this is by using promo items. If you can find a unique promotional product that represents your brand well, it will help you stand out from the crowd.

Increase Your Sales

With a well-chosen promotional product, you can also see an increase in your sales. When customers are happy with the product, they’re more likely to buy something from you.

Broaden Your Reach

Using promotional products is a great way to reach new customers. When you give a customer a product related to your business, they’ll be more likely to check out your website or even do business with you.


If you ask for a promotional product for customer retention rather than an advertising budget line item, the sky is the limit on what you can give away. You are not limited to mass-produced items or expensive gifts. You can tailor the products to your customers and their interests, which will make them more likely to use and enjoy them.

Instant Brand Recognition

Even you are new in business, giving away promotional products with your company’s name and logo on them can help you achieve instant brand recognition. Customers will start to associate your brand with quality and value, which will help you build a strong foundation for your business.

Pro-Tip: In order to receive the best ROI, make sure to order your promo items in bulk. This will help you save money and ensure that you have enough products to give away.

How Promotional Products Can Help Retain Customers

Hold Contests

Who doesn’t love a good contest? By running a contest that requires customers to use your product, you can increase customer engagement and loyalty. Make sure to promote the contest through social media, email, and other channels to reach as many people as possible.

Here are some good contest ideas to check out for inspiration:

  • Photo Contest – Ask customers to submit photos of themselves using your product. The winner can receive a free product or a gift card.
  • Video Contest – Have customers create videos about using your product and why they love it. The winner can receive a prize or a discount on their next purchase.
  • Essay Contest – Ask customers to write an essay about their experience using your product. The winner can receive a free product or a gift card.

As you can see, there are many different ways to hold a contest that will increase customer engagement and loyalty. By offering a prize, you’ll be sure to attract attention and get people excited about your product.


According to a recent 5W Public Relations study, 71 percent of consumers choose to buy from companies that match their ethics.

The above statistic shows testing out a new product can be risky, but if you offer samples to your customers, they’ll be more likely to take the plunge. This is especially true if you offer a discount on the full-size product if they purchase it within a certain time frame.

Loyalty Programs 

Loyalty programs are a great way to increase customer retention. By offering discounts, rewards, and other perks, you’ll encourage customers to continue doing business with you.

59% of consumers said they spend more after signing up for loyalty programs.

Make sure to design your loyalty program in a way that is easy to understand and convenient for your customers. If the program is too complicated to use, they’ll be less likely to participate.

Pro-Tip: Use social media to promote your loyalty program and encourage customers to sign up. This will help you reach a larger audience and increase sign-ups.

Customized Gifts 

Customized gifts are a great way to show your customers that you appreciate their business. You can create custom promotional gifts like baskets or packages that include your products and other items that your customers will enjoy.

This is a great way to show your customers that you care about them and want them to be happy. By sending a personalized gift, you’ll be sure to increase customer loyalty and retention.

Introduce Referral Programs

Referral programs are a great way to increase customer loyalty and encourage word-of-mouth marketing. When customers refer their friends and family members to your business, they’re more likely to do business with you in the future.

You can also run a contest that encourages referrals. The winner can receive a free product or a gift card with delivery and product options.

Pro-Tip: Make sure to remind customers about your referral program frequently. This will remind them to refer their friends and family members to your business.

Send Birthday Gifts

The gift is a very thoughtful way how to make your customers feel special on their birthday. You can send a small gift, such as a mug or a keychain, with a personal note. This will show your customers that you care about them and appreciate their business.

You can also offer a discount on their next purchase or a free product if they spend a certain amount of money on their birthday. This will encourage them to continue doing business with you and help you increase sales.


Freebies are a great way to show your customers that you appreciate their business. You can offer a free product or a discount on their next purchase.

Make sure to choose products related to your business needs that your customers will enjoy using. This will help you increase customer engagement and loyalty.

Thank-You Cards/Notes 

Sending a thank-you card or note is a great way to show your customers that you appreciate their business. You can handwrite a personal message or include a coupon for their next purchase. This simple gesture will go a long way in increasing customer loyalty.

You can also send thank-you cards or notes through email or social media. This is a great way to reach a larger audience and show your appreciation for their business.

Welcome Package When They First Sign Up

Welcome packages are a great way to introduce your company to new customers. You can send a package that includes information about your company, products, and services. You can also include a coupon for their next purchase.

The Types of Promotions You Can Offer With Promotional Products

There are many types of promotional products that you can offer your customers. Here are a few of the most popular products:

  • T-shirts
  • Hats
  • Pens
  • Mugs
  • Keychains
  • Bags
  • Frisbees
  • Magnets
  • Stickers
  • Water bottles
  • Office Items
  • Tools & Torches
  • Umbrellas
  • Clothing & Apparel
  • Toys & Games
  • Sports Products



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