Promotional Products Sales Outdistances Spending on Mobile, TV and Radio Advertising
Oct 21, 2014
The Power of Promotional Products: Leading the Growth in Sales and Advertising
Austin, Texas: The Advertising Specialty InstituteÃ‚® (ASI) today announced 2014 sales of promotional products are on track to once again beat spending on mobile, radio and TV advertising.
For 18 consecutive quarters, both suppliers and distributors of logoed or branded promotional products, aka ad specialties, have reported increasingly bigger sales. Revenues jumped an average of 5.1% for suppliers and 6.1% for distributors in the second quarter of 2014, when compared with the second quarter of 2013, according to ASI research reports.
Further distributors, such as Geek Tech Branding , are bullish about their prospects for 2014, with sales up over 17%, according to its president, Robert Piller. He says, “Over the past 5 years, sales have exploded by more than 15% year-over-year. This year has even been stronger –thanks, in part, to increased sales of promotional power chargers , imprinted Bluetooth speakers and imprinted headphones.”
According to the eMarketer report, total media ad spending in the U.S. this year will see its largest increase in a decade, with total ad investments jumping 5.3% to reach over $180 billion, achieving 5% growth for the first time since 2004, when ad spending increased 6.7%.
“Low-cost, high-impact promotional products continue to attract major marketing dollars from businesses who want to spread the word about their brand, company or event because they allow even small companies to achieve as high an ROI as major corporations,” said Timothy M. Andrews, president and chief executive officer of ASI, the largest media, marketing and education organization in the promo products industry. “Further, end-buyers consistently remember the advertisers on logoed items and feel good about the brands on promo products they use day in and day out. How many people say that about TV commercials or pop-up ads?”
At about half a penny, promotional products have a lower cost-per-impression (CPI) in the U.S. than prime-time TV and national magazine and newspaper ads, according to ASI’s 2014 Global Advertising Specialties Impressions Study, a cost analysis of promotional products versus other advertising media.
ASI’s groundbreaking global research also shows that promotional products deliver commanding advertiser recall among 85% of consumers surveyed. The superior advertiser recall far exceeds other advertising and marketing alternatives.