PPB July 2018

Premiums That Bring The Bling Incentive and recognition programs can be a vital addition to a distributor’s arsenal, better positioning them as a full- service partner who can provide solutions outside of promotional programs. In addition, they are often a dependable source of income due to the likelihood of multi-year renewals. Although the correlation between rewards and performance is widely accepted, conventional wisdom for years has identified cash as themost compelling incentive. However, there is increasing evidence that tangible non-cash prizes aremore effective thanmoney. In its Award ProgramValue and Evidence white paper published in April, the Incentive Research Foundation (IRF) examined the psychological reasons for this surprising finding. Since money is closely aligned with pay, cash recipients normally use their gift for utilitarian purchases such as groceries, which fails to create a lasting emotional response. Tangible gifts—particularly if they are luxury items—are subliminally perceived to be more thoughtful and more meaningful. Chosen correctly, they are highly-coveted, decadent items that would normally be considered a splurge for the recipient. “For premiums or corporate gifting, the idea is to give someone something they would really appreciate and would not necessarily go out and purchase on their own—something aspirational,” says Gary Slavonic, president of supplier Top Brands, Inc. (PPAI 113144). “The need for a corporate logo decreases because the brand name of the product is so appealing.” The IRF paper also concluded that tangible gifts provide more status, ongoing recognition and positive reinforcement for the recipient—a phenomenon known as “trophy value.” “There is a trend nowadays toward personalization,” says Adrienne Forrest, vice president of corporate sales for supplier Bulova (PPAI 133171). “Recipients are looking for unique experiences and ways in which to make their gifts special and memorable. For example, we offer sizing of our watches onsite for added excitement.” Premiums are also on the rise as high-end marketing tools. Eileen Lucky, promotional department supervisor for supplier Picnic Time Family of Brands (PPAI 143980), says, “We’re seeing an upswing in consumer willingness to pay more for a higher quality product. I’ve been told by various distributors that their clients are paying close attention to retail brands because they can be assured that the items will provide a more complete experience than a traditional promotional giveaway.” The premium, portable House of Marley ™ Get Together ™ Bluetooth ® Speaker connects wirelessly to phone, audio devices and computers. It is ported with two high-output woofers and two dedicated tweeters to provide up to eight hours of play with high-quality sound. This high-end form of fuse and function has a Bluetooth A2DP stereo audio system that connects from over 49 feet away and a rear USB port to conveniently charge devices. BIC Graphic USA / PPAI 114187 / www.bicgraphic.com Demanding workouts demand Bose ® SoundSport ® Free wireless headphones . They’re completely wireless, allowing freedom of movement, and they’re sweat- and weather-resistant. Bose StayHear ® + Sport tips are designed to stay secure and comfortable through an entire workout. Incentive Concepts / PPAI 212912 www.incentiveconcepts.com | JULY 2018 | 45 GROW