The answer is that promotional products cost less per impression than most forms of advertising, but there’s a lot more to it than impressions.

How do Promotional Products Compare to Other Media?

According to Media Post, “The average cost-per-impression of an advertising specialty item is $0.004, making it less expensive per impression than nearly any other media. According to Nielsen Media data, the CPI for a national magazine ad is $0.033; a newspaper ad is $0.0129; a prime time TV ad is $0.019; a cable TV ad is $0.007; a syndicated TV ad is $0.006; and a spot radio ad is $0.005.”

It’s more than CPM (Cost per Thousand Impression)

To understand the potential impact of promotional products you first must consider that CPM is strictly impressions, about being seen. An ad on TV or radio may be seen or heard but not watched or listened to. A newsprint or internet display ad may splash across a page, but not make a meaningful connection. Unless the consumer has a need, want, or desire for the product impressions alone aren’t…impressive. It’s similar to throwing darts—you might hit something, you might not. Promotional products are designed to target segmented populations of consumers B2B or B2C.

Promotional products offer:

High return to cost. Specialty products have the potential to surpass ROI (return on investment) and show POI (profit on investment)

Affordable and available to small businesses. Small biz may not be able to compete with larger competitors as far as traditional advertising—TV, radio, and print, but the accessibility and affordability of promotionals level the playing field.

Targeting specific audiences. Unlike traditional advertising or even web display ads promotional marketing isn’t dependent on throwing tons of advertising up on the wall hoping to find an interested party. Promotional marketing targets an audience from the beginning.

Advertising isn’t getting Cheaper

In this Tech Crunch article about display ads and traditional advertising they share, “CPMs are actually on the rise. The average CPM — cost per thousand impressions — for 2012 was $3.17, but by 2017 that will rise to $6.64.” At the same time, prices are expected to remain stable with promotional products. Although increases will vary by product, most specialty products will remain at or below inflationary increases. Also, the competition among promotional product providers will continue to drive prices down.

Promotional Products are more than Cost Effective

Promotional products are a cost effective, low investment advertising option. Specialty items are easily targeted to specific segments by industry and consumer. Being a low-cost investment, they’re a place where small businesses can compete with larger competitors. The official answer to how cost effective are promotional products is .004 CPM, but the real answer lies in the value of that impression. If you’d like to learn more reach out to us—I’m sure you’ll be impressed.