Branded merchandise is evolving from a promotional giveaway into a strategic marketing channel as brands seek more meaningful ways to connect with consumers, employees and stakeholders in an increasingly crowded digital landscape, according to new trend data from Promotional Products Association International (PPAI).
The findings show leading brands are shifting their focus from simply generating impressions to creating memorable, high-impact brand experiences through useful, long-lasting merchandise that consumers keep and use regularly. Branded merchandise is also used across employee engagement, recruitment, events and corporate communications as organizations look for more tangible ways to build trust and loyalty.
“Marketing leaders are recognizing that physical brand experiences create a different kind of connection,” said Drew Holmgreen, president and CEO of PPAI. “In a time of digital fatigue and declining trust in traditional advertising, branded merchandise delivers utility, visibility and emotional connection in a way many other channels cannot.”
According to PPAI trend data:
- 47 percent of marketers consider branded merchandise a core marketing channel
- 25 percent say it plays an important role in specific campaigns
- Yet only 21 percent report branded merchandise is treated as a core part of the marketing budget
The research also found strong consumer response to branded merchandise:
- 82 percent of recipients report feeling more positive about a brand after receiving promotional products
- 87 percent say they keep and use branded merchandise regularly
- 47 percent report looking up a company after receiving branded merchandise
“Brands are realizing that useful, thoughtfully designed merchandise earns a place in people’s daily lives,” Holmgreen said. “That’s a different level of engagement than a fleeting digital impression.”
This reflects a broader movement toward physical brand experiences, where utility, longevity and emotional connection are becoming more valuable than short-term reach alone.
About PPAI
Promotional Products Association International (PPAI) is the world’s largest and longest-running not-for-profit promotional products association with a 123-year history of serving a community that has grown to some 15,000 corporate members. PPAI advocates for the branded merchandise industry, which is made up of over 500,000 professionals in the U.S. alone. For more information, visit PPAI.org.
View source version on businesswire.com: https://www.businesswire.com/news/home/20260528350096/en/
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