It’s easy to make fun of corporate swag. I mean, how many branded tote bags find themselves stuffed into closet corners? How many company T-shirts get demoted to sleepwear?
But what if we told you that these seemingly trivial items are actually powerful tools—not only for marketing and customer engagement, but for company culture, customer loyalty, and business performance?
Recent research suggests that branded merchandise isn’t just a marketing afterthought—it plays a strategic role in strengthening internal culture, boosting brand recall, and even improving your bottom line. And companies that take swag seriously are seeing returns far beyond what traditional advertising or HR perks can offer.
Here’s how branded merchandise delivers real results, inside and outside the company.
The Power of Physical Merchandise
According to the Advertising Specialty Institute (ASI), 83% of consumers can recall the branding of a promotional product they received in the past two years. That’s a significant shelf life for a brand imprint in a world full of digital distractions. When consumers are bombarded by countless online ads, branded merchandise stands out by offering something tangible and enduring.
A study from the Promotional Products Association International (PPAI) further emphasizes this longevity–revealing that 52% of people keep promotional products for more than a year. PPAI also discovered that 53% of consumers are more likely to do business with a company after receiving a promotional product. This proves that a simple branded item isn’t just a giveaway; it’s a long-term touchpoint that encourages repeat business and fosters a stronger connection between customers and your brand.
From Tumblers to Team Spirit
Merch isn’t just for customers. A growing body of evidence shows that branded merchandise plays a powerful role in internal branding and employee engagement. In PPAI’s 2023 Consumer Study, 72% of employees said receiving branded items made them feel more connected to their company’s mission.
Why does this matter? When employees feel seen, valued, and part of something bigger, they tend to stick around and perform better. A well-designed, high-quality sweatshirt or insulated bottle with the company’s logo isn’t just a gift—it’s a signal that your people matter.
Companies like Salesforce and Google have long embraced branded gear as part of their onboarding and culture strategy. It gives employees a sense of identity, pride, and belonging—key ingredients in building strong teams and reducing turnover.
Higher Quality Means Bigger Impact
When talking merch, though, one thing must always be remembered: quality matters.
While a cheap plastic keychain might be tossed aside, a well-designed item–a shirt, a mug, a tumbler–can become part of someone’s daily routine (and part of how they perceive your brand). According to ASI, 80% of people say they feel more positively about a company after receiving high-quality promotional merchandise.
Even internally, employees associate the quality of branded items with the company’s values. A durable jacket or custom laptop bag can reinforce your organization’s standards of excellence and innovation.
Take Apple, for instance. Their employee and promotional merchandise aligns perfectly with their sleek, premium brand identity. From minimalist water bottles to stylish packs, everything reflects quality and intentional design—just like their products.
Conclusion: Beyond the Swag
Branded merchandise is more than just free stuff—it’s a clever investment in how people engage with your brand, both outside the office and in. From converting customers to building employee loyalty and culture, the return on investment is undeniable.
But here’s the catch: It’s all about relevance and quality. Don’t just hand out tchotchkes—give your brand a meaningful spot in someone’s everyday life. Whether it’s a premium water bottle your employees carry everywhere or a unique hoodie your customers proudly flaunt on social media, remember: It’s more than merch. It’s a lasting impression.
