Industry Outlook for 2019Merchandise, Gift Card, and Event Gifting

November 2018

Survey Overview

53%

10%

37%

Corporate (e.g., Buyer, Planner, Sales, HR)

Supplier (e.g. Hotel, Airline, DMC, Merch)

Third Party (e.g., Incentive Company, Travel Agency, Consultant)

@ Industry professionals invited to participate in survey by:• IRF List

• IESP/IMA List

• Maui Jim

• Independent Research Panel

498 participated

The Incentive Research

Foundation (IRF) sponsors

regular trends surveys covering

topics of current interest to

those in the incentive industry.

Incentive providers, suppliers to

the industry, and corporate

incentive merchandise and

travel buyers.

This report summarizes

findings from data collected

August 2018 through October

2018.

2

Methodology Considerations

theIRF.org 3

No weighting is done on the data to

control for variances in response counts

across the three stakeholder groups –

Corporate, Supplier, and Third-Party.

Totals reported are simple totals across all

survey respondents.

The current IRF Outlook survey was

distributed to several industry databases,

including those of the IRF, the IMA, and

Maui Jim. Additionally an independent

research panel was utilized for additional

respondents. Results predominantly

represent the outlook of industry

professionals for the U.S. market

Audience Weighting

Non-cash Reward & Recognition: Merchandise/Gift Cards

theIRF.org 4

84% 86%

75% 73%77%

81%

93%

74%

61%

68%74% 75%

85% 85% 83%

57%

87% 89%84%

47%64%

31%

40% 39%43%

64%

42% 41%44%

49%

45%

18% 38%

24%20%

34% 32%

43%45%

75%

63%

52%

61% 64%69%

64%

49%44%

48%

56% 59%

51% 52%

24%

34%41%

55%55%62%

40%

9%

26%

29%35%

68% 54%

70%

Sep-08 Oct-08 Mar-09 Jul-09 Nov-09 May-10 Oct-10 May-11 Oct-11 Mar-12 Sep-12 Apr-13 Nov-13 May-14 Aug-14 Aug-15 Oct-16 Jul-17 Oct-18

My company's financial forecast influences the design and implementation of incentive programs

Our competitors' programs directly impact the design of our incentive program(s).

Perception of the public significantly influences the design of our incentive program(s). *

Perception of internal (non-incentive) stakeholders significantly influences the design of our incentive program(s).

Considerations for Non-Cash Program Design

Please indicate the level of your agreement or disagreement with the following statements as they relate to your most recent incentive program.

Base: Corporate respondents

Internal factors, such as financial forecast and opinions held by indirect stakeholders, are much stronger considerations for program managers

than external factors, such as public perception and competitive activity.

Net Optimism – Impact of Economy on Programs

43% Fall 2018 Optimism Index

21% Percentage Points from Summer 2017

6

Incentive merchandise and gift card

programs are expected to continue

enjoying positive benefits from the

economy, as the degree of optimism

increased considerably over the past year.

In the coming year, what impact will the factors below have on your/your clients’ non-cash reward and recognition

program planning and execution: The economy

-8%

19%22%

17%

1%

36%

28%

42% 43%

36%40%

35%

14%

22%

43%

Sep

-09

Mar-

10

Sep

-10

Mar-

11

Sep

-11

Mar-

12

Sep

-12

Mar-

13

Sep

-13

Mar-

14

Sep

-14

Mar-

15

Sep

-15

Mar-

16

Sep

-16

Mar-

17

Sep

-17

Mar-

18

Sep

-18

Net Optimism

Net Optimism by Audience

7

Corporate optimism regarding the impact

of the economy on incentives programs

overtakes that of suppliers and third-party

providers in 2018, but there is a consistent

positive outlook among all industry

audiences.

Suppliers and third-party providers

anticipate that the regulatory environment

will have a negative impact on the

incentives industry, while corporate

respondents are more optimistic.

In the coming year, what impact will the factors below have on your/your clients’ non-cash reward and recognition program planning and execution?

43%

13%

47%

25%

38%

-12%

37%

-3%

ECONOMY REGULATORY ENVIRONMENT

Total Corporate Supplier Third Party

Net Optimism Compared to Prior Year by Audience

The incentive merchandise/gift card

industry is notably concerned about

the regulatory environment. All

segments expect negative impacts

to their incentive merchandise

programs. All segments have a

more optimistic outlook regarding

the economy and the regulatory

environment compared to last year.

8

In the coming year, what impact will the factors below have on your/your clients’ incentive merchandise and gift card programs?

13%

25%

-12%-3%

-21%-30%

-18%-24%

-18%-7%

-25%-19%

TOTAL CORPORATE SUPPLIER THIRD PARTY

Regulatory Environment

43% 47%38% 37%

22%

-21%

20%

34%

14%

0%

35%

13%

Fall 2018 Summer 2017 Fall 2016

Economy

8%

2% 3%

15%

4%

13%

20%23%

25%

12% 13%11%

17%

24%

19%

12%

16% 17%

6%

17%

10%10%

0% 1%

FALL 2018 SUMMER 2017 FALL 2016

$1-$50 $51-$100 $101-$200 $201-250 $251-$500 $501-$1,000 $1,001-$5,000 Over $5,000

Average Per-Person Spend – Non-cash Reward & Recognition Programs

Average = $824 $563

9

The average per-person spend for

Fall 2018 is $824, a considerable

increase from prior years. This is

largely explained by the increase in

respondents spending over $5,000.

A large proportion of respondents

are spending $250 or less – nearly

60% in 2018.

$1-$250 = 57% 53%

What is the average per-person rewards spend for your/your clients’ non-cash reward and recognition programs?

$522

42%

Merchandise Prevalence by Audience

10

Logo’d brand-name

merchandise and electronics

are the most common

rewards with corporate

respondents, while

sunglasses and electronics

are the most popular among

third-party providers.

What types of merchandise and gift cards are used within your/your clients’ reward and recognition program(s)? Check all that apply.

11%

20%

48%

48%

70%

51%

50%

69%

52%

70%

89%

77%

88%

80%

4%

13%

15%

32%

21%

43%

45%

36%

52%

48%

46%

59%

63%

75%

7%

16%

28%

39%

41%

46%

47%

49%

52%

57%

63%

66%

73%

77%

Other (please describe)

Flowers

Housewares

Local handmade goods or crafts

Luggage

Office accessories

Plaques/Trophies

Watches/Jewelry

Food gifts (e.g. fruit baskets, Omaha Steaks -…

Sporting/Golf Items

Sunglasses

Clothing/Apparel

Electronics

Logo'd brand-name merchandise

Total

Corporate

Third Party

Average Value of Merchandise Reward

1% 1%

6%

18%

24%

16%

11%9%

4%1% 2%

4%2%

$10 $15 $25 $50 $100 $150 $200 $250 $300 $350 $400 $500 More than

$500

(please

indicate

average

value)

Average = $160

$1-$100 = 51%

The most common dollar

value of a merchandise

reward is $100 – half of

respondents indicate the

typical reward is $100 or

less. Due to some

respondents who spend

more, the average is

somewhat higher - $160.

What is the dollar value of the typical merchandise reward used in your/your clients’ programs?

Usage by Gift Card Type

73%76% 30% 24%

OPEN LOOP BRAND-SPECIFIC RESTRICTED USE VOUCHER

Consistent with other industry studies, this year’s Outlook survey finds high utilization of both open and brand-specific cards, while restricted-use

cards and gift card vouchers continue to gain wider acceptance.

See notes for detailed descriptions used in survey.

Brand-Specific Merchant Types

5%

16%

20%

26%

29%

30%

32%

33%

34%

36%

40%

40%

41%

41%

43%

47%

57%

60%

74%

Other

Drugstore

Grocery

Accessories & Jewelry

Bookstores

Beauty

Travel

Clothing/ Apparel

Gas

Sunglasses

Sporting Goods

Home Improvement

Department Stores

Music/Movies

Electronics

General "Big Box" Stores

Exclusively-Online Retailers

Dining

Coffee

Which of the options below best describes the types of merchants selected when your company buys BRANDED gift cards for your

non-cash rewards programs?

Gift cards for use at coffee houses

dominate the branded card

landscape, followed by dining and

online retailer gift cards.

Average Gift Card Denomination

What is the average gift card denomination/value used in your/your client programs?

2% 2%

22%

26%28%

5% 6%3%

1% 0%

3%1%

$10 $15 $25 $50 $100 $150 $200 $250 $350 $400 $500 More

than

$500

Average = $100

$1-$100 = 79%

The most common denominations

for gift card rewards are $25, $50,

and $100 – three quarters of

respondents are using one of those

values most commonly. Due to the

impact of some respondents who

utilize high-value denominations,

the average gift card value is $100.

Local Retail Sourcing for Gift Cards

Does anyone in your organization ever purchase directly from local retailers (such as Target, Walmart, Walgreens, CVS, or a supermarket) gift cards for the purpose of giving to employees as non-cash rewards?

69%

Purchasing at Retail

Corporate respondents were asked

if people in their organization are

visiting local retailers to purchase

gift cards for use as employee

reward and recognition. More than

two-thirds indicate this is occurring

in their organization.

Non-cash Program Design

82%

16

A majority of corporate respondents use goals

or objectives to determine non-cash reward

earnings.

40%

Forty percent of corporate respondents are

using points systems as the mechanism for

issuing rewards.

Do you typically use achievement of specific goals/objectives to determine reward payouts?

Do you typically use rewards points as the means of issuing, tracking, and redeeming for rewards?

Goal-based Rewards Reward Points

Outlook for Rewards Budgets – Net Increase

17

There is agreement and strong

optimism regarding the fate of

non-cash reward and

recognition budgets in 2019.

Net increases are expected by

all segments across all

spending categories, with

corporate respondents some of

the most positive.

There is also a shared

expectation that the number of

participants earning rewards

will increase.

In the coming year, do your/your clients generally anticipate the following program elements will increase, decrease, or remain unchanged?

38%

29%27%

40%

30%

17%

38%

42%

33%

30%

41%

31%

24%

40%

27%

17%

21%

30%

40%

17%

37%

34%

22% 22%

38%

29%

9%

35%

Overall budgets

for reward and

recognition

programs

Merchandise

spend

Gift Card Spend Budget for

program

technology (e.g.

platform, mobile

apps, etc.)

Communications

budget

Administration

budget

Number of

participants

earning a reward

Total Corporate Supplier Third Party

Outlook for Rewards Partners – Net Increase

18

There is an expectation across all

audiences, especially so for suppliers, that

the involvement of procurement or

purchasing will increase in 2019.

Corporate stakeholders have a more

moderate expectation regarding increased

involvement and fees from third party

providers.

In the coming year, do your/your clients generally anticipate the following program elements will increase, decrease, or remain unchanged?

28%

11%9%

25%

60%

25%

Third-party planner/

incentive company

involvement

Third-party planner/

incentive company fees

Involvement of

procurement/purchasing

Total Corporate Supplier Third Party

Net Increase in Use of Rewards by Audience

19

Expectations for increased use of non-

cash rewards are strong across all

reward types. Corporate audiences

have the highest expectations for

increased use of gift cards, while

suppliers and third-party providers

also expect experiential reward use to

increase considerably.

In the coming year, do you generally anticipate your/your clients’ use of the following reward types will increase, decrease, or remain unchanged?

38%

28% 28%

43%

33%

24%

30%

20%

38%

30%

20%

34%

Gift Cards Merchandise Experiential rewards

(spa, event tickets, etc.)

Total Corporate Supplier Third-Party

Programs Include Non-U.S. Participants

51%

35%

79%

71%

Total

Corporate

Supplier

Third Party

MERCH

20

12%

18%

21%

24%

30%

32%

39%

46%

56%

69%

Africa

Middle East

Central America

Caribbean

South America

Australia or New Zealand

Asia

Mexico

Europe

CanadaOne half of the incentives

industry includes

international participants in

the non-cash rewards

programs they operate. On

the corporate side, a little

more than one third have an

international audience.

Canada, Europe, and Mexico

are the most common

regions, with Asia,

Australia/New Zealand, and

South America also

prevalent.

All regions are at least

somewhat represented in

the industry.

Do your/your clients’ reward and recognition programs include participants outside of the U.S.?

Please indicate which geographic regions your/your clients’ non-U.S. participants are in. Check all that apply.

IF YES,

WHERE?

Use of Partners (Direct Working Relationship)

21

Corporate buyers are often working directly

with brands for either merchandise or gift

cards. Incentive houses and gift card

resellers each represent about a quarter of

corporate buyers.

For your non-cash reward and recognition programs, do you work directly with…

Base: Corporate buyers

23%

42%

37%

24%

Incentive house,

marketing agency,

consulting firm

Merchandise brand (e.g.

TUMI, Maui Jim, Bose, etc.)

Gift card brand

(e.g.Starbucks, Bed Bath &

Beyond, Home Depot)

Gift card reseller (sells

multiple brands of cards)

General Program Outlook

theIRF.org 22

Program Enhancements

23

About 4 in 10 corporate buyers are

using a recognition platform as

part of their non-cash program,

and a little more than a quarter

are using a mobile app to support

that program. Suppliers and third

parties, working across a broad

client base, are more likely to see

programs that are using these

enhancements.

Are you/your clients using any of the following as part of your non-cash reward and recognition programs(s)? Check all that apply.

8%

11%

14%

37%

32%

35%

42%

59%

51%

60%

15%

23%

15%

35%

35%

19%

31%

50%

31%

54%

6%

8%

13%

14%

28%

33%

34%

28%

43%

41%

8%

10%

13%

24%

30%

32%

37%

41%

45%

49%

ARTIFICIAL INTELLIGENCE

DON'T KNOW/DOESN'T APPLY

INTEGRATION WITH HCM PLATFORM (SUCCESSFACTORS, WORKDAY, ETC.)

GAMING OR GAMIFICATION TECHNIQUES

INTEGRATION WITH SALES MANAGEMENT TOOLS (SALESFORCE.COM, ETC.)

CORPORATE SOCIAL RESPONSIBILITY COMPONENTS

SOCIAL MEDIA TO COMMUNICATE PROGRAM BEFORE/DURING/AFTER

MOBILE APP

SOCIAL RECOGNITION

RECOGNITION PLATFORM

Total

Corporate

Supplier

Third Party

Typical Length of Program

theIRF.org 24

The most common

length of an incentive

travel or merchandise

program is 12 months.

Other prevalent lengths

are 3- and 6-months, as

well as perpetual

programs.

What is the typical program length for your/your clients’ non-cash reward and recognition program(s)?

3% 3%6%

17%14%

2%

33%

1%

13%

8%

Less than 1

month

1 month 2 months 3 months 6 months 9 months 12 months 18 months Ongoing Don't

know/doesn't

apply

Reporting & Analysis - Types

27%24% 25%

5%

53%59%

67%

54%

4%

26%

We look at

participation reports

to understand who is

using the program

We look at

earning/redemption

reports to see how

participants are

earning rewards and

what they are

redeeming for

We conduct analysis

to look at how the

program(s) are

changing behaviors

Something else We don't use

reporting and/or

analysis for our

program

Corporate Third Party

Thinking about reporting and analysis for [Field-whose] programs, which of the following are used: (Select all that apply.)

One half of corporate

respondents indicate they do not

do any reporting or analysis for

their non-cash program. Third-

party providers are commonly

reviewing earning and

redemption reports, participation

reports, and behavior-change

analysis.

Reporting & Analysis - Usage

63%

45%

22%

8%

1%

81%

69%

27%

1% 1%

We use program

results/analysis to

make adjustments to

program design

We use program

results/analysis to

determine

investments for the

next program period

It's generally an "fyi" -

interesting to discuss

but may not drive

changes in design or

investments

We don't use analysis

of program results

Other

Corporate Third Party

How is the analysis of program results typically used? (Select all that apply.)

When analysis is

done, it is most-

commonly used to

make adjustments to

program design and

to determine future

program

investments.

Program Metrics - Activity

8%

54%

41%

42%

66%

74%

71%

57%

87%

3%

22%

32%

42%

45%

47%

47%

57%

57%

Other

Number of hits on program website

Number of e-cards sent

High level of sponsorship by managers

General "buzz" among program participants

Number of rewards earned

Executive team is pleased

Number of recognitions given

High level of participation by target audience

Corporate

Third Party

Below are some activity metrics which might be measured by a program owner. Which of the below is information that you have used to assess your program's success?

Select all that apply.

Third-party providers most

commonly use participation

to demonstrate program

success, and are also likely

to point to executive

satisfaction, rewards earned,

and participant energy as

success factors.

Corporate managers are

most likely to be assessing

participation and number of

recognitions given.

Program Metrics - Outcomes

3%

20%

41%

33%

63%

60%

67%

74%

57%

76%

69%

2%

14%

20%

21%

33%

49%

49%

50%

50%

58%

59%

Other

Number of safety incidents

Customer acquisition rates

Market share

Survey specifically measuring satisfaction with program

Revenue improvement

Overall product sales growth

Overall sales lift/growth

Employee retention

Employee engagement/satisfaction results (from survey)

Customer satisfaction

Corporate

Third Party

Below are some outcomes which might be measured by a program owner. Which of the below is information that you have used to assess your program's success?

Select all that apply.

For corporate

audiences, customer

satisfaction and

employee

engagement survey

results are the most

prevalent outcomes

assessed, while third-

party providers also

look to overall sales

lift/growth as an

indicator.

Activity Metrics – Leading Indicators

1%

46%

26%

54%

41%

93%

3%

23%

26%

32%

49%

75%

Other

Training test/quiz scores

Presentee/absentee rates

Training participation

Increase in CSR productivity (calls resolved, calls per

hour, average call time, etc.)

Increase in sales productivity (number of sales calls,

new leads, etc.)

Corporate

Third Party

Sales productivity is used by a

majority of respondents, both

corporate and third party, to

establish the impact of a program.

Below are some leading indicators which might be measured by a program owner. Which of the below is information that you have used to assess your program's success?

Select all that apply.

Cancelled a Program Past 12 Mos.

30

Most corporate respondents have not

cancelled a program in the past year. Nearly

one-third of supplier and a quarter of third-

party providers have had a client cancel a

program in that time period.

In the past year, have you/your clients discontinued any merchandise/gift card program(s)?

18%13%

31%25%

69% 81% 46%53%

13%6%

23% 22%

Total Corporate Supplier Third Party

Yes No Don't know/doesn't apply

Top Reason Program Discontinued

31

Programs are canceled for a variety

of reasons. On the corporate side,

respondents point to a lack of

results, along with participant

feedback and lost executive support.

Third-party providers feel that lack of

executive support and budget are

the key factors in programs

discontinuing.

*Supplier sample size too small to

report on.

What is the top reason for discontinuing the program?

7%

0%

3%

7%

13%

33%

37%

4%

15%

22%

11%

22%

11%

15%

2%

5%

6%

11%

11%

15%

25%

26%

DON'T KNOW/ DOESN'T APPLY

COMPLIANCE/HR/LEGAL CONCERNS

PROGRAM-SPECIFIC PARTICIPANT FEEDBACK (SURVEYS,

FOCUS GROUPS, ETC.)

LACK OF RESULTS

PROGRAM ACHIEVED OBJECTIVES AND IS NO LONGER

NEEDED

OTHER

NO BUDGET

LOST EXECUTIVE SUPPORT

Total Corporate Third Party

Overall Outlook

32

GENERAL

Industry stakeholders have very

strong expectations for the

financial performance of their own

organizations in the coming year.

The outlook for the U.S. economy

is also strong.

The regulatory environment makes

it challenging to be knowledgeable

about requirements that impact

their incentives programs.

Looking ahead to the next year, to what extent do you agree with the statements below?

50%

39%

59%

71%

31%

71%

58%

63%

67%

88%

47%

47%

53%

71%

83%

50%

45%

56%

70%

84%

GOVERNMENT REGULATIONS ARE MAKING IT MORE

DIFFICULT TO DESIGN REWARD AND RECOGNITION

PROGRAMS.

THE REGULATORY ENVIRONMENT MAKES IT DIFFICULT

TO QUICKLY LAUNCH OR MAKE CHANGES TO

PROGRAMS.

IT IS DIFFICULT TO STAY INFORMED ABOUT ALL OF THE

FEDERAL, STATE, AND INDUSTRY REGULATIONS THAT

IMPACT OUR PROGRAMS.

U.S. ECONOMIC OUTLOOK IS STRONG.

MY COMPANY WILL HAVE STRONG FINANCIAL

PERFORMANCE NEXT YEAR.

Total Corporate Supplier Third Party

Event Gifting

theIRF.org 33

14%

30%

41%

35%

53%

59%

86%

40%

40%

67%

53%

80%

87%

80%

20%

25%

34%

52%

47%

52%

60%

19%

28%

38%

46%

51%

56%

70%

Advisory boards

Product launches

Senior leadership/board meetings

Internal meetings

Conferences and tradeshows

Customer events

Incentive trips

Total

Corporate

Supplier

Third Party

Event Gifting – Meeting Types

For what types of meetings and events are you/your clients using attendee gifts? Select all that apply.

While suppliers see

event gifting across a

broad range of

meeting types,

corporate audiences

are most likely to be

using gifts for

incentive trips,

internal meetings, and

customer events.

Event Gifting – Gift Types

63%

52%

80%

80%

33%

47%

67%

67%

43%

60%

47%

66%

49%

56%

59%

71%

Locally-relevant goods and crafts (e.g., scarves or jewelry

made by local crafters)

Food and beverage crafted locally (e.g., wines, honey,

spices, coffee)

Items custom-made or fitted on-site (e.g., Maui Jim

sunglasses, custom-fitted jeans, shoes, gloves, hats,

photos etc.)

Nationally-recognized branded merchandise (e.g.

Movado, TUMI)

Total

Corporate

Supplier

Third Party

Which of the below do you/your clients use as part of your/your clients’ meeting/event gifting? Select all that apply.

Branded

merchandise with

national recognition

is the most common

gift used by

corporate audiences,

followed by locally-

crafted foods. Third-

party providers and

suppliers are most

likely to be including

custom-fitted gifts in

their client events.

Event Gifting – Gift Types

45%

35%

26%24%

1%

41%37%

27% 26%

1%

58%

42%

8% 8%

0%

53%

30%

25%

20%

0%

No Yes, through

sponsorship fees

Yes, through

merchandise donations

Yes, through discounts Yes - other

Total

Corporate

Supplier

Third Party

Do sponsors cover some of the cost of your/your clients’ event gifts?

Sixty percent of

corporate buyers say the

cost of gifts is offset by

sponsors, most usually

through sponsorship

fees, although about a

quarter receive

merchandise donations

or discounts.

Event Gifting – Gift Sources

3%

14%

22%

23%

25%

37%

40%

51%

51%

54%

Other

Incentive house partner

Destination management company

Meetings/events services partner

Event sponsor

Merchant or crafter local to the event

Incentive merchandise rep

Online retailer (e.g. Amazon, Overstock)

Corporate sales (such as Bose, TUMI, Maui Jim)

National retailer (e.g., go to local Target)

Corporate

From which of the sources below do you purchase event gifts?

There is a high

incidence of

corporate buyers

using retailers to

source their event

gifts, although

corporate sales

teams are used by

about half of

respondents.

*Lists used to source

survey responses

likely skews these

findings.

Event Gift Distribution

68%64%

52%

43%

4%

65%

55%

47%

35%

3%

71%

64% 64%

57%

0%

72%

80%

59% 57%

7%

We place gifts in

"swag bags" that are

distributed at the

registration desk

We place "room

gifts" in attendees' or

speakers' hotel

rooms

Gifts are incorporated

into an activity

We have a

"marketplace" where

attendees can select

their preferred gifts

Other

Total

Corporate

Supplier

Third Party

Which of the following describe(s) how you/your clients distribute event gifts?

Event gifts are most

commonly

distributed at the

registration desk.

About a third of

corporate audiences

have incorporated a

gifting “marketplace”

experience into their

event.

Average Per-Attendee Gifting Spend

What is your approximate per-person spend for event gifts? - For attendees.

30%

22%

32%

12%

3%2%

$10 - $50 $51 - $100 $101 - $250 $251 - $500 $501 - $1,000 $1,001 or more

Average = $210

Median = $100

Attendee gift spend is

most commonly around

$100, but many

respondents are spending

$10 to $50 per attendee.

A small proportion are

making significant

investments in attendee

gifts – these are most

likely for small events for

key clients or high-

performing salespeople.

Average Per-Speaker Gifting Spend

What is your approximate per-person spend for event gifts? - For speakers.

17%

28% 29%

19%

4%2%

$10 - $50 $51 - $100 $101 - $250 $251 - $500 $501 - $1,000 $1,001 or more

Average = $270

Median = $150

The median per-

speaker spend is

$150, although some

are spending

considerably more.

Average Per-VIP Gifting Spend

What is your approximate per-person spend for event gifts? – For VIPs.

12%

21%

32%

21%

8%

5%

$10 - $50 $51 - $100 $101 - $250 $251 - $500 $501 - $1,000 $1,001 or more

Average = $375

Median = $200

VIP attendees

command a higher

spend rate than

attendees – on

average $375.

Priorities When Selecting Event Gifts

3%

21%

13%

27%

23%

45%

60%

0%

14%

21%

29%

29%

50%

50%

14%

19%

22%

24%

32%

36%

45%

10%

19%

19%

25%

29%

40%

50%

Sponsored gift

On-topic for event

Direction given by leadership

Memorability

Meaningful

Attendee delight

Budget

Total

Corporate

Supplier

Third Party

What are your/your clients' priorities when selecting event gifts? Percent of respondents placing priority in top 2 most important.

For corporate buyers,

the top

considerations when

selecting event gifts

are budget, attendee

delight, and

meaningful gifts.

Suppliers and third-

parties emphasize

budget and attendee

delight considerably

more than corporate

buyers do.

Event Gifting Budgets - Net Increasing for 2019

34%38% 54% 42%

TOTAL CORPORATE SUPPLIER THIRD PARTY

Which of the below best describes your expectations for event gifting budgets for 2019?

All segments anticipate event gifting budgets to increase in 2019, although suppliers and third-party providers have a more optimistic outlook

than their clients.

Net Optimism by Audience

44

The overall outlook for the coming year is

positive for professionals charged with event

gifting. Corporate respondents have a net

optimism of 39%, and suppliers are even

more optimistic as a group.

The regulatory environment does create a

cautious outlook for the marketplace,

particularly among event gift suppliers.

In the coming year, what impact will the factors below have on your/your clients’ event gifting?

36%

7%

39%

12%

50%

-14%

31%

1%

ECONOMY REGULATORY ENVIRONMENT

Total Corporate Supplier Third Party

Thank you to the following organizations for their support of this research:

• Incentive & Engagement Solution Providers (IESP), a strategic industry group of the Incentive Marketing Association – Research Advocacy Partner & survey distribution

• Maui Jim – survey distribution