Case Study: Giving Employees Product vs. Cash
Giving out cash awards is a great way to land yourself in hot water with the IRS. Cash gifts to employees are income. That means they must be taxed...
2 min read
admin : Feb 3, 2021 3:55:10 PM
We can all agree the dopamine rush of tearing open a neatly wrapped, carefully crafted package is a far cry from the fleeting surprise of finding an Amazon e-gift card in your inbox as you shuffle through the day's emails and mentally task yourself with remembering to spend it out.
Stuck in the rut of giving Amazon gift cards to your employees? Nothing says, “We couldn’t think of a single useful gift under the sun to applaud your achievement” better than resorting to Amazon gift cards. Sure it allows your employee to amass another audiobook or tech gadget, however, neither of these keep your brand in their face or on their desk, reminding them you’re glad they’re part of the team.
Most employers have asked themselves at some point, “How can I improve team culture and make this organization more effective?” In addition to ridding out bland and boring practices, such as giving Amazon gift cards, build pride and a lasting brand connection by presenting your employees with gifts that are both thoughtful and intentional.
Besides reducing turnover costs, companies are likely to incur savings by rewarding staff with branded merchandise. Unlike an Amazon gift card which has an arbitrary value plastered all over it, the value a recipient perceives as the worth of their branded merchandise is likely higher than what it cost the organization to purchase, especially if buying in bulk.
A heather quarter-zip, set of wireless Bluetooth headphones, or Tuscany leather journal, branded with your logo and packaged in a sharp-looking custom box, have far higher perceived values than a piece of plastic (or yet another email if e-gifting is the modus operandi). If you are privy to or part of a Marketing Team that is currently derelicting its duty by defaulting to Amazon gift cards, it’s time to shake things up by gifting tangible branded media that increases productivity.
Employees who feel appreciated take ownership, are more engaged, and have a higher output. It’s best to start out day one on the right foot. A new hire welcome-kit of branded merchandise instills engagement into new employees by encouraging them to become living ambassadors of your brand. Our e-commerce platforms enable employers to reward by offering staff the opportunity to redeem the product of their choice from an online selection of branded merchandise.
In a world where Amazon, or more specifically AWS, is becoming increasingly polarizing politically, it may even be offensive to some sects to show support for a controversial multinational. Moreover, in a marketplace where Chinese-based sellers outnumber American-based sellers, it’s likely that you’re missing an opportunity to gift made-in-America when you give an Amazon gift card. Gifting branded merchandise lets you be the steward of your gift’s origin.
The next time you consider gifting, let that memory of your disappointed spouse the year you gave s/he a gift card for Valentine’s Day burn in your mind. Your employees want branded merchandise with your logo that they can wear around the office to feel like a part of the team. Your superiors want reduced turnover costs and increased employee engagement. Gifting branded merchandise is a win-win!
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