The global corporate gift market size is estimated to be worth USD 242 billion in 2022 and is projected to reach USD 326 billion by 2030, growing at a CAGR of 4.2% during the forecast period.
The corporate gift market plays a pivotal role in modern business dynamics, serving as a conduit for expressing goodwill, enhancing relationships, and amplifying brand recognition. Rooted in historical origins, such gifting rituals have evolved into strategic tools for fostering connections with employees and clients. Characterized by personalized items like calendars, diaries, pens, and swag products, corporate gifts bear company insignias, symbolizing identity and culture.
This practice, dating back to 1883 when John D. Rockefeller distributed calendars, has grown exponentially. From Singapore's pioneering role in the 1950s to today's global landscape, corporate gifting thrives on its ability to bridge geographical gaps, motivating dedicated teams, and nurturing positive corporate cultures. It is integral in cultivating B2B relationships, nurturing customer loyalty, and elevating brand awareness. A careful selection process hinges on understanding individual needs, recognizing cultural appropriateness, personalization, and timely distribution. Innovative stationery, particularly personalized pens, stands out as a thoughtful and lasting gift choice, resonating with both clients and employees. In a market driven by innovation and emotional connections, corporate gifting stands as a vital facet of modern business strategies.
Top Key Players for Corporate Gift Market:
Pujiang E-Thing Craft Co. Ltd. (China), Ever Rich Gift Limited (China), Pujiang AF Crystal Craft Co. Ltd. (China), DONGYAODA (XIAMEN) TRADING Co. Ltd. (China), Guangzhou Kinglaiky Industrial Ltd. (China), Foshan Nanhai RongHuaXing Tourist Products Factory (China), Shenzhen Osea Technology Co. Ltd. (China), Quanzhou Changyi Crafts Gifts Limited (China), Ningbo Wilshine Stationery Co. Ltd. (China), Hua-Star Industrial Co. Ltd. (China) and Other Major Players.
Market Dynamics and Factors for Corporate Gift Market:
Drivers:
Escalating Demand for Corporate Gifts, Driven by Both SMEs And Large Organizations
Corporate gifts serve as powerful tools to foster trust among employees and clients, enhancing company reputation. They facilitate connections with customers, bolster brand awareness, convey values, and extend networking opportunities, ultimately leading to increased business profits. As a cost-effective promotional avenue, further the cost-effectiveness of corporate gifting as a method of promotion is a significant driving force behind the increased investment in such endeavors by both large corporations and small businesses.
Opportunities:
Integration of Innovative Technologies into Corporate Gifts, Such as Cryptocurrencies and Contactless Prepaid Cards
The emergence of cutting-edge corporate gifts, including tech-related items like smartphones, laptops, and digital cards, presents a significant opportunity in the corporate gift market. Incorporating new technologies like cryptocurrency payments and contactless prepaid cards not only enhances the gifting experience but also streamlines transactions. This trend, exemplified by initiatives from companies like Giftchill and financial institutions like LID and IDBI bank, promises lucrative prospects for market growth.
Segmentation Analysis of the Corporate Gift Market:
- By Type, eGift card category is expected to dominate the corporate gift market, representing a digital variant of physical gift cards, conveniently delivered via email for online or phone-based use. Renowned for benefits like boosting sales, enhancing brand awareness, attracting new customers, and being secure and cost-effective, eGift cards also aid inventory management and foster customer loyalty.
- By Application, Employee segment is set to command a significant share of the corporate gift market. Companies utilize gifts for employee birthdays, holidays, achievements, and anniversaries, fostering motivation and loyalty. Amidst demanding work environments, corporate gifts play a vital role in improving morale, motivating employees, and strengthening company bonds. As more companies invest in employee gifting, the market's expansion gains momentum.
Regional Analysis of the Corporate Gift Market:
With a great demand fueled by a robust gifting culture and technological advancements, North America dominates the corporate gift market. The US alone boasts 31.7 million small businesses (SBA, March 2021) across sectors like IT, construction, retail, and healthcare, driving high investments in employee and client gifting for sustained success.
Europe emerges as the second-largest region in the corporate gift sector, driven by remote work incentives, e-commerce, and digital gifting. German supermarket giant Aldi's 2021 UK gift card launch showcases Europe's evolving gifting landscape. A booming working population, such as 158.9 million full-time EU workers in 2021 and 32.2 million in manufacturing (2022), boosts corporate gifting investments.
Key Industry Development:
- In March 2022, Bevvi is the leading corporate gifting platform for the beverage industry, it announces the launch of BevviConnect, an API that connects with the company’s pre-existing platform.
