Feature: Incentives: Christmas present

With the spectre of a recession lurking round the corner, spend on incentives and corporate gifts is one of the first budgets to be reviewed by Scrooge-like bosses. But, when times are tough, a well targeted promotional gift can be more effective than ever. “Christmas incentives are definitely not becoming the Ghost of Christmas Past,” says Derrick Hardman, managing director of Capital Incentives & Motivation. “An additional incentive made in the form of a gift at Christmas still has a strong motivational and recognition value.”

Belt tightening has already led to an upturn in demand for promotional offers, such as coupons, so the implication is that consumers will be particularly looking for promotions in the run-up to Christmas. This is also true for staff incentives, says Kuljit Kaur, head of business development at The Voucher Shop. “Christmas is an expensive time for everyone so any opportunity to boost income will be welcomed with open arms by staff,” she says. “Year-end is fast approaching and can be a last chance to boost performance to achieve the all-important annual target.”

Hampers are one of the more traditional options, and suppliers report that orders are currently as strong as ever. “Hampers continue to be popular as a Christmas gift and the industry continues to grow healthily each year,” says Yvonne West, manager of Sainsbury’s Business Direct. Its range includes traditional classics like the best-selling £50 Maple Hamper, with treats such as brandy rich mince pieces and gift-wrapped chocolates in a wicker basket, and the luxurious £150 Ash Hamper in a faux leather box. New additions include the Cool Christmas Hamper, at £90, containing food and drink such as smoked salmon, vintage cheddar, a whole honey-roasted ham and wine, while West says its Fair Trade Hamper has been reintroduced because “we’ve noticed a significant increase in the interest in Fair Trade and ethically sourced products. Also, there’s definitely a demand for hampers that are presented in reusable containers as many of our customers tell us that the hamper wicker baskets get reused in the home.”

John Lewis’s Family Christmas Hamper, which features a reusable lidded hamper, contains a wide range of seasonal products – not just champagne and chocolates but also crackers, a teddy bear and a trivia game. “More and more we are being asked for gifts that cover all spectrums of taste but also that have some form of longevity, leaving the recipient with something after the food has been eaten and the drink drunk,” says Manoj Jadeja, national account manager, commercial. “The focus on the gifts themselves has slightly shifted in that companies are asking for more non-food items. For example, a salt and pepper set, napkin holders, cheese board and knife, teddy bear, coasters and candle decorations.”

House of Fraser (pictured) focuses on exclusive brands in its hampers, such as Crabtree & Evelyn, Duchy Original, Farhi Collections, Jenners and Paxton & Whitfield, presented in chic and stylish packaging. In line with the trend for ethically sourced ingredients, its £95 Jimmy’s Farm Christmas Hamper contains rare-breed delicacies from a farm where traditional and sustainable methods are used. Price points range from £22 to £400, including wine gift boxes.

The credit crunch has not dampened interest in Harrods’ top-of-the-range hampers such as its £1,000 Supreme Hamper packed with cold cuts, cheeses, English York ham, salmon, caviar, cakes, confectionery, wines and cognac. But its 34-strong list also has a £12.95 Christmas pudding and brandy butter gift pack and other wine boxes and food hampers from £39.95.

Specialist wine suppliers include Euromarque Personalised Wines, which can provide bottles themselves that have a full-colour bespoke design, printed digitally, on as few as 12 bottles. The expertise and training of its staff ensure that customers can choose the right wine for the target audience. “There is no point sending a basic vin de table to CEOs and expecting them to be impressed,” says managing director Mark Goldrich.

Claire Skinner, sales and marketing director at 82-year-old Spicers Hampers, says it is not necessary to spend huge amounts on hampers to impress. “A gift goes a long way to building stronger relationships. But the old saying, ‘It’s the thought that counts’, really does work as long as you also ensure the gift is of good quality and appropriate to the recipient,” she says. On top of its all-year-round items, Spicers’ seasonal range includes a hamper containing a Christmas pudding, handmade fudge and chocolate-covered cranberries.

Chocolate gifts are at their most popular at Christmas, with many such as Sweetthoughts.co.uk displaying their promotional services at this month’s National Incentive Show in Birmingham. GroovyChocolate has a new range of advent calendars, including Fairtrade chocolate for the first time. “We’ve redesigned our calendars, making them simpler to construct,” says director Andy Fairburn. “This means we can generate savings we can pass on to our customers.” As well as desktop and full-size calendars, GroovyChocolate can produce a 12 Days of Christmas tree-shaped calendar with drop-in company logo and message.

Sweet Temptations offers individual personalisation on its Fairtrade advent calendars. “Christmas represents the perfect opportunity to get companies thinking about the ethical impact of their promotions,” says managing director Colin Levene. “Advent calendars have always been a favourite Christmas tradition and each year we strive to give them that extra edge to keep them novel and interesting. With low minimum-order quantities and the unique personalisation, we are expecting an even higher demand this year.”

House of Sarunds’ products include wrapped ballotins of assorted English handmade chocolates, milk-chocolate Neapolitans and Belgian chocolate bars, which can all be personalised. Its most seasonal offering is milk-chocolate Christmas puddings and white chocolate vanilla truffles, produced by family firm Kimberley’s.

However, Libby Christie, operations manager at promotions company Unmissable, believes companies can show imagination. “All companies want their corporate gift to stand out and be remembered, but when a client receives a number of hampers and bottles of bubbly, why not think of something different and refreshing to give your client which still has a Christmas theme but also is imaginative and will be used,” she says. Her suggestions include adopting a reindeer and planting a tree (or even a Christmas tree). Along with the gifts of organic and energy-saving products, these also show the giver is environmentally aware and “doing their bit”, she adds.

Living Promotions’ gifts include a live tree in a tube and a package that allows recipients to grow their own Christmas tree, with spruce tree seeds for sowing in a branded festive pot. Ideas from sourcing specialist Tomato Source include a Christmas card with brandable wooden decorations and flat-light candles. Alternatively, it has found a brandable star-shaped stainless-steel nutcracker, which has a leather cord for hanging as a decoration on a tree.

But gifts can be less seasonal, providing them with longevity throughout the year, such as diaries and calendars. “Christmas is the time of year when businesses select premium promotional items for their customers,” says Graham Howarth, director of sourcing company P&MM Source-e. “It has been our experience that customers opt for metal or chrome promotional items at Christmas.”

This trend is backed up by Senator Pens, which highlights its Solaris Chrome range for Christmas gifts. The black-barrelled metal pens, which can be twist-action ballpoints, fountain pens or rollerballs, have a high-gloss, chromium-plated finish, with barrels encased in a translucent ripple-effect finish. “With so many corporate gifts at Christmas, it’s vital that yours achieves an instant ‘wow factor’. Visually, metal pens in smart presentation cases do just that,” says Senator’s marketing manager, Melissa Chevin.

Christmas gift ideas from supplier Solo include a hunter’s flask with cup, a Brescia soft-leather laptop bag or briefcase, a Swarovski crystal jewellery box, a handbag mirror or a set of three wine bottle stoppers. Another supplier, Oldeani, suggests a travel alarm clock, a jumbo desktop calculator, a stylish wireless mouse or a watch. Luxury brand Thomas Lyte targets the corporate gift sector, with highlights for this Christmas including a black-lacquer domino set, black-lacquer and stainless-steel corkscrews and black-lacquer or silver perpetual calendars. It has also launched a new gift box that opens by pulling each end to become a cracker.

The choice of gift must be based on a knowledge of the recipients, adds Will Ripley, managing director of gift supplier Calverley. “If your company is known for being innovative and forward-thinking, you don’t want to give a gift that people received from your competitor last Christmas,” he adds.

Gift experiences from the likes of Buyagift and Virgin Experience Days also provide an opportunity for giving recipients a chance to relax and “detox” after Christmas. Marriott Individual Incentives offers the Pamper Day Award which includes two treatments and use of a Marriott club’s facilities for two people. The Full Experience Company has launched a new Smartbox that offers an updated range of “Zen and Spa” experiences including life coaching, beauty treatments, fashion consultancy, personal training, yoga and Pilates, plus an extra voucher for a makeover in every box. Smartbox’s UK and Ireland sales manager, Bunie Anyaegbunam, explains: “It offers a choice of over 150 beauty and wellbeing treatments across the UK and Ireland that will be consistent to at least one New Year’s resolution.”