Have you ever seen an article of clothing with a company logo on it priced at $60 or more? Did you stop and think to yourself, “Wow that’s way too much?” Did you buy it anyway? If you’re willing to spend that much on a piece of clothing, should the logo be small and subtle, or should the logo be screaming the brand name in order to be noticed?
The Popularity Contest
Another factor to consider is the business the merchandise represents. Is it a popular brand such as Nike or Abercrombie & Fitch? Is it a successful national brand like Harley Davidson or Coca-Cola? Did you buy the merchandise because it represented a vacation destination or it holds a fond place in your memory, like your favorite bar in college?
The previously mentioned brands are those that I believe can charge a premium for merchandise with their logo on it. Nike and Abercrombie & Fitch both have a high social status and popular appeal to their brands. Coca-Cola and Harley Davidson both represent brands that have been able to stand the test of time and continue to run strong today.
If your business is able to charge premium prices and still sell your merchandise, it’s not only great for you, but your brand as well.
Better to Give Than to Receive
But what if your inventory isn’t selling? Then, maybe it’s time to start viewing your clothing or promotional products as a form of advertising. I’d be willing to sell merchandise at a loss if it meant people were wearing my brand and generating awareness of my business.
In some cases, it may even make sense to give your merchandise away for free if means getting your brand in front of the masses. A good way to do this would be to reward your most loyal customers with a free piece of merchandise. After all, the next time a customer uses or wears that free piece of merchandise, top-of-mind awareness of your good or service becomes automatic.
If you’re unsure if your business should be charging a premium for merchandise with your logo on it, then it most likely means you should be viewing your goods as a form of advertising for your business. Do whatever you can to get your merchandise off your shelf in a timely fashion and out to the public. Promotional products are not always cheap and some businesses need to ask themselves if they should be investing their dollars here or not at all.
I believe that a business whose promotional products appeal to a wider target market will have more success because they are able to service a wide array of people. The brand awareness created from the promotion is more likely to lead to a new customer, than it would in a business-to-business transaction.
Finally, can you really put a price on merchandise that holds some sense of nostalgia? I believe so. People wearing and using your product leads to others asking about their connection to your brand. This prompts the person to tell a story about why they are wearing a shirt with your logo on it. If you did your job correctly, it will most likely be a positive experience they are sharing, and will hopefully improve public opinion of your business. This, in turn, will generate the desirable word-of-mouth advertising that all businesses aspire to.
Before placing your next merchandise order, take some time to think about how effective the cost will be for your business. Consider which types of logo-bearing items would be the best fit for your brand, and how to price and distribute these items. Taking the time to ask yourself these questions will help you make the best choices for your brand, and your bottom line.