Corporate gifting bloopers - how employers get it wrong

A new survey proves some employers are clueless when it comes to giving their employees gifts and employees are speaking up. Employees have worked harder this year than they have in a long time and they do not need any more mixed messages. So how can employers get corporate gifting right?

As part of a reward and recognition survey, RedBalloon asked 3,053 employees what was the WORST gift they have received from an employer. The responses ranged from strange, mundane, predictable, awkwardly tacky and obvious freebies to receiving nothing at all. From rubber chickens, baked beans, floral shower caps, sparkly nail files, CDs that bosses really want for themselves, company rugs, photocopied certificates with misspelled names, pens that don’t work, to hand soap (and much more) - employees have seen it all.

Only 16% of employees having NEVER received a gift they would rate as ‘terrible’, leaving the majority of employees exposed to corporate gifting blunders.

Matt Geraghty, Head of RedBalloon Corporate says “a gift can either enhance a relationship or detract from it, and it is no different in business. The act of giving a personalised gift to an employee when it is attached to praise about positive behaviour or achievement is a powerful way to make a lasting impression on that person – if you get it right.“

The survey results were grouped into a list of the most common WORST gifts for employers to AVOID when saying thanks to their people at the end of the year:

1) "What the" gifts
Employees reported examples like “a defecating reindeer”, “a gold spoon – who needs that”, “A high five from the manager, I find this childish” and “a stress ball – need I say more”. These are the riskiest kinds of gifts and often have the effect of being a little too ‘left field’ to be meaningful for the recipient - unless you know the person very well.

2) Effort versus reward imbalance gifts
Another employee said they received “a company branded watch for 5 years of service, and a letter misspelling my name”. Consider the balance between effort or performance and the perceived value/fit of the gift: Make it relevant for the recipient, and, with your budget in mind, something that is of worth to them. Let them know why you selected that gift for them – for example “I know that you have always wanted to learn Sushi Making, you might like to choose that for yourself and your partner from this gift”.

3) Company branded merchandise
These are useful corporate marketing tools, but when given on their own to employees they can appear to be non- personalised and focusing on the company rather than the individual and what they contribute.

4) Freebies
Employees gave examples like “Herb sachets from a channel promotion” and “Out of date stock we sell” not only does this reflect poorly on the company, it brings the intention behind giving the gift into question. Is it given from love, kindness and generosity or is it given hoping for something in return, to buy a favour, or to coerce some one? A gift or a thank you needs to be given purely out of generosity and to show that the recipient is cared for, then it will enhance the relationship.

5) No gift, no acknowledgement, no nuthin'
One employee summed up the disappointment felt by employees when they receive nothing. “Nothing for doing exceptional work beyond expectations, a little disappointing when so much time and effort was put into task/project.” People will work harder if they think they are recognised for doing so. It comes back to how important people feel their contribution is, are they noticed?

6) Gifts that clearly don't relate to the person
“Christmas Ham – I am a known vegetarian”, Box of chocolates – I am a diabetic”, the same goes for alcohol when given as a gift to people who don't drink alcohol

Geraghty says "a gift at the end of the year represents a great opportunity for managers to reinforce their relationships with their teams.

In RedBalloon's 8 years of experience with more than 2000 businesses we have found that employees cherish experiences as opposed to possessions simply because they are more memorable. Because in the end, it's the stories and experiences with others  that we hold close and relive over and over."

"Part of the advantage of getting gifting right is that your people will willingly talk about how great their employer brand is for thinking of them"

For Christmas gift ideas, take a look at our Corporate Christmas Gifts page or contact our Corporate Team by emailing query@redballoon.com.au or calling us on 1300 850 940.

Author: Kate Rolfe, RedBalloon

Date: 12/01/2010