Gift giving practices vary from industry to industry, but an appropriate gift is a great way to say thank you and can help solidify a relationship between customer and provider. The operative word is “appropriate”.
Appropriate gift giving has these key elements:
1. The gift is well timed.
2. The gift is meaningful or relevant to the recipient.
3. The gift is memorable for the giver or the brand.
4. The recipient can and will accept the gift.
5. Nothing is expected in return.
Without these elements, the gift may be inappropriate or may be considered a bribe. For definition’s sake, a bribe is money or a favor given or promised in order to influence the judgment or conduct of a person in a position of trust. The gift could be seen as a bribe if you’re trying to obtain a new client’s business or if you have contract talks underway.
The timing of gift is critical. The element of surprise brings a certain drama to the exchange that will flatter the recipient. Other times to give a gift include:
– Holidays. Promotions. Graduations. Weddings. Etc While this is the obvious time to give gifts, you may be one a herd of gift givers.
– When you want to strengthen your business relationship with a client.
– To celebrate a business associate or employee’s promotion or retirement.
– To celebrate a personal event of an employee, such as marriage or the birth of a child.
Gifts need to be meaningful and relevant to the recipient. I remember getting a golf bag from a vendor which I graciously accepted. The only problem is that I don’t golf, so I promptly gave it to my brother who does. My brother remembers the gift fondly while I don’t remember the name of the giver who gave it to me first. I guess that makes me a “regifter”.
One way to make the gift memorable is to personalize it with engraving or embroidery. It could read something like “To Tom Chaney, Congratulations on your promotion to Vice President. From Jack Thomas, May 16, 2008”. The date is also an interesting touch.
Just because you think it’s an appropriate occasion does mean that the recipient can accept it. You might want to call his or her company to discover whether it allows employees to accept gifts or if it places a dollar-value limitation on gifts received. Many large corporations have strict gift policies. Avoid an embarrassing situation of a returned gift by checking first.
You also might want to consider whether religious or personal issues prohibit him or her from receiving holiday gifts. A canned ham might not be appropriate for Islamic or Jewish business associates. Also, don’t send flowers to someone who is allergic to them.
A gift that meets these criteria will generally be accepted and remembered. Being remembered is what really counts.
John Bradley Jackson
© Copyright 2008 All rights reserved.
P. S.
The IRS allows businesses to deduct up to $25 for gifts you give to any one person per year. There is no limit on how many people you can give business gifts to during the year, nor on how much you spend for those gifts, although your business gift deduction is limited to $25 per recipient.