In the first part of this series, we took a look at the results of a new survey, as reported by the OPEN from American Express Small Business Monitor, a semi-annual survey of business owners. The results reflect current opinions held by small business owners as they apply to upcoming holiday client gift purchases. In this installment, we’ll take a look at additional results. Of the 59% of small business owners who plan to give gifts to clients, an overwhelming majority agree that their business is an important part of their legacy (82% versus 50% of those not giving client gifts). Among this group, 70% plan to make capital investments and 81% say they will grow their business over the next six months. This compares to 43% and 66% of their non gift-giving counterparts, respectively. Also noteworthy is that small business owners who say they will give to clients and customers are much more likely to do something to reward their staff - 86% vs. 48% of those with no plans to acknowledge their clients. Their generosity toward staff extends to other facets of giving - 79% of gift-giving owners offer health coverage to employees versus 60% of non gift- givers, and 32% of gift-givers are more likely to hand out bonuses during other times of the year versus 21% of non gift-givers. "Small business owners who are giving holiday gifts to clients seem to have mastered an important life lesson - you get back what you give," says Alice Bredin, OPEN from American Express small business advisor. "Keeping a legacy alive means running a growth-centric business and investing wisely, not only in customers but in staff as well. With 19% of gift-givers surveyed saying the single greatest deterrent in growing their business is their staff's abilities (vs. just 5% of those not planning to give), I'm not surprised that this savvy group is making every effort to retain their most capable employees." Notably, one-third (32%) of the small business owners surveyed who plan to give gifts to clients and customers say the area of their business they would most like to improve is customer service versus 22% of those not giving gifts. "Many small business owners are smartly focused on clients and customers as a means to growth. Client gift-giving during the holiday season can be an effective marketing tool - but it is most effective when it is the culmination of a year's worth of exceptional customer service and relationship development," said Bredin. The most popular choice among small business owners this year is to send cards and calendars to clients and customers, though this number is down considerably from last year (34% vs. 48% in 2006). The second most popular gift choice is gift cards (26%) followed by fruit/food baskets (20%), unique company branded/monogrammed gift items and donations to charity made in a client's name (each 18%), flowers/plants (9%) and wine/liquor (8%). Interestingly, the number of owners who answered "none of the above" to this laundry list of typical gift items increased since last year (41% vs. 30%). "Not surprising," said Bredin, who noted that it makes sense for owners to think creatively when it comes to ways to impress their clients and customers. "The stakes are high for making a lasting impression with your gift, especially when competing against larger companies with substantial marketing budgets," she said. Through an American Express service, small business owners who are Business Platinum or Business Centurion Card members can give uncommon gifts and experiences to their clients, including a hot air balloon trip, a custom-made hand-stitched sport coat, a five-course gourmet dinner prepared by a personal chef, and a day of wellness at the client's office with massage, aromatherapy, meditation, and individual employee time with a wellness guru. Do small business owners expect a thank you call or card from clients or customers for the gift? Seventy-two percent of those surveyed say they are "very likely" or "somewhat likely" to be thanked. In terms of gender, 78% of women business owners say they are "very likely" or "somewhat likely" to be thanked, versus 68% of their male counterparts. In the final part of this series, we’ll discuss more of the survey results as they pertain to small business owners. | 
