The Gratitude Effect: Building Engagement, Connection, and ROI Through Workplace Appreciation

87% of employees believe companies should recognize contributions with tangible tokens of appreciation

NEW YORK, Feb. 6, 2025 /PRNewswire/ -- Snappy, the leading gifting company, has released its 2025 Workforce Study, based on insights from 1,500 U.S. employees, offering a comprehensive look at how gratitude, recognition, and gifting transform workplace cultures, drive employee engagement, and boost business success. While timed for Employee Appreciation Day on March 7, the findings reinforce that appreciation shouldn't be a one-day event—it's a year-round commitment that fosters connection, motivation, and long-term retention in the modern workplace.

The Gap In Employee Appreciation Day Recognition
Despite widespread employee interest in formal recognition, many companies are failing to prioritize Employee Appreciation Day. This oversight represents a missed opportunity to strengthen company culture and reinforce employees' sense of value. Recognizing employees on this day can be a launching pad for fostering year-round appreciation and engagement.

• Only 37% of employees reported that their company celebrates Employee Appreciation Day.
• 66% of employees said that they would like their company to recognize the occasion.

The Role of Gifting in Appreciation and Connection
Gifting is more than a perk – it's a proven driver of employee engagement and workplace culture. Snappy's 2025 Workforce study confirms that employees feel more valued, motivated, and connected to their company when they receive meaningful recognition.

• Milestone Recognition Increases Retention: 79% of employees said a birthday gift would make them feel appreciated and valued, while 67% indicated that an annual anniversary gift would encourage them to stay in their role. These milestones, often overlooked, present an opportunity for companies to show they care about their employees' personal and professional journeys.
• Recognition From Leadership Matters Most: 40% of employees said that appreciation from their direct manager is the most meaningful. When recognition comes from leadership, it reinforces the connection between employees and their organization.
• Onboarding Gifts Set the Tone For Engagement: Onboarding gifts have emerged as critical touchpoints for new hires, with employees citing welcome gifts as one of the top ways companies can make them feel valued from day one. This type of gesture creates a lasting impression that sets the tone for a positive workplace experience.
• Branded Swag Builds Pride: 85% of employees reported that wearing swag with their company's logo makes them feel proud of their organization's mission, while 76% said it helps them feel more connected to their colleagues. These symbols of belonging foster a shared sense of identity and culture.

Gratitude as a Driver of Engagement and ROI
Recognition is more than a morale booster, it is a key driver of performance, innovation, and long-term business success. 

• Motivation Leads to Innovation: When employees feel motivated:
  • 34% engage more deeply with customers and clients
  • 30% become more creative and innovative
  • 17% are more willing to take on new projects
  • 16% are more likely to engage in collaborative work with colleagues.

This heightened engagement translates into better ideas, stronger relationships, and improved business outcomes.

• The High Cost of Neglecting Recognition: On the flip side, a lack of recognition has significant consequences.
  • 42% of employees reported being less productive when they don't feel appreciated
  • 30% identified feeling invisible or undervalued as a primary reason for losing motivation
  • 10% say a lack of recognition is a key factor in disengagement

Companies that fail to prioritize appreciation risk lower productivity, disengaged employees, and higher turnover.

• Employees Expect Meaningful Recognition: 
  • 87% of employees believe companies should recognize contributions with tangible tokens of appreciation.

Cultural Insights into the 2025 Workplace
Employees are deeply invested in connection, belonging, and recognition, and companies that align with these priorities will see greater engagement and retention.

• A Preference For In-Office Work: The study found that 69% of employees work full-time in the office and 57% prefer it that way. For many, the office is a vital space for collaboration and relationship building.
• Workplace Friendships Matter: Strong workplace relationships are a cornerstone of workplace satisfaction, with 75% reporting that they have friends at work and 72% saying they have long-term friends they originally met through work. These connections are key to building a supportive and engaged culture.

Snappy's 2025 Workforce Study underscores a fundamental truth: gratitude and recognition aren't just nice to have – they're essential for engagement, retention, and business success. When employees feel valued through meaningful gifts, milestone celebrations, and a regular cadence of appreciation from leadership, they are more motivated, productive, and committed to their organization. As companies navigate the future of work. Investing in a strategic recognition program that includes gifting can drive stronger connections, boost morale, and deliver measurable ROI. Appreciation isn't just good for employees – it's good for business.

About This Study
Snappy's 2025 Workforce Study surveyed 1,500 employees across industries and demographics to explore how recognition and gifting impact workplace engagement, satisfaction, and performance.

About Snappy
Founded in 2015, Snappy is a global gifting company on a mission to spread joy, share gratitude, and remove the guesswork from gifting. Snappy is the trusted gifting and swag partner to over 47% of Fortune 100 companies and has delivered more than six million gifts worldwide. With the acquisition of Covver, Snappy expands its capabilities to include innovative AI-driven personalization for swag and branded merchandise. Recognized as one of Inc.'s fastest-growing companies and featured on Fortune's "Best Small & Medium Workplaces" list, Snappy continues to thrive on building meaningful relationships through the power of gifting.

SOURCE Snappy