Is Secret Santa Worth It? Measuring the ROI of Holiday Team-Building Activities

A well-planned Christmas office party can boost engagement, improve team relations and productivity, and increase retention. In this guide, we will show how to measure the ROI of Christmas team-building activities, including Secret Santa.

Calculating the ROI of holiday team-building

Holiday team-building events are a great way to celebrate the season, have fun together, and wrap up the year. However, investing in Christmas activities can also improve the morale, productivity, and loyalty of your employees. Below, you will find the top reasons to calculate the ROI of team-building events, along with recommendations on how to maximize staff engagement and productivity while keeping the expenses low. 

Why measure the ROI of team-building activities? 

If you’ve never measured the return on investment of corporate events and team-building, here are some great reasons to start: 

  1. Improve team performance. By selecting activities that best connect the team or enhance teamwork, you can directly impact the team’s performance and achieve specific goals. 
  2. Identify what works best for your team. You can understand what specific team-building activities bring the highest ROI in terms of employee engagement, productivity, and retention. 
  3. Justify expenses. With data and analytics at hand, you can negotiate budget allocation for team-building activities more persuasively. 
  4. Improve holiday planning. Having analyzed last year’s team-building ROI, you can cut off on activities that don’t bring results. Say, if a lucrative Christmas party doesn’t help improve relations and boost productivity in teams, you can ditch it and focus on other activities. 

Measuring the ROI of Christmas team-building events helps you focus on activities that bring your team together, improve teamwork, and boost retention.  

Why Secret Santa is a great team-building activity

Secret Santa is a popular tradition in many offices. If planned well, it can be used as a powerful team bonding tool, and the expenses on planning and organizing the gift exchange are quite low compared to other team-building activities. 

As a large corporation, you can run a companywide gift exchange, strengthening the ties between departments. Or, you can host multiple gift exchanges in each team, helping people learn more about each other’s interests, share the joy of giving, and celebrate the season. 

The MySanta app makes organizing gift exchanges smoothly, even for large companies with 100+ employees. You can play in person and exchange gifts in the office, or mail presents to maintain connections between onsite and remote employees. 

Our online generator offers these helpful features for companies: 

  1. Quick setup. Create a game, invite players via link, and draw names in a click.
  2. Gift preferences and wishlists. Each player shares their wants (and what they don’t want to get) before joining the game, making it easier for their Santa to choose. Plus, players can create wishlists and get specific items, which eliminates the frustration from unwanted gifts. 
  3. Draw exceptions. Set exclusions so some players don’t give to each other. Perfect if someone in a team is at loggerheads. 
  4. Anonymous chats. Each Santa can contact their giftee without revealing themselves.
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You can create wishlists, add exclusions, and communicate with your giftee secretly. Moreover, there is an option to track gifts and ensure that everyone buys a present on time.
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To turn the game into a bonding experience at work, you can set the gift theme (i.e. something blue, something helpful for the office, or something that starts with the letter T). Or, add a unique twist at the gift exchange day, making players answer a trivia question, act out something, or complete a task before unwrapping their gift.  

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Did you know? Companies can see up to $4 in return for every $1 invested in team-building activity. 

6 Key Metrics to Evaluate the Team-Building Effectiveness 

To evaluate the ROI of team-building activities, use a mix of qualitative and quantitative metrics. Here are some metrics to implement in your team. 

Employee feedback 

One of the most popular ways to evaluate the holiday team-building effectiveness is to gather employee feedback. Distribute surveys before and after the event, and record changes in employee morale, attitude towards the company, teamwork, and other areas you’d like to improve. 

Example questions for employee survey after team-building 

  1. I feel more connected to my team members after the Christmas party.
  2. The party provided opportunities to build relationships with colleagues outside of my immediate team.
  3. I feel more comfortable reaching out to colleagues for help or collaboration.
  4. The Christmas party fostered a stronger sense of teamwork within the company.
  5. The activities at the party encouraged teamwork and communication.
  6. I am more motivated to contribute to team projects and initiatives after the party.
  7. The party provided a positive and inclusive environment for building relationships with colleagues.

Cost vs. benefits analysis

To evaluate the overall ROI of your team-building, you need to compare the total costs for organizing the event against tangible and intangible benefits. 

ROI = [(Benefits – Costs) / Costs] * 100% 

When calculating costs, consider direct expenses for the party (i.e. catering, décor, and entertainment) and indirect costs (i.e. employee wages for time at the party). Similarly, take into account tangible benefits (increased retention or productivity) and intangible ones, including improved teamwork, morale, and corporate culture. 

Engagement and satisfaction rates 

You can evaluate employee engagement before and after the Christmas team-building, and compare the results. Gather information via the survey (you can gather anonymous surveys via Google Forms) and ask questions with answers on a scale from 1 to 5. 

Calculate the scores based on answers using this formula: 

Employee engagement = Number of positive responses (4 and 5) / Total number of questions * 100% 

Example questions to evaluate employee engagement

  1. I feel valued and appreciated by my team and the company.
  2. I am satisfied with my current role and responsibilities.
  3. I feel connected to my colleagues and have strong working relationships.
  4. I am motivated to contribute my best work to the company's success.
  5. I understand how my work contributes to the overall goals of the company.
  6. I feel that my voice is heard and my opinions are respected within the team.
  7. I am satisfied with the opportunities for professional development and growth within the company.
  8. I would recommend this company as a great place to work.

 Retention and turnover 

Employee retention is an HR metric that shows how many people leave the organization. A high turnover often indicates low compensation or poor management, but it also often indicates bad corporate culture and a lack of team bonding. Thus, you can calculate it after the team-building initiatives, as a well-planned Christmas celebration can aid loyalty and retention. 

Employee retention = (Employees at end of period - New hires) / Employees at start of period * 100%

Compare the retention before and after the Christmas team building – if it’s increasing, it might show that your efforts were successful. Generally, 90% or higher is considered a good retention, but keep in mind industry benchmarks as well. 

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Did you know? Employees who enjoyed a corporate Christmas party were 96% less likely to resign next year

Participation rates 

If participation rates in holiday events are high, it’s a great indicator. Pay attention to how many people attend Christmas gathering at work, volunteer, or take part in the Secret Santa exchange. Track attendance after each team-building – if they are increasing, it’s a sign that employees are getting more engaged and feel positive about the company. 

Behavioral changes 

These changes are most difficult to track – you have to observe the team dynamics closely. If coworkers resolve disputes and misunderstandings faster, start new projects across departments, and you notice coworkers leaving the office together to head to the nearby bar, it proves the increased team communication and engagement.  

Also Read:
8 Key Business Metrics to Track Before Christmas
Read
8 Key Business Metrics to Track Before Christmas

Tips to Analyze the Team-Building Efficiency

  1. Establish team-building goals. Before tracking the results of team-building holiday activities, decide what goals you’d like to achieve and how you’ll measure progress. If you want to foster teamwork and communication, metrics will be different from when you need to retain the top talent. 
  2. A bigger investment doesn't always bring better results. Sometimes a cozy gathering in the office with simple activities, games and Secret Santa can do more for team bonding than an extravagant event in a restaurant. Experiment to find out what works for your team.
  3. Evaluate metrics consistently. Analyze key KPI’s after each team-building event. Thus, you will see patterns and identify how employee morale, engagement, and productivity change over time. It will help you correct the activities and pick those that bring the highest ROI. 
  4. Use a combination of quantitative and qualitative metrics. Don’t rely on one or two metrics. To evaluate the team-building efficiency, use a variety of metrics tied to your goals. Combine the quantitative and qualitative metrics for a more comprehensive analysis. 
  5. Ensure confidential feedback. Employees are willing to give their honest, transparent opinion only if they feel safe. Make it clear that all surveys and feedback collection are anonymous and there won’t be any negative consequences for sharing one’s honest opinion. 
  6. Conduct surveys before and after team building. When making a significant investment in a team-building event, such as the one before Christmas, consider running surveys before and after the event. Thus, you’ll see what activities employees appreciated more and what they found useless. Compare the metrics as well to see the benefits and evaluate if the investment was worth it.  
Also Read:
How to Do Secret Santa in The Office: A Complete Guide
Read
How to Do Secret Santa in The Office: A Complete Guide

A Christmas team-building can be not only the way to celebrate the season, but also a strategic investment in building a more productive, engaged, and driven team. If you’re looking for cost-effective activities for your next event, try Secret Santa with our online organizer – it’s easy to set up, doesn’t require a major investment, and it helps your employees connect on a human level.

FAQs

How can we align our holiday team-building activities with our company culture? 

To align activities, understand your company's core values and employee preferences through surveys or informal feedback. Then, select activities that naturally complement these values, whether it's a competitive game for a driven culture or a relaxed meal for a family-oriented one. This ensures genuine engagement rather than forced participation.

How can Secret Santa benefit the team building and employee morale? 

Secret Santa can boost morale by creating a sense of fun, anticipation, and sharing the joy of giving. The mystery and thoughtfulness behind gifts can foster stronger connections, helping team members see each other beyond their work roles. This informal interaction can lead to improved workplace relationships and a more positive team atmosphere.

What are some best practices for organizing a Secret Santa to maximize positive outcomes? 

Establish clear rules for the gift exchange, including a strict budget to ensure fairness. Encourage participants to create wishlists to help their Santa choose gifts, and emphasize anonymity throughout the process. Consider using our MySanta app to manage the draw, set exceptions, track gifts, and keep it stress-free and organized.