Promotional Products Industry Overview Part 2. Presented by: Joseph G. Scott, MAS VP Scott& Associates, Inc.
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1 Promotional Products Industry Overview Part 2 Presented by: Joseph G. Scott, MAS VP Scott& Associates, Inc.
2 The Four Types of Distributor Salespeople Order Takers Wait for the Phone/e mail Order Getters Hey, wanna buy some pens? Order Makers What about those trade shows? Let s get things on order in advance. Promotional Consultant I noticed on your web site that you plan to exhibit at 23 trade shows next year. What are your desired outcomes? What is your Life Time Value of a client? What is the ROI of your advertising *
3 Top Ten 77.92% Category Percentage Wearables 30.62% Writing Instruments 8.99% Drinkware 7.63% Bags 7.45% Computer Products 5.94% Desk/Office/Business 4.15% Recognition Awards 3.76% Calendars 3.73% Electronic Devices 3.18% Textiles 2.47%
4 Specialized Promotional Programs Employee Service Safety Sales Process Improvement Six Sigma Distributor Purchase Incentive
5 People Who Can Help You Multi Line Rep A salesperson who calls on promotional consultants on behalf of a number of supplierssupplier Rep Works for a single supplier and helps them sell their products in a defined territory
6 Roles In The Supply Chain Supplier Manufacture/Import products and do/do not decorate Promotional Consultant Sells promotional products to Customer
7 How Promotional Products Went To Market Back in The Day Off Shore Manufacturer US Based Supplier Promotional Consultant Customer
8 How Promotional Products Go To Market Today Off Shore Manufacturer US Based Supplier Promotional Consultant Considered by the Federal Government to be The Manufacturer for Product Safety Laws Customer
9 Supplier Order Components Don t Assume Anything, especially w/reorders Quantity (if it s large, write it in words) Product Number Description Price Setup Charges Logo file in proper format Logo location, PMS colors, if applicable Delivery Address Delivery/Event Dat3 Your Contact information (phone, , fax)
10 Changes in Promotional Product Media and Imprinting Methods Substrates Textiles Bamboo, Technical Fabrics Recycled Plastics Imprinting Methods Laser on Fleece, Appliqué Four color process printing Variable Data
11 Trend: Develop Promotional Product Solutions It s not about just selling stuff anymore Promotional Products are an Advertising Medium Sell them accordingly
12 Marketing Our Media vs. Others Ours is a $20.04 Billion industry Advertisers bought more of our media in 2014 than: Radio: $18.46 Billion Newspaper: $16.4 Billion Outdoor Advertising: $7.0 Billion We can engage all five senses: Touch Weight or Texture Sight Sound Sound Chip Smell Scented Products Taste Gimme Some Chocolate We Are Not An Interruption! We are Welcomed!
13 Move From Selling Stuff, To Promotional Products Solutions Sell Stuff Purchasing Department = Price Sell Solutions Decision Makers = Margin Integrated Marketing Plan Shows how your client will meet their objectives. A schedule showing all marketing activities, I.e. Promotions, Programs, Trade Shows, Print, Radio, TV, Events, Outdoor, Indoor, Mobile Marketing, Online Ads, Social Media
14 Developing Promotional Products Solutions Selling Promotional Products How many competitors are there? In MSP there are hundreds Promotional Products Solutions In MSP there are only dozens Few of them call on $1MM $10MM businesses
15 Expanding Your Comfort Zone Expand your offerings You don t have to do them yourself Find a small marketing firm in your area Get acquainted Tap into their network Sell their work, mark it up, bill the client Get promotional product leads from them
16 Develop a Marketing Plan Quantify Client Objectives Quantify the Client s Financial Benefit LTV of Client Get Agreement on ROI Expectations Objectives + LTV + ROI = Client s Investment Discuss Meeting/Exceeding/Falling Short Determine Message & Call To Action Determine Media That Will Deliver the Message How/When Will the Results Be Measured? Is There A Mechanism to Process the Leads?
17 Different Ways to Market Promotional Products Market Yourself First! Get to Meet as Many People as Possible <10 Words: What do you do for a living? Ask for Referrals Lumpy Mail Using Promotional Products Self Promotion Pieces (hand em out) Speak to End Buyer Groups Volunteer First The Business will Arrive Later Mobile Marketing + Promotional Products
18 Strategic Marketing What are the client s objectives? Who makes up the Target Market? Where has the client been positioned by the market? Target Market research, data collection & analysis Competitive analysis (show their competitor s ads) Create marketing/advertising mix ROI piggy backing, follow up, round two The role of Promotional Products
19 OAR / MTV Objectives/Outcomes What do you want to have happen? Dollars, Patients, Clients Analysis What does the Objective mean to your bottom line? Return On Investment What kind of ROI do you want?
20 OAR / MTV Message Why should anyone care your business exists? Target Who should get the Message? Vehicle How will the Message get to the Target?
21 Offer Inbound Marketing Services Sign up for an Inbound Marketing Service Start with marketing Import their list into the service Use a template and craft their message w/links Send Clicks connect with the client s web traffic Automatically send relevant content based upon the prospect s interest
22 Offer Inbound Marketing Services Recipient clicks on Construction Law and receives the Construction Law Newsletter
23 Product Safety: Our Responsibility California Proposition 65 (Prop. 65) Consumer Product Safety Commission Lead Standards for Children s Products Container Security Supply Chain Management Polycarbonate? Click on PPAI Prod Safety Logo
24 Social Media s Role and the Affect on Suppliers & Promotional Consultants Helps both to engage (prospective) clients Engaging content will be shared Inform, don t sell (prospective) clients can easily reach you Customer Service in Public Collect Reviews Advertise
25 Current Industry Issues Product Safety (California s Prop 65) Requires the State to publish a list of chemicals known to cause cancer or birth defects or other reproductive harm Products shipped to/used in California must disclosure if the product/imprint contains any Prop 65 listed chemicals Safety Recalls Make sure your products are safe, per CPSA Pharmaceutical Legislation Limiting the influence of gifts from Pharma to physicians
26 Product Safety Become Product Safety Aware via PPAI Take the necessary, free courses in PPAI s on demand library CAS Required Product Safety Basics (60 90 minutes) Undue Influence Training (60 minutes) Prop 65 and State Regulation (60 minutes) Select one additional course A really good idea you can use this knowledge to more effectively differentiate you from your competition
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