There is really no predicting which way the finances of the world will turn in the remaining portion of 2009. We have watched as numerous suppliers have been forced out of business and others have been on the brink of bankruptcy like Broder Bros. It appears as of late Friday Broder was able to secure the required percentages in order to avoid filing but the fact remains we are going to see many more in tough shape. As the number of suppliers dwindle the number of real choices also diminishes.
This was our main reason for focusing on products from only reputable vendors with exceptional ratings. Anyone can sell a product and just about anyone can beat someone on price but quality and service are the distinguishing points. Take for instance the Tech Tumbler which has been knocked off repeatedly by lesser providers. We hear the complaint over and over that the cheaper brands arrive with scuff marks from poor packaging. The Enzo Aluminum Bottle is another product that is frequently duplicated but when we recently sampled one of these lesser priced items the carabiner clip portion would detach when the bottle was filled as it could not handle the weight. The same thing happened with a Gripper Aluminum Bottle clone but in that case the carabiner actually broke and was unable to be repaired rendering the point of the bottle moot. We recently had someone contact us online looking for information on returning a product we did not sell because the "grip" had failed and was leaving a residue on hundreds of items. On closer inspection the customers confusion stemmed from the lower quality clone of the Groovy Tumbler was sold to them by a company no longer operating and a supplier that we could not even find. The story remains the same, if you buy from a reputable distributor who also buys from a reputable manufacturer the chances of you having a problem that could potentially go unresolved exponentially decreases.
As an update to the first paragraph it has been widely reported that industry sales are down sharply in the first four months of 2009 to the tune of 20% versus 2008. We firmly believe these numbers are as usual a gross underestimation and that the problems are much more severe. With so many industries no longer purchasing including the core financial and health care industries entire segments of both the supplier and distributor side are likely to fade in 2009. As we talked about in the Rumble Turns Into A Stumble there are now growing predictions that the economy will not recover until 2010. This seems logical given the contractions in lending and credit.
Friday, May 15, 2009
Wednesday, April 29, 2009
A Picnic in the Dunes
As we transition from the latter parts of Spring into full fledged Summer the focus of many vendors shifts towards recreational goods. There was a momentous shift this spring away from recycled promotional items likely due to the higher costs. Although no manufacturers will ever admit to it the early discounts being offered on these items indicates weak interest. Instead we are all seeing a focus on family oriented goods.
The Dunes Game Cooler provides an all in one package offering a large cooler with the much more environmentally friendly PEVA lining, an inflatable beach ball and even a Frisbee. It is an entire printed beach kit that in the current financial climate strikes the perfect balance between function and form. By combining what is essentially an entire sport kit into one bundle. The Leeds Picnic Basket Cooler holds even more cans or small bottles, 24 in total and has an enormous opening that would allow you to carry even larger items. We really like the color schemes as the muted earth tones have been incredibly popular so far in 2009. They allow for people utilizing a darker logo to print on the lighter khaki colors and for those with lighter logos to print on the darker product. We greatly prefer the PEVA lined products over older PVC because the manufacturing process for PEVA is much safer for the environment and the products themselves have fewer restrictions.
Just as our economy begins to rapidly rebound the threat of a rapidly spreading illness put the brakes on the markets today. It is obviously way to early to tell how difficult times may become in the near future but it has to cause anyone great pause to see how rapidly it is spreading. A single person sick is rapidly able to make dozens others sick which I never recall happening so readily with traditional flu type illnesses. What's most unfortunate is the potential harm this may do to the economy. Even the fear of a pandemic could easily level a body blow to economies around the globe. The rumble within the economy appears to have developed into more decided move forward but what effect the growing concern over the potential for worldwide spread to the illness will only be realized over the coming weeks. Already there are mass cancellations of schools and social gatherings around the country and travel is already being restricted.
The Dunes Game Cooler provides an all in one package offering a large cooler with the much more environmentally friendly PEVA lining, an inflatable beach ball and even a Frisbee. It is an entire printed beach kit that in the current financial climate strikes the perfect balance between function and form. By combining what is essentially an entire sport kit into one bundle. The Leeds Picnic Basket Cooler holds even more cans or small bottles, 24 in total and has an enormous opening that would allow you to carry even larger items. We really like the color schemes as the muted earth tones have been incredibly popular so far in 2009. They allow for people utilizing a darker logo to print on the lighter khaki colors and for those with lighter logos to print on the darker product. We greatly prefer the PEVA lined products over older PVC because the manufacturing process for PEVA is much safer for the environment and the products themselves have fewer restrictions.
Just as our economy begins to rapidly rebound the threat of a rapidly spreading illness put the brakes on the markets today. It is obviously way to early to tell how difficult times may become in the near future but it has to cause anyone great pause to see how rapidly it is spreading. A single person sick is rapidly able to make dozens others sick which I never recall happening so readily with traditional flu type illnesses. What's most unfortunate is the potential harm this may do to the economy. Even the fear of a pandemic could easily level a body blow to economies around the globe. The rumble within the economy appears to have developed into more decided move forward but what effect the growing concern over the potential for worldwide spread to the illness will only be realized over the coming weeks. Already there are mass cancellations of schools and social gatherings around the country and travel is already being restricted.
Sunday, April 19, 2009
Earth Day About More Than Just Recycling
When organizing and cleaning your home or office you’ll often find stacks of old boxes either multi-boxed together or laying around in a folded mess. In most homes or offices the storage room or garage tends to be the area stacked high with old cardboard. After a recent order of a few books I ended up with a half dozen imprinted boxes from Amazon. At the end of the week I sat staring at what was a mass of cardboard most of which is now worth very little in the depressed recycling markets. At the same time I began wondering whether I should hit the stores for some storage bins likely made with heaps of plastic. I then gave thought to recycling the boxes I had laying around the area into reusable storage bins.
There are also purely recycled boxes that can be purchased from local retailers. Office supply retailers sell recycled boxes in a variety of sizes and strengths with the weight usually being clearly printed on the bottom of the box or packaging. Recycled boxes often come in small, medium, large, extra-large and jumbo sizes and almost all are strong enough to allow easy stacking. Recycled boxes can also usually be purchased from online recycled box retailers and quite often you may be able to acquire boxes from your local package store or retailer who would gladly have you take it away versus paying for it to be recycled commercially. In many cases the recycling programs of businesses are not free and therefore they will be happy to see you put the boxes to good use.
This brings us to the topic of not only buying recycled or eco friendly promotional items but requesting that your supplier and their supplier in turn uses recycled packaging materials. Vantage Polos are available in renewable resource materials such as bamboo which is one of the fastest growing plants on Earth. It has become increasingly popular in the last two years as a source material for convention gift items and as a soft and comfortable alternative to jute and other harsher materials. The Bamboo 2-Color Pique Polo is a leading example of design and style coming together. By bringing together the two materials they have melded the best of both worlds. Although technically it falls below the threshold of a strictly “renewable” item it is far more renewable than most others on the market. However what about the packaging? Will the underlying vendor use recycled plastic bags to package the shirts, recycled tape to ship them in recycled boxes? Highly unlikely at this point and this is one of the biggest areas for potential future improvement. Are they using environmentally safe materials in stain resistant shirts such as the Velocity Repel & Release Pique Polo or are they using chemicals that may be harmful to the environment in the process of production? These will be important questions going forward in the promotional products industry. Recently one manufacturer has rolled out veggie inks but they as of now are more expensive and almost never requested by clients.
Please remember to observe Earth Day and remember to recycle or reuse all your packaging materials and continue to request your suppliers do the same. You may also want to consider reading more totes that fit the bill as totes have a wonderful second function as grocery bags and remember that teaching recycling begins in the home and office.
There are also purely recycled boxes that can be purchased from local retailers. Office supply retailers sell recycled boxes in a variety of sizes and strengths with the weight usually being clearly printed on the bottom of the box or packaging. Recycled boxes often come in small, medium, large, extra-large and jumbo sizes and almost all are strong enough to allow easy stacking. Recycled boxes can also usually be purchased from online recycled box retailers and quite often you may be able to acquire boxes from your local package store or retailer who would gladly have you take it away versus paying for it to be recycled commercially. In many cases the recycling programs of businesses are not free and therefore they will be happy to see you put the boxes to good use.
This brings us to the topic of not only buying recycled or eco friendly promotional items but requesting that your supplier and their supplier in turn uses recycled packaging materials. Vantage Polos are available in renewable resource materials such as bamboo which is one of the fastest growing plants on Earth. It has become increasingly popular in the last two years as a source material for convention gift items and as a soft and comfortable alternative to jute and other harsher materials. The Bamboo 2-Color Pique Polo is a leading example of design and style coming together. By bringing together the two materials they have melded the best of both worlds. Although technically it falls below the threshold of a strictly “renewable” item it is far more renewable than most others on the market. However what about the packaging? Will the underlying vendor use recycled plastic bags to package the shirts, recycled tape to ship them in recycled boxes? Highly unlikely at this point and this is one of the biggest areas for potential future improvement. Are they using environmentally safe materials in stain resistant shirts such as the Velocity Repel & Release Pique Polo or are they using chemicals that may be harmful to the environment in the process of production? These will be important questions going forward in the promotional products industry. Recently one manufacturer has rolled out veggie inks but they as of now are more expensive and almost never requested by clients.
Please remember to observe Earth Day and remember to recycle or reuse all your packaging materials and continue to request your suppliers do the same. You may also want to consider reading more totes that fit the bill as totes have a wonderful second function as grocery bags and remember that teaching recycling begins in the home and office.
Monday, April 13, 2009
More Totes That Fit The Bill
We keep talking about how difficult things are for businesses and even charitable organizations in this difficult economy. Each week the news seems to get progressively worse and the number of people losing their jobs is growing. For the first time in decades the gift of promotional items is somewhat of a curse as it is being viewed as an extrvagance. This has shifted the focus of the industry to less expensive items.
In making these items less expensive fortunately they are not taking any of the features or good looks out of the equation. The PolyPro Insulated Tote is designed to go head to head with a more expensive item from another ASI company that has been a success for several years. By coming in at this price point they are going to hit the niche looking for the insulated variety but on a tighter and more restrictive budget. Another item that is making waves is the Leeds PolyPro Foldable Tote which has the unique ability to fold down into a much smaller package. Most will choose to decorate the front pocket which is visible when folded. The other advantage of the folded approach is that the costs of shipping are significantly lower. With the threat of rising oil prices still looming around the corner the ability to pack many items in a box demonstrates good forward thinking by the manufacturer. Carrying the natural good looks of a cotton like material the PolyPro Compartment Tote has two color options and a ton of compartments on the inside for easily segregating individual items.
This brings us to the discussion of insulating materials in all of these types of items. Up until very recently lead was a major concern and to this day is still present in some quantities in the lesser brands. The zippers on most jackets and other products still contain lead and this is an important safety warning for anyone with kids, make sure they wash their hands after using a zipper on any item including any promotional item. You should also take a close look at the descriptions of any products you come across on the web to make sure they have PEVA linings which have little or no lead. This leads us to the transition of Earth Day which is rapidly approaching. Demand this year for recycled products has been weaker than in years passed likely because of the higher costs but there are still plenty of solid earth friendly promotional items available in time for the big day.
In making these items less expensive fortunately they are not taking any of the features or good looks out of the equation. The PolyPro Insulated Tote is designed to go head to head with a more expensive item from another ASI company that has been a success for several years. By coming in at this price point they are going to hit the niche looking for the insulated variety but on a tighter and more restrictive budget. Another item that is making waves is the Leeds PolyPro Foldable Tote which has the unique ability to fold down into a much smaller package. Most will choose to decorate the front pocket which is visible when folded. The other advantage of the folded approach is that the costs of shipping are significantly lower. With the threat of rising oil prices still looming around the corner the ability to pack many items in a box demonstrates good forward thinking by the manufacturer. Carrying the natural good looks of a cotton like material the PolyPro Compartment Tote has two color options and a ton of compartments on the inside for easily segregating individual items.
This brings us to the discussion of insulating materials in all of these types of items. Up until very recently lead was a major concern and to this day is still present in some quantities in the lesser brands. The zippers on most jackets and other products still contain lead and this is an important safety warning for anyone with kids, make sure they wash their hands after using a zipper on any item including any promotional item. You should also take a close look at the descriptions of any products you come across on the web to make sure they have PEVA linings which have little or no lead. This leads us to the transition of Earth Day which is rapidly approaching. Demand this year for recycled products has been weaker than in years passed likely because of the higher costs but there are still plenty of solid earth friendly promotional items available in time for the big day.
Sunday, April 12, 2009
Economic Clearing Visible on the Horizon
For over a year we've blogged about the great difficulties within the economy of the United States. We have seen very little that was positive since late summer of 2007 despite all the rosy projections of the supposed professionals on the television. As it turned out the end of 2007 signaled the beginning of the most severe recession since the Great Depression. Heading towards 24 months later and the jobless rate continues to skyrocket, home prices are still diving and bank failures have already exceeded all of 2008 through the first week of April 2009.
Not good times, but there may be some brightening now on the horizon. Back in March we discussed some of the difficulties facing the economy. It appeared early in March that things would get better but as we quickly found out the economy was still stumbling and not showing positive gain. As the month of March rolled to a conclusion the stock market had posted significant gains but the general consensus among those not trying to gain from a position within the equity market. Now we are well into April with the number of jobless still increasing and the actual number of those unemployed probably far higher than is reported. But there are some positive signs as customers have shifted buying habits we have noticed a sharp uptick in orders for the less expensive custom koozies. The same is being found in the retail segments as customers flock away from the higher end stores instead heading to places like Walmart or the local dollar store. The Salvation Army reports brisk business at many of their thrift shops and the marketing mix of products in the retail channel has shifted away from the high end premium brands to more value oriented products.
To date this has played right into the hands of stores such as Walmart who are making major gains in available market share. Unfortunately unless you have the buying power of such a giant the cycle ends up closing fast and the budget busting dealers end up falling by the wayside as happened to Circuit City and dozens of other retailers. When you sell on nothing but price there is always someone out there that can beat you. Over the coming months I suspect many small business owners are going to realize too late that once you cut prices you can almost never go back to the earlier pricing model as customers come to expect the lower prices. Several promo suppliers will find this out as their ultra eager 2nd quarter promotions could come back to haunt them.
Not good times, but there may be some brightening now on the horizon. Back in March we discussed some of the difficulties facing the economy. It appeared early in March that things would get better but as we quickly found out the economy was still stumbling and not showing positive gain. As the month of March rolled to a conclusion the stock market had posted significant gains but the general consensus among those not trying to gain from a position within the equity market. Now we are well into April with the number of jobless still increasing and the actual number of those unemployed probably far higher than is reported. But there are some positive signs as customers have shifted buying habits we have noticed a sharp uptick in orders for the less expensive custom koozies. The same is being found in the retail segments as customers flock away from the higher end stores instead heading to places like Walmart or the local dollar store. The Salvation Army reports brisk business at many of their thrift shops and the marketing mix of products in the retail channel has shifted away from the high end premium brands to more value oriented products.
To date this has played right into the hands of stores such as Walmart who are making major gains in available market share. Unfortunately unless you have the buying power of such a giant the cycle ends up closing fast and the budget busting dealers end up falling by the wayside as happened to Circuit City and dozens of other retailers. When you sell on nothing but price there is always someone out there that can beat you. Over the coming months I suspect many small business owners are going to realize too late that once you cut prices you can almost never go back to the earlier pricing model as customers come to expect the lower prices. Several promo suppliers will find this out as their ultra eager 2nd quarter promotions could come back to haunt them.
Friday, April 3, 2009
Taking Seriously and Teaching Recycling
Weird title but it is fitting. There are so many sides to the recycling equation that are largely only beginning to come to light. In the promo products industry recycled and eco friendly items have been the buzz for more than twenty four months. Indeed they were so popular in 2008 that there are numerous direct to consumer shops setting up with "storefronts" here in the United States.
The promise is simple, lower prices and respectable service but the consumer needs to be aware that they are buying recycled goods from overseas. In short their order will likely originate another flight or some other form of cargo that much transit half the world to arrive here. What is even worse is that in many cases the hard saved recycled materials from the United States are being shipped to China to be burned as fuel or worse used to make the same recycled products that are then shipped back to the United States. The carbon footprint in a word is gigantic. This all begs the question of when will domestic recycled products come to market? The answer is they are slowly arriving now. Customers should keep in mind that buying "direct" may actually do more harm than good if the "direct" buying is with some factory halfway around the world.
We have finally launched the Laguna Aluminum Bottle which features firm aluminum and an interior liner that is food safe much the same as the Quest Aluminum Bottle both of which are manufactured by Leeds which continues to produce solid promo products. We like both bottles and expect them to be hits during 2009.
As we talked about the other day the economy's rumble did turn into a total stumble with so many jobs continuing to be lost. With things as tough as they are and likely getting worse as funds are cut and staffs stretched it will be ever important for distributors to market with intensity this spring.
The promise is simple, lower prices and respectable service but the consumer needs to be aware that they are buying recycled goods from overseas. In short their order will likely originate another flight or some other form of cargo that much transit half the world to arrive here. What is even worse is that in many cases the hard saved recycled materials from the United States are being shipped to China to be burned as fuel or worse used to make the same recycled products that are then shipped back to the United States. The carbon footprint in a word is gigantic. This all begs the question of when will domestic recycled products come to market? The answer is they are slowly arriving now. Customers should keep in mind that buying "direct" may actually do more harm than good if the "direct" buying is with some factory halfway around the world.
We have finally launched the Laguna Aluminum Bottle which features firm aluminum and an interior liner that is food safe much the same as the Quest Aluminum Bottle both of which are manufactured by Leeds which continues to produce solid promo products. We like both bottles and expect them to be hits during 2009.
As we talked about the other day the economy's rumble did turn into a total stumble with so many jobs continuing to be lost. With things as tough as they are and likely getting worse as funds are cut and staffs stretched it will be ever important for distributors to market with intensity this spring.
Subscribe to:
Posts (Atom)
