Friday, November 13, 2009

The Aluminum Versus Stainless Debate Continues

This year witnessed a rapid expansion of aluminum bottles in the promotional products industry. Most of the major industry players significantly increased their product offering in the aluminum segment in response to demand and also in response to the higher costs of shipping in the past few years. Aluminum is lighter than stainless and therefore the overall costs were lower. But is there still a hidden danger in aluminum bottles?

Much like the cell phone safety debate there are two camps. The taste of aluminum over time can leach into the underlying liquid. Have you ever wondered why your favorite beer appears to taste better in a bottle? What you are sensing is probably the result of the tastes of metal getting into the drink. To combat this most bottles are coated. The 25 oz. Clean-Cut Aluminum Bottle like many of these bottles is coated on the inside with material to provide a good taste experience. From reputable ISO certified manufacturers these coatings are likely safe and free from BPA but that may not be the case for items imported. Therefore it is still our recommendation to go for stainless inside and out whenever possible. The 24 oz. Single Wall Stainless Sports Bottle has a drink surface that is entirely free of coatings. Stainless is rarely coated to provide better taste. In theory a water bottle made from stainless removes any of the risk involved with plastic counterparts but like most there are still plastic parts involved.

The industry as a whole got closer this past year to eliminating any potential danger points but has not gotten there in entirety yet. We would like to see a push in 2010 to eliminate any traces of BPA in all drinkware and food type products. With the increasing popularity of food storage containers as promotional items this point will become particularly important. The economy is driving the price points lower and lower which can end up having the negative effect of vendors cutting corners. End users and distributors need to demand BPA free certifications which should lead to a safer selling environment for everyone. Without a major push from both sides of the end user equation we are likely to see a step backward in 2010 towards products of questionable safety. Demand better for your customers and realize that everyone from small children and infants may be using these beverage containers.

Wednesday, October 21, 2009

Stumbling with the help of Oil

For a couple of weeks it looked like the economy was going to start to build back from the unprecedented contraction of the last few years. There were signs in the automotive industry, in the retail sector and in the housing sector that things were going to get better heading into the holiday season. Economists were proudly proclaiming the success of the stimulus programs and other expenditures right up until the bottom began to fall out again.

As I type this using my Cutter & Buck American Classic Mousepad which we did up as a promotion during much more prosperous times I wonder how much of an effect the collapse of the dollar will have on any meaningful recovery. Retail sales are lagging again and it could not come at a more inconvenient time. The last thing retailers needed to see was a slump leading into the holidays but that is likely to continue. The gorilla in the room is the price of oil which continues to skyrocket. Despite a horrible economy and ever building stocks of crude prices are nearing recent highs. The rest of the World is beginning to emerge from the recession while the US continues to tread water below the mean growth line. As our dollar fades and the government fails to take action we will see all commodities rise. As oil rises we see an immediate increase in gas prices and as that continues we will see an equal but opposite decrease in consumer spending. Incomes are flat, consumers are digging out from mountains of debt, the last thing the economy needed was another oil shock but it appears to be upon us.

Sellers in this market have to adjust. Items like those discussed in totes that fit the bill will continue to ring substantial sales while more costly items will lag. The key is to pick the right product for the right market at the right time which we'll discuss in an upcoming post but suffice to say items such as backpacks may not do as well.

Tuesday, October 6, 2009

Getting Back with Backpacks this Fall

As everyone gets back to business this fall we are urging customers to take a look at custom backpacks for their holiday gifts. Traditionally these items sat near the top of the hiearchy in terms of both quality and price. Thanks to the horrible economy good values are available now in high quality items.

We have created an entire new section devoted to Gemline backpacks on our site. Gemline has been in the industry for decades and is based in Massachusetts. Originally they offered the traditional stationary products such as padfolios and writing pads. Beginning in 2002 they started branching heavily into business cases. This year they have released innovative products such as the Contour Computer Backpack II which has the same sleak lines as a much more upscale brand offered by their larger competitor. The weave pattern they use provides a unique texture and appearance and is similar to the High Sierra look and feel. This follows with the Expedition Computer Backpack which has a neat bungee type cord across the front. If you go into any retail outlet you will see that this is the new "in" thing in the sport bag marketplace. Both of these backpacks will carry a laptop. Be careful when selecting a laptop and always lean towards buying a larger computer bag than you think your end users may need. Most modern computer backpacks are 15" or larger. There are many less expensive branded backpacks out there that will only hold a 14" laptop. Also look out for those with inferior padding. What some vendors call padding most would call 600d.

Make sure you do your research in buying a laptop bag that will reflect on your organization. Look for strong materials such as 210d or 600d polyester, thick padding and strong stitching. Also make certain the shoulder straps are adjustable and padded to avoid undue stress on the person carrying the item. Many also like to have a carry handle on the top to facilitate moving on public transportation.

Monday, September 28, 2009

Sticky Marketing Pad to Markers

We have not been as fast with the updates as we would have liked during the summer. As business continues to grow it becomes more and more difficult to spend provide information but we are going to make an effort as we head into fall. We have across dozens of new items that we believe make great choices in this tight economy and will present them in the coming days.

Sticky notes provide an opportunity at the lower end of the spectrum that is often ignored by those in marketing. Just about everyone can use them from kindergarten children to those sitting behind a desk in an office. The Sticky Book has all the benefits of the more expensive options available from places like CVS but provides a branding opportunity in the process. The Ultimate Sticky Book goes even further providing a three color imprint at the same basic price point. Both of these options are priced in a manner consistent with off the shelf prices for generic sticky notes. The latter offers Image Bonding which is a three color imprinting process available from Prime. We really like the ability to print in three colors and we believe customers once educated to the option will find it equally pleasing.

We talked about the economy cooling off as summer approached. It does appear that we are seeing at least a flat period but with the billions pumped into the economy over the last eight months we have to wonder whether or not the next shoe is getting ready to drop. Likely it will come down to the strength or lack of strength this holiday season in retail sales.

Friday, May 15, 2009

Cooling Off as the Economy Stutters

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.

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.