Former Supplier Implicated In Alleged Scam
The owners of a recently de-listed ASI supplier firm have been charged with theft, mail and computer fraud and money laundering after allegedly scamming customers out of approximately $400,000. Operating under the company names of Iconic Concepts and Bellamax, Marco Maggiore and Lloyd Morris offered Titleist Pro V1 golf balls with imprinted logos for $12 per box, according to law enforcement authorities in Lake County, IL. The balls, which usually sell for at least $40 per dozen, were never delivered. "Marco plans to fight this," said Mike Nerheim, Maggiore's attorney, in an exclusive interview with Counselor. "I can't say much about this for now, but I believe this is more of a civil case than a criminal case."

Besides allegedly scamming a host of charities, corporations and individuals, police say Maggiore and Morris also conned pro shops at golf courses into ordering large quantities of Titleist balls without reimbursement. In addition, according to a spokesperson for Acushnet Company, which owns Titleist, Maggiore and Morris sent e-mail blasts to entice potential customers to place orders, demanding payment upfront. "We are very diligent about protecting our brands," says Lisa Rogan, trademark manager for Acushnet. "When we began to see suspicious activity, we started our own investigation."

Acushnet's investigation lasted several months, paralleling a police probe that's uncovered at least 88 victims, including one shop that was allegedly swindled out of $30,000. Police say the accused created a fictional employee named Larry Phillips to handle sales and customer service calls. If a customer did manage to reach Maggiore or Morris, the pair allegedly provided false tracking numbers for orders that had been placed.

Through the investigation, police have seized a bank account containing $8,000 to $10,000. A judge has barred Maggiore and Morris from using the Internet while the case is pending. Illinois-based Iconic Concepts was de-listed from ASI in June for non-payment. Several ASI-listed suppliers continue to provide Titleist brand golf balls.

Ad Specialty Sales Grow In Canada
A new study shows ad specialty sales in Canada increased by an average of 7% annually during 2007 and 2008, reaching a total of nearly $4 billion. The study, commissioned by the Promotional Product Professionals of Canada (PPPC), also highlights the not-for-profit sector as the leading purchaser of promotional products according to respondents.

"We are very satisfied with this indicator, considering the overall performance of the Canadian economy," said Lynda Gallant, PPPC chairperson. "While this represents a drop from the 13% compound annual growth rate our industry has enjoyed for the last 15 years, it is still indicative of the growing popularity of promotional products as effective marketing and communications vehicles."

Gallant cites the flexibility and effectiveness of promotional products as the reason industry sales continued to grow in 2008 despite the recession. "There is a product at the right price point for every target audience in every situation," Gallant said. "They are gifts that people like to receive and they use."

The PPPC report shows that wearables account for 30% of sales, followed by writing instruments (9%) and drinkware (7%).

The biennial survey, conducted by the Association Resource Centre Inc., an Ottawa-based consulting firm, measures sales, economic activity, employment and other aspects of the promotional products industry in Canada. 

Black Friday Yields Mixed Results
Nearly 200 million people shopped in stores and online this past holiday weekend, but total spending was flat compared to the same timeframe last year, according to a survey released yesterday by the National Retail Federation (NRF). On average, consumers spent 8.5% less per person this year on Black Friday weekend, a product of deep discounts and fewer purchases of electronics. "Shopper traffic well surpassed our expectations," said Scott Krugman, NRF vice president. "We still have double-digit unemployment, we still have trouble in the housing market and consumers are still very cautious. Retailers are going to have their work cut out for them in terms of keeping the momentum going."

The NRF survey shows department stores enjoyed the most success in sales on Black Friday, followed by discount stores and retail outlets. Apparel was the top-selling item, beating out books, DVDs and video games. A growing number of shoppers spent money this year on toys, sporting goods, leisure items, beauty products and gift cards. Early deals generated significant shopper traffic, with 31% of respondents saying they arrived at stores by 5:00 a.m., up from 23% last year. Sales varied greatly by region, with shoppers in the West spending 4.7% more than last year and shoppers in the Northeast spending 4.9% less, according to a separate survey from ShopperTrak, a research firm.

Tuesday Morning Radio Show Live On The Air
Every Tuesday morning from 10:30 a.m. eastern time to 11:00 a.m., a team of ASI editors debate the most important topics facing the industry. We also, of course, offer our own off-beat look at the market. This morning, we looked at how to get the most of e-mail marketing, provided 10 ideas for saving the company holiday party, and debated whether people should buy from their friends. Plus, we even took questions from callers looking for creative ways to thank their clients this holiday season.  

If you missed the show, don't worry. A recording is now available at www.asicentral.com/radio. And, don't forget to join us next Tuesday, December 8, for our next broadcast. Log on to www.asicentral.com/radio at 10:30 am eastern time and give us a call at 215-953-4979.

ASI Announces New ESP Products
ASI announced yesterday that it is launching two all-new ESP products: ESP Web and ESP Orders. The services are available using standard Internet browsers, including Microsoft's Internet Explorer, Mozilla's Firefox and Apple's Safari, allowing for instant access anytime and anywhere to products, supplier data, orders and customer information.

"These new programs will revolutionize how distributors do business," said Timothy M. Andrews, president and CEO of the Advertising Specialty Institute. "ESP has received a total makeover that includes instant access from any browser. Another new feature is our order management system, ESP Orders, which allows distributors to communicate electronically with suppliers by creating online sales orders, purchase orders and invoices. Suppliers will also love the new ESP Web, since distributors are able to find products and place orders faster no matter where they are. Order errors are greatly reduced, as suppliers and distributors take advantage of the industry-standard screens found in ESP Orders."
  
In development for almost one year, demonstrations of the products will be available at all ASI Shows, including Orlando, Dallas and San Diego. ASI expects to rollout the services in the first quarter of 2010. ESP Web includes features that will increase sales and productivity for distributors:

• Intelligent search engine that helps distributors quickly identify the right product and price and makes suggestions for similar products. Known as "guided navigation," it is similar to searching on major retail sites, like Barnes & Noble and Home Depot.
• New end-buyer presentation tool that allows for total customization.
• Streamlined, modern interface, where information and functions are presented on a single screen and users can open up new tabs right in their browser.
• Completely integrated order management module, called ESP Orders.

There are no additional costs to current ESP Online users who switch to ESP Web, and special pricing is available for ESP Orders. ESP Web will begin rolling out automatically to all ESP users during first quarter of 2010. For more information, visit espweb.asicentral.com. Users of ESP for Macs can visit espmac.asicentral.com. 

The Joe Show: 2010 New Products
Want to wow clients with the latest and greatest in ad specialty items? In this episode of The Joe Show, Counselor Managing Editor Joe Haley shows off some new products for 2010 that suppliers have showered him with recently. Check out the video, and prepare your 2010 shopping list now.

UPS Announces 2010 Shipping Rates
UPS, an ASI affiliate, has announced it will raise its air and ground freight rates by an average of 4.9% in 2010. The company also plans to adjust its fuel surcharge tables, pledging to avoid the dramatic spikes in air freight costs that have reached 35% this year. The 2010 rate changes will go into effect on January 4.

For 2009, UPS hiked rates 5.9%, the largest jump in eight years. Slowed by the recession, UPS's domestic business has dropped off considerably, while the company has faced higher costs for labor, health care and pensions. In October, UPS reported its third quarter profits fell 43% to $549 million as revenue decreased 15% to $11.2 billion. "I'm encouraged by the signs of economic recovery that are becoming apparent, although we still have a long way to go," said Scott Davis, UPS chairman and CEO. "We are managing operations well, while controlling costs and maintaining excellent service."

While UPS intends to increase rates, its chief rival, FedEx, is taking similar steps. As part of its annual hike, FedEx will increase its air shipping rates by 3.9% in 2010. FedEx has not announced its rates for ground shipments or SmartPost packages.

Call For Entries: Counselor Product Design Awards
Counselor magazine is looking for innovative products for its Product Design Awards competition. Suppliers are invited to nominate their favorite eye-catching products in the following categories:

In order to enter, please submit the following three items: 1. A sample of the product. (We recommend that the product be exclusive to the supplier that is submitting it, although this is not a requirement.); 2. A quick description of the product, including any special features; 3. The category that the product should be considered for. There is a limit of one submission per category, per company. All submissions will be judged on the following areas: design appeal, functionality and the ability to attractively feature a logo (when appropriate). Winners will be featured in the June issue of Counselor.

Please send all entries to: Karen Akers, Awards Editor, Counselor Magazine, 4800 Street Road, Trevose, PA 19053. Questions? E-mail Karen Akers at kakers@asicentral.com. Please note that only products from North American suppliers will be considered and that submissions will not be returned unless specifically requested.

Prepare For 2010: Free Webinar This Week
Looking for trends to be aware of as you prepare your business for 2010? Come to our free, live educational webinar this Thursday, December 3, from 2 p.m. eastern time to 3 p.m. Moderated by Michele Bell, editor of Supplier Global Resource and senior editor of Counselor, the event is titled Get Ready For 2010: Top Sales And Market Trends.

New Course Available on ASI Education's Online Learning Center
Be sure to register at http://www.asicentral.com/asionlinelearning for some exciting new courses available exclusively to ASI members. Brought to you by ASI Education, Online Learning is the newest and most convenient way for distributors to get educated. Here are some of the courses from our New Distributor Success Track available now:

NEW
Wearables Crash Course. In this course, you'll learn about the top five best-selling wearable categories, along with decorating and selling tips. Then, we'll give you an overview of the most popular decorating options. Plus, you'll learn about some of the hot new buzzwords in wearables, such as performance fabrics and eco-friendly fabrics. And, we'll advise you on how to find the right decorator and digitizer. Finally, suppliers are eager to help you show your clients how their logo will look on apparel, so that's where samples can be key to getting that sale. By the end of this course, you'll be on your way to selling even more wearables, which make up 30% of the $20 billion in annual ad specialty sales.

Course Track: New Distributor Success
* Nailing Down the Basics
* Marketing Your New Business
* Steps to Selling Success
* Creative Case Studies
* Avoid These First-Year Pitfalls
* Managing Your Business
Coming Soon:
* Building Profitable Client Relationships

In The News
ActNow Media Inc. (asi/31015) has announced that its AquaPad liquid-filled mouse pads recently received safety verifications from both the CPSI (U.S. standard) and the DIN EN (international standard).

Right Sleeve Marketing Inc. (asi/308922) has announced that its president, Mark Graham, recently met with Michael Dell and other Dell Inc. executives during a two-day trip to Texas. Right Sleeve management was invited to attend the education-based event after the company was named the Canadian national winner of the Dell Small Business Excellence Award.

The Leslie Company (asi/67120) recently held a food drive, collecting 326 lbs. of canned foods, boxed foods and other items. Employees donated the items and $500 in cash to the Harvesters food bank in Kansas City.

People On The Move
APF Marketing (asi/30214) has hired Jules Scheck Associates to provide sales representation in the Northeast U.S.

Image Source (asi/230121) has added Lisa Mummert as a senior account executive and Mary Wiese as program manager.

Newton Manufacturing (asi/283300) has announced that Steve Palmer has joined the company.

Polyconcept North America has selected Joel Kaufmann to represent all three of its brands – Bullet Line, Journalbooks and Leed's – in the Midwest U.S.

ASI SHOW

THE FREE REGISTRATION DEADLINE FOR ASI ORLANDO IS JUST ONE WEEK AWAY
The free registration deadline for ASI members for The ASI Show Orlando (January 3-5, 2010), the industry's first event of the year, is Monday, December 7. Featuring top suppliers, best-in-class education and around-the-clock networking — such as ASI's 2010 Fashion Show, Women's Networking Reception, Counselor Distributor Choice Awards and the Gala Celebration at Universal Studios — The ASI Show Orlando is THE place to kick off the start of the new sales season.

Plus, due to popular demand, additional seating has been added to the Keynote by General Colin L. Powell, USA (Ret.) on January 5 at 8 a.m. Come see a true American hero and one of the most admired men on the world stage.

Register today at www.asishow.com for The ASI Show Orlando. ASI distributor and decorator members can also receive up to $100 toward a hotel room.

ASI DALLAS — THE LARGEST SHOW IN THE SOUTHWEST
The ASI Show brings its innovation and fun to the Lone Star State on February 1-3, 2010. The ASI Dallas Show will feature 600 leading suppliers, thousands of new items, more than 55 free education sessions and daily networking — including the acclaimed Ultimate Texas Bash featuring the best barbeque in Texas.

On Wednesday, February 3, all Show-goers are invited to attend an interactive Keynote by Dale Denham, entitled Build Your Brand & Your Business with Social Networking, from 8 a.m.-9:15 a.m. Whether you are a social media expert or someone who doesn't know a tweet from DIGG, you'll leave with straightforward, actionable opportunities to increase your sales.

Register today at www.asishow.com for The ASI Dallas Show. ASI distributor and decorator members enjoy free admission and can receive up to $100 toward a hotel room.

THE ASI SHOW IS HEADED TO THE WEST COAST
Excitement is building for the brand-new ASI Show San Diego (February 24-26). Timed in the first quarter, ASI San Diego is the perfect place to find new products, catalogs and pricing for the start of 2010. Featuring leading suppliers, such as BIC Graphic, Prime, Hit Promotional Products, Bodek and Rhodes and Sweda, cutting-edge education and non-stop networking, ASI San Diego will be a sales-building event like no other — including a FREE Keynote by motivational guru Tony Robbins on February 26 at 8 a.m.

Plus, ASI San Diego will be taking over the ever popular Stingaree Nightclub for its Gala Celebration on February 25. Set in an historic warehouse, Stingaree's state-of-the-art facility features three floors, including a Rooftop Oasis (the perfect surrounding for networking). (ASI members can order discounted tickets.)

Join the excitement and register for ASI San Diego at www.asishow.com. ASI distributor and decorator members enjoy free admission and can receive up to $100 toward a hotel room.

Follow The ASI Show on Twitter and become a fan on Facebook today!

The following are the dates and locations for The ASI Show in 2010:
Orlando: January 3-5
Dallas: February 1-3
San Diego: February 24-26
New York: May 4-6
Chicago: July 13-15
Holiday & Incentives Expo, Las Vegas: September 14-16