Counselor® PromoGram®
Volume 690 / February 25, 2010
Click here to read this and past issues online.

ASI San Diego Show Update
The ASI Show in San Diego opened yesterday with a full slate of education and networking sessions. Counselor’s cameras were all over the scene, interviewing speakers and talking to show attendees. In this special edition of ASI Show Update, we speak to one Education Day sponsor, a panelist from a session on hot markets to target, and attendees at the Women’s Networking Reception.

Click here to watch the first installment of ASI Show Update. And stay tuned to Counselor Promogram for more updates from the ASI Show in San Diego.


ASI NEWS


What's Your Distributor Credit Score?
Learn why credit terms are so integral to today’s business climate.

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Easily add professional video to your LogoMall Website and design and send email marketing campaigns to customers.
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ASI STORE
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Video Report: New Products From San Diego
Advantages Editor Kathy Huston scoured the Advantages New Product Showcase booth yesterday looking for some cool new items on the market. Click here to watch the Day One episode of Kathy’s Korner.



Winning Big-Time Business
Danny Friedman, vice president of Added Incentives, had some great tips for working with lawyers, accountants and other professional sectors yesterday at his education session, titled Become a Professional Services Master.

While there is plenty of competition for these coveted accounts, you will separate yourself through your service, coming through for your clients, and your ability to quickly come up with unique and creative ideas. Another thing is to become a “human Daytimer,” Friedman says, and call your clients monthly to ask if they have any promotions coming up and how you can help. All this creates credibility.

“The main thing is not to be intimidated by the big guys,” Friedman says. “They are no more important than you. Never feel like they’re doing you a favor. And, most importantly, don’t take business personally.”


Green Terms Decoded
Eco-friendly apparel is poised to make comeback, predicted Marc Held in the session titled “Green Terms A-Z” at yesterday’s Education Day at the ASI Show San Diego. “In the past two months I’ve had more quotes and requests for organic than the past two years combined,” said the national sales director for Bodek and Rhodes (asi/40788). Why? Held believes that green apparel has been in “hibernation” the past two years because of the economy, with clients liking the ideas behind it but hesitating at the higher prices it carries. He expects the category will thrive again this year as clients open up their marketing budgets.

Held covered four major eco-friendly categories: organic, transitional cotton, recycled fibers and bamboo. He said the demand for organic cotton is so strong that farmers in the U.S. can’t switch over fast enough to meet it (it normally takes three years to switch to an organic farm). He covered a multitude of markets that are interested in green apparel and suggested key techniques to upsell it, such as including an organic shirt as a thank-you gift with a large order. “If you don’t mention it, they’re never going to know you offer it,” he said.

Wearables Editor C.J. Mittica caught up with Held after the session. Click here to watch the interview.



Internet Key To Capturing Teen and Tween Market
Media Tree (asi/70303) President Rob Watson gave a spirited presentation titled Hot Niche Markets: Teens, Tweens and Twentysomethings. Watson says teen spending is expected to grow to $151 billion by 2011. “You need to discover cool and hip products that engage this demographic,” he says. “This age bracket spends 164 minutes a day on the Internet, and more than 25% of this audience spends money online.”

Watson also said that the Internet is the primary source of entertainment for this age group. Because of the high usage of the Internet, Watson said using creative ways to engage this market is vital. “You can increase online response rates by giving a free gift instantly for participating in a sweepstakes,” he said. “Teens and tweens like to feel in control and the number one premium with this age group is music.”

Philanthropy is another area that teens and tweens are big on. “People like to feel like they’re part of something bigger than themselves and want to give back,” he says. “They have high disposable income and they’re the future.



A Woman’s Point Of View
Woman attendees at the ASI Show San Diego gathered from near and far – even Jamaica -- at the Women’s Networking Reception last night. Hosted by Rosalie Marcus, a.k.a. The Promo Biz Coach, the event was created to help women in the ad specialties industry gain perspective and advice from their peers.

Check out the ASI Show Update video above to see interviews with attendees at this lively and interactive event.



The Catalog Doc Will See You Now
During Education Day yesterday, ASI marketing guru Tom Augeri (aka, The Catalog Dr.) met with suppliers to discuss ways to improve the effectiveness of their catalogs. Counselor Managing Editor Joan Chaykin caught up with one supplier immediately after she met with the Catalog Dr. to find out what she learned and how her company will shift its catalog strategy moving forward.

Click here to watch the interview.



Halo Acquires Relay Gear
Counselor Top 40 distributor Halo/Lee Wayne (asi/356000) has announced the acquisition of Ohio-based Relay Gear, LLC (asi/306686), which specializes in fulfillment programs for non-profits. Financial terms of the deal were not disclosed. Relay Gear's sales team will join Halo, eventually selling under the Halo Branded Solutions label. "We have had great success partnering with distributor companies with a strong regional presence and, in the case of Relay Gear, a strong national presence in a niche market," said Jim Stutz, Halo executive vice president of sales. "They are poised to use our financial and operational strengths to grow their successful business model."
 
Relay Gear, which generates annual revenues of $5 million, employs a sales team of six people, as well as additional support staff. Per the deal, Relay Gear's sales office will remain in Columbus, OH. "Our clients' needs were growing increasingly complex," said Bob Southard, Relay Gear partner and vice president. "Halo/Lee Wayne will allow us to offer robust fulfillment and merchandising solutions to better serve our clients."



Norwood To Relocate And Consolidate Operations
Counselor Top 40 supplier Norwood Promotional Products has announced it will consolidate some manufacturing operations and move its administrative offices to Clearwater, FL, where recent acquirer BIC Graphic USA (asi/40480) is headquartered. Among the consolidated sites will be Norwood’s San Antonio facility, where 345 people are employed. “This has been a long process and a collaborative effort between Norwood and BIC Graphic,” said Paul Lage, Norwood president, in an interview yesterday with Counselor. “This was about understanding our assets and putting ourselves in a position to provide the best products and best customer service possible.” 

At the Indianapolis location, 99 employees will be offered a relocation package to help them if they choose to move to Florida, while severance will be offered to those who decide not to move. According to Lage, Indianapolis-based employees have so far shown “a lot of interest” in relocating, although he admits it is “not realistic” to expect all of Norwood’s administrative personnel to move to Florida. Lage also admits the consolidation plan will create a fairly substantial loss of jobs among Norwood employees, although San Antonio-based workers will be considered first for open jobs at other manufacturing sites. “There will be opportunities in other facilities, at both Norwood and BIC Graphic sites,” Lage said.

The San Antonio facility, which manufactures drinkware, bags and outdoor products, will close by the end of 2010. However, according to Lage, all Norwood products, including koozies and Air-tex items, will continue to be manufactured at other locations. Norwood will also honor all catalog commitments, while maintaining its brand and sales force separately from BIC Graphic. “Our goal is to create the most customer focused and cost efficient organization in the industry,” said BIC APP CEO Nicolas Paillot. “The decision to close these two sites has not been easy and is not a reflection on the dedication or performance of our employees.”

Norwood, which moved its headquarters from Texas to Indiana in 2003, was purchased by BIC Graphic USA last summer for $162.5 million.


Roy To Leave Accolade Reaction
Counselor
has learned that Marc Roy, president of Top 40 distributor Accolade Reaction Promotion Group (asi/102905), has resigned and is finishing his 25-year run at the Canadian company this week. Roy, who sold Accolade to retail giant Golf Town Canada Inc. two years ago, now plans to focus on other business opportunities, including a sporting goods store he owns. “I had a great time in the ad specialty industry and made great friends,” Roy said this week, in an exclusive interview with Counselor. “I have little to no regrets. It’s time for me to slow down and take some time off. It has been fun to watch the company grow.”

One of the original founders of Accolade, Roy grew his company into one of the most successful distributors in the industry, reporting sales of $60 million in 2008, a 35.5% year-over-year revenue increase. Roy, who’s been president of Accolade for the past decade, was also named to Counselor’s Power 50 list in 2008 and 2009. “I feel like I’m leaving the company in a good place,” Roy said. “We’re coming off a fairly positive year where sales were just slightly off from 2008.”

Golf Town has hired Roy’s replacement from outside the ad specialty industry, naming Dan Craig to the position of general manager for corporate sales, effective March 8. Craig, who most recently worked as a vice president at Cadbury, will oversee operations at Accolade and corporate sales at Golf Town. “Dan is a strategic leader who has a proven track record for driving sales and results through strong team building and mentoring,” said Stephen Bebis, Golf Town president and CEO, in a statement. “We are excited to have his skills on board in order to lead our corporate sales and promotional products teams.”



ASI SHOW

The following are the dates and locations for The ASI Show in 2010:
San Diego: February 24-26
New York: May 4-6
Chicago: July 13-15
Plus, don't miss the ASI Advantages Roadshow, the industry's #1 traveling show. Visit www.advantagesroadshow.com for the complete schedule and go to www.asishow.com for information on all ASI Shows.


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