ADVERTISEMENT

NEWS STORIES Supplier Sales Up 4.5% In Q1 Retailers Act To Boost Bangladesh Safety BIC Board Meets In U.S. Counselor's How-To Minute: Improve Customer Loyalty The Joe Show: File It Away Small-Business Optimism Up in April ASI Radio: Build Your Personal Brand Last Chance: Vote For The Industry's Best-Designed Products In The News People On The Move THE ASI SHOW! HELP WANTED SHARE PROMOGRAM

ASI NEWS Experience the New ESP Web® A major upgrade for ESP Web features dramatically proactive tools that help distributors work smarter, faster and easier. Find out more. ESP Web® Presentations Tool Debuts Designed to empower distributor sales reps, impress clients and streamline the shopping experience. Find out more. ESP WEBSITES ASI welcomes the following suppliers to the ESP Websites network. Find out more. ASI STORE Find, review, and purchase the latest exclusive ASI products... Find out more.

ADVERTISEMENT

Supplier Sales Up 4.5% In Q1
Industry supplier sales rose 4.5% in the first quarter of 2013, reaching $2.5 billion overall, according to new data released today by ASI. The increase marks the thirteenth consecutive quarterly jump in sales. "I believe that there is money that has been in a holding pattern in various marketing budgets that is now coming off the sidelines into the promotional market," said Brandon Mackay, president of SnugZ USA (asi/88060).

About 43% of respondents reported an increase in Q1 revenues, while 29% reported a decrease – the smallest percentage of suppliers acknowledging lower sales in five quarters. Both large (more than $10 million in annual sales) and smaller suppliers reported year-over-year gains in sales, with the latter generating a greater average revenue increase (5.1%). That breaks a recent trend, as in most of the last eight quarters, larger suppliers posted higher percentage growth.

More than one-half (57%) of suppliers expect their sales this year will be higher than their revenues in 2012. Smaller suppliers, in particular, were more optimistic with their individual 2013 forecasts, with 59% anticipating strong sales. A year ago, 75% of larger suppliers believed they would realize greater sales in 2012. For 2013, 50% of larger supplier firms are forecasting sales gains. "I see substantial growth for our company and for the industry with sales increasing steadily as the year progresses," said David Miller, president of Chocolate Inn/Taylor & Grant (asi/44900). "Corporate America is flush with money."  

So far in 2013, distributor sales are increasing at a faster clip than supplier sales. Last month, Counselor reported Q1 distributor revenues increased 5.7%, a total year-over-year gain of $214 million.

ADVERTISEMENT

Retailers Act To Boost Bangladesh Safety
In the wake of last month's factory collapse in Bangladesh that killed more than 1,100 workers, a host of retailers have signed a safety agreement that mandates inspections, training and even repairs at garment factories in the Asian country. Yet, resisting pressure from consumer and human rights groups, the world's largest retailer, Walmart, has announced it will not sign the Bangladesh pact, opting instead to conduct its own safety inspections.

The results of the Walmart inspections, which will be conducted by independent auditor Bureau Veritas, will be posted on the retailer's website. In addition, the Bentonville, Arkansas-based company said it will halt production immediately where serious safety concerns are discovered and threaten to remove factories from its supply chain unless improvements are made.

"At the end of the day, it will be up to the large global buyers like Walmart to effect change," says Robert Fiveash, co-owner and president of Brand Fuel (asi/145025). "They must not only demand certain conditions, but also be willing to leave if those conditions aren't met – even if that means their costs increase." 

Walmart and Gap have resisted signing the Accord on Fire and Building Safety in Bangladesh because the pact is legally binding, poses liability issues and requires retailers to underwrite necessary improvements. However, Walmart says it will bear additional price burdens because "the cost of safety improvements will be reflected in the cost of goods we buy," Rajan Kamalanathan, Walmart's head of ethical sourcing, told the Wall Street Journal.

Walmart has been linked to an apparel factory inside the building that collapsed at Rana Plaza. The New York Times procured documents showing work orders from a year ago for Walmart, but the company says it was not involved with the factory at the time of the tragedy. On Tuesday, the Bangladesh government halted its rescue efforts after 20 days of searching through the rubble. Officially, 1,127 workers were found dead, with another 2,438 found alive.

ADVERTISEMENT

BIC Board Meets In U.S.
BIC Group's board of directors recently met in Minneapolis and reaffirmed its commitment to the ad specialty industry following a trying stretch for its promotional products division, BIC APP. "Our commitment to BIC APP and the industry remains strong," said Bruno Bich, BIC's chairman, in a statement. "We know that there have been service issues due to the recent reorganization and ERP implementation, and we apologize for the inconvenience it created for our customers. However, I am confident we will prove ourselves again to be a top supplier with impeccable service."

The meeting, which was hosted by Counselor Top 40 supplier Norwood (asi/74400) & BIC Graphic North America (asi/40480), took place late last month. It included tours of the Norwood & BIC Graphic facilities in Red Wing and Sleepy Eye, MN. "We were very pleased to see the U.S. promotional products operations firsthand," said Bich. "The complexity of the variety of technologies and products is truly impressive. The plants were well organized and the employees we met showed tremendous enthusiasm and pride."

The BIC Group board of directors meets six times every year, occasionally visiting an operations site. Besides Bich, the board consists of CEO Mario Guevara, several Bich family members and top executives of other companies. In its latest public notice, BIC APP, the parent division of Norwood & BIC Graphic, reported that its 2013 first-quarter sales decreased 11.2% on a comparable basis.

ADVERTISEMENT

Counselor’s How-To Minute: Improve Customer Loyalty
In a video report, Counselor presents a business strategy video each week that focuses on how firms can overcome a specific challenge, make a key decision or rise to the occasion on an opportunity in front of them. In this episode: How to keep customers coming back.

What’s one thing every business owner can do to connect better with clients? Should you offer sharp discounts if you’re just starting out? What two words can completely change a customer’s experience?

In a quick, minute-long video, Counselor Senior Editor Dave Vagnoni walks viewers through three simple steps they can take to make customers more loyal. Click here to watch.

ADVERTISEMENT

The Joe Show: File It Away
In this episode of The Joe Show, Managing Editor Joe Haley showcases Counselor Product Design Award finalists in the meeting products category. Looking for a fun item that’ll spark creativity or break the ice? Been searching for stylish and functional journals? Need a way to sweeten an event? Check out the video.

Click here to watch another brand-new episode of The Joe Show.

Want more videos? Subscribe now to our YouTube videos.

Small-Business Optimism Up in April
The April report from the National Federation of Independent Business (NFIB) shows increasing optimism among business owners, although many still have concerns about a consistent economic recovery. NFIB's latest Index of Small Business Optimism rose 2.6 points to 92.1, just above the recovery average of 90.7. April was a positive month for job creation, as small companies reported increasing employment. This is the fifth positive sequential monthly gain. The net percentage of all owners reporting higher nominal sales in the first quarter of 2013 compared to the fourth quarter of 2012 rose three points. This is the best reading in 10 months.

Earnings trends have been on an upward trajectory, as higher compensation was reported by 19% of small employers. A net 9% of owners plan to raise compensation in the coming months. "I think business has no place to go but up, and even warm leads are becoming hot," says Nina Shatz, director at Red Ball Promotions (asi/346567)."Vendors have been putting out some great deals to help us sell, so it's a win for everyone." However, Shatz is concerned about keeping momentum going throughout the summer, when things often slow down.

Noel Garcia, managing director for Counselor Top 40 distributor Boundless Network (asi/143717), has also seen business on the uptick. He's pleased with his sales, as he's seeing a healthy increase from 2012. "Our company saw a 23% revenue growth from Q1 2012," he says. "However, I think we still need to be cautious. There are plenty of reasons we could easily slip back into a recession. In the advertising specialty space, we need to continue to get creative with adding more value to our clients and capturing opportunities outside of our traditional business."

ASI Radio: Build Your Personal Brand
On Tuesday’s ASI Internet Radio Show, the hosts interviewed Boundless Network (asi/143717) vice president Brad White to get his take on how a strong personal brand can translate into greater sales. Plus, our editors gave callers advice on how to develop their sales identity, get noticed and become an expert to clients. Click here to listen to the call-in segment.

If you missed the show, a recording is now available at www.asicentral.com/radio. And, don’t forget to join us on Tuesday, May 21, for our next ASI Radio broadcast. Log on to www.asicentral.com/radio at 10:30 a.m. ET to check it out.

Last Chance: Vote For The Industry’s Best-Designed Products
The results are in: Counselor magazine has selected the finalists for its annual Product Design Awards. Here’s where you come in. Please click here to vote for the products that YOU think are the best designed, considering both aesthetic appeal and functionality. You can select up to three products in each of the 14 featured categories. It only takes a few minutes, and your input is very important to us.

The winners will appear online (www.CounselorMag.com) and in the August issue of Counselor. Thanks very much for your help. Click here now to vote.

In The News
Broder Bros. Co. (asi/42090) and Imprints Wholesale (asi/62486) recently co-hosted an open house at Sports Authority Field at Mile High in Denver, CO, on April 19. There were 45 vendors and over 1,250 in attendance.

Discount Labels (asi/49890) has launched a new Instant Online Price Quote tool at www.discountlabels.com. The tool allows distributors to access catalog products and net pricing 24/7, customize quotes and more.

Hanes Imagewear (asi/59528) has announced that screen printer The Graphic Cow (asi/213007), located in Greenville, SC, has been inducted into the Hanes Beefy-T T-shirt Hall of Fame. Founders Dave Carter and Clayton Hunt joined co-owner and president Jim Hendrix at a celebration event at the company’s plant in Liberty, SC, where they received the 2013 Hall of Fame award.

InnerWorkings (asi/168860) has been named Vendor of the Year by Advance Auto Parts. The criteria for the award includes overall excellence of service, superior achievement in reaching both savings and SLA targets and successful scorecard performance ratings from both marketing and procurement.

Motivators Inc. (asi/277780) recently honored Marie Giattino, a member of the company’s accounting department, who celebrates more than 30 years with the company this year. Giattino will also turn 80 on May 17.

Newton Manufacturing (asi/283300) received Best of Category in Special Event and the second place award for Nonprofit Marketing at the recent NOVA Awards, hosted by the Iowa chapter of the American Marketing Association.

Points of Light (asi/78825) will debut its new Essentials line at Expo East in Atlantic City, NJ, from May 20 to 22.

World Emblem International (asi/98264) now offers High-Visibility Striping that can be added to work uniforms. Contact customer service at 800-766-0448 for more information.

People On The Move
Alstar Creations (asi/34800) has announced that Eugene Hsueh has joined parents Alan and Irene, owners of the company, as director of operations.

Club Colors has hired Jason Temme as corporate sales manager and Heather Yoshimura as corporate marketing specialist.

Goldner Associates (asi/209800) has hired Sabrina L. Kite as an account executive in the Atlanta market.

Summit Group (asi/339116) has named Larry Peckler as director of distribution at the company’s Itasca, IL, distribution and warehousing facility.

ASI SHOW

REGISTRATION FOR THE ASI VIRTUAL TRADE SHOW IS NOW OPEN
Wednesday, June 12 • 10 a.m.-3 p.m. ET

Register today and plan to attend the ASI Virtual Trade Show for FREE on June 12. From the comfort of your own office, you'll be able to stay up on the most current trends while finding out-of-the box ideas to meet your clients' needs. Here’s what you’ll find …

VARIETY: From pens and mugs to apparel and gifts – find what your clients are asking for.
PERSONAL CONVERSATIONS: Discuss client projects with top suppliers.
NEW INITIATIVES: Take part in ASI Education to boost your sales.
SNEAK PEEKS: See early arrivals for the all-important fourth quarter.
RESOURCES: Find the latest catalogs, sales sheets and white papers.
NETWORKING: Join your colleagues in the Virtual Lounge.

Boost YOUR sales without ever leaving your office, or missing a client’s call, when you attend the ASI Virtual Trade Show on June 12 from 10 a.m.-3 p.m. Register today at www.asivirtualtradeshow.com.

Follow us on Twitter and like us on Facebook.