Promo Products Rule ROI
By Jennifer Vishnevsky, Research by Larry Basinait
February 2011

At a half a cent, advertising specialties are less expensive per impression than most other marketing media. The pass-along rate is similarly exceptional. If you’re looking for ways to prove value to prospects and existing clients, we’ve got exclusive data for you to present.

Promotional products rock – seriously. You already knew about the power of ad specialties, but now we’ve got some solid proof. And what’s better than facts when you’re prospecting?

During July and August of 2010, businesspeople around the world were interviewed regarding promotional products they had received. The results were compiled in the Global Advertising Specialties Impressions Study, a cost analysis of promotional products vs. other media. Information was collected through in-person interviews with businesspeople in U.S., Canadian, Australian and British metros.

The study contains information on specific products, gender and ethnic preferences. If you’re in Los Angeles, for example, you may already have a leg up – respondents in the City of Angels owned the highest average number of promo products, 12.7.

So go ahead, start including these statistics in your marketing and social media campaigns. It’s time to spread the knowledge to your customers and prospects about ways that ad specialties can increase sales and brand exposure.

The Buzzword Is ROI

In the U.S., the cost-per-impression of a promotional product is half a cent ($0.005). To sum it up, promo products are less expensive than TV, national magazines and radio. When you’re pitching to your clients, you should start every conversation with this phrase: half a cent. Most importantly, if you’re looking to make a quick impression, drop the ROI figure to resonate with your potential customer. “The beauty of promotional products is that it’s active branding vs. passive branding. You’re actually interacting with the brand as opposed to reading a magazine or watching TV,” says Jeff Scult, CEO of Golden Goods (asi/57695).

Every customer is looking for ways to get a return on their investment. Now, distributors can show that even small clients can have a great return. For a modest investment, a small company can obtain the type of exposure normally reserved for large companies with significant advertising budgets. “I would tell my prospects that the potential return on investment is significantly higher and the cost of impression is significantly lower. If you’re paying for a Super Bowl commercial, you’re going to hit a lot of people, but you won’t be able to track return like a promo product. You could be spending a lot of money without knowing what your return is,” says Seth Weiner, owner of Sonic Promos (asi/329865).

For Dana Zezzo, vice president of sales at Pro Towels Etc. (asi/79750), one of the ways to prove the ROI of promotional products is to use clean, simple facts. “When a customer asks us why they should buy towels, we provide the answers in the beginning of the sales process. One size fits all,” he says.

For George Ludwig, president/CEO of GLU Consulting, proving the value of promo products is all about asking the right questions. First, he would ask his prospect about their overall promo/marketing strategy and how it’s working. “If they respond that it’s not very good and they are spending a lot of money without seeing any results, I’d follow up by asking what they’re currently doing,” he says. Once the potential customer responds that they’re using TV, magazines or radio, he would provide a different marketing campaign with a much less expensive cost-per-impression. “I’d pull out the statistics to show the data from the study, which would hopefully raise eyebrows. Then, I’d share a story about someone who used TV at a much higher cost-per-impression and eventually switched to promotional products,” he says.

The Message Gets Heard

One of the major roadblocks that salespeople run into is when skeptical clients want to know if their promotional product will get used and remembered. Here’s your response: In the survey, 83% in the U.S. indicated that they could identify the advertiser on the promotional item they owned. The next time your prospect asks about buying an order of pens, you can respond that the end-user will be able to identify the advertiser. “If an item is placed correctly, they will remember your name. Pens receive more than 10 impressions a day. That’s important to explain to your client,” says Weiner.

All marketers want to be able to recognize the people that they give items to, who they are marketing to and who hears the message. This fact clearly shows that recipients get the message loud and clear. “Promo products constantly prove the value of our recommendations. They turn a skeptical person into a client,” says Cathy Lapico, CEO of Group 55 Marketing.

As a follow-up, 60% of U.S. respondents indicated that they have done business with the advertiser after receiving an item. It’s a complete  upside  –  not only is  the  message   getting heard, but you have the residual effect of follow-up business.

They Really Like You

Not only does everyone like freebies, but they also change user opinions. In the study, 41% of U.S. respondents indicated that their opinion of an advertiser was more favorable after receiving a promotional product. Since the benefit is so clear to end-users, they are more aware of the sponsor on the product and they are able to create a positive impression of the sponsor, as they find value in the item each time it is used.
 
Positive impressions are what makes buying decisions happen. “Statistics are proof positive for clients and it’s what they expect. Anytime we start working with marketing budgets, it takes more convincing to get clients to spend. The more we can supply that positive proof, the more likely we are to sell and upsell,” says Lapico.

If clients are determining what items to use in their marketing campaigns, they want to know that customers appreciate them. People do business with companies that they know and like. This factoid points out that promotional products can help create a positive impression among your customer base.

For Weiner, the positive impression has a lot to do with feeling good about the item. “I went to Quiznos and they had their logoed bag for sale. If you buy the bag, every time you bring it in, there’s a different deal associated with it. People feel good about walking around with that item,” he says.

Where does this figure count the most? Recognition awards, trophies and plaques. Nearly two-thirds of respondents (64%) had a more favorable view of the advertiser/award giver. When you’re working on an incentive campaign, this is a key number to use with your client. If a distributor has sold incentive programs to clients in the past, now they can infiltrate other departments for new business. This strategy would work with consumer-oriented clients, as well. If you have a client looking to garner new business, suggest a customer loyalty program with trophies and awards.

More Than First Impressions

Impressions are calculated by multiplying the number of times an item is used by the number of people that see the item. Bags have the highest number of impressions in a month – over 1,000. Wearables as a group generates the highest number of impressions in the U.S.

One person who knows about the reach of wearables is Connie Mandula, owner of CM Promotions (asi/154919). Mandula’s spin-off company, Silver Wings Merchandise, offers trendy apparel styles for clients in the country-music industry. When she heard that T-shirts are the second-most commonly owned promo product in the U.S., she wasn’t surprised.

“There’s nothing better than great T-shirts. We’re trying to design shirts that will become somebody’s favorite,” Mandula says. “Before, most of the shirts at concerts were ones I’d wear to the gym or sleep in. Now we can provide more of a fashionable, retail look.”

A high number of impressions is also a key factor in upselling. The study shows that shirts get 344 impressions in a month and are kept for at least six months, so your clients have a reason to go with better quality and more expensive items. “Distributors understand what categories seem to resonate with clients in terms of getting a sense of impressions. One of the powerful aspects of wearables is there’s no more powerful brand endorsement than a walking billboard,” says Scult.

Writing instruments are another favorite among recipients, with 437 impressions per month. When you’re pitching a small order to a new client, be sure to address how one pen can generate thousands of impressions as it’s passed around the office or used in a restaurant. When it comes to spreading a message, your clients will be able to maximize their investment and get their message seen by more than just one person. “Clients should be putting their dollars into something that will put their brand identity out there. If their message is on a bag or a hat, you’ve got people that are using these items, and they’re walking billboards,” says Kathleen Watts, founder and president of The Brandmarket Inc.

When you’re working with your best clients, provide them with information on which items provide the most impressions. If they have recurring programs or annual marketing plans, come up with new ideas and different items to use in 2011. Since you know that bags provide the most impressions, you can arm your clients with this piece of key information. “This data helps frame the discussion around what products to focus on and provides a sense of what the lifespan of a products might be,” says Scult.

Here’s another idea you can steal: Scult recalls one savvy distributor who presented his products under a cost-per-wear analysis. “The client was in the mindset of spending $5 on T-shirts. Once they heard the analysis, they decided to pay a bit more and deliver someone’s favorite go-to fashion apparel vs. something that is off-brand and will get tossed,” he says.
 
Pass-Along Profits

The pass-along rate really shines a light on the importance of promotional products. If there’s an item the recipient doesn’t plan to keep, nearly 62% of respondents in the U.S. indicated that they give the item to someone else. Far fewer respondents (22%) said they throw it away. Therefore, the value continues after the initial giveaway. “A promotional product is not something that you would consider disposable. People feel bad throwing something tangible or useful away. It always makes more sense that if you’re going to spend $1 on a plastic bag, you could spend the same on a nonwoven bag. The perceived value is higher, so there’s less of a chance that they’re going to throw it away,” says Weiner.

For Zezzo, part of the pass-along rate has to do with ROI. “When we’re in front of audiences at education sessions, we call and ask someone, ‘When was the last time you threw away a beach towel?’ The answer is never. So what’s the ROI on never?” he says.

Be the Consultant

A major part of the study comes down to gender, ethnic and regional preferences. The best way to utilize this information is to be a consultant to your client. Your client can make more-targeted marketing efforts by choosing the correct items. “You will never be able to fully consult with clients unless you ask the necessary questions. If somebody says, ‘I’m looking for a pen,’ the majority of distributors will ask, ‘What color? How many?’ I’m going to ask what the target audience is,” says Weiner. By asking that question, he’s able to point the client in a more fruitful direction.

For instance, 36% of those with incomes under $50,000 have promotional bags, while 68% of those with incomes between $50,000 and $99,999 have writing instruments. When you’re developing a sales pitch, you can ask about who the client’s desired audience is to receive the marketing message. If your client is targeting a demographic earning $30,000, you can use this information to suggest a bag promotion. If your client gives the target audience the products they want most, then the end-user will have the most favorable impression of the advertiser.

For Watts, one of the survey’s effects is that sales reps will be better able to educate their clients. “Clients need us to be their creative agency. They are looking for us to step up to the plate and know what the best items are for them to get their message out there,” she says.

Jennifer Vishnevsky is a staff writer for Advantages. Larry Basinait is executive director of research services at ASI.

Make a Splash in Unusual  Places
By Alex Palmer
January 2011

When salespeople go looking for new business, they usually try the typical tactics: hobnobbing at networking events, canvassing the offices of big companies in the neighborhood, or picking up the phone to call clients about possible referrals. You might not think pool parties or poetry readings (in cowboy hats, no less) would come into play ... but you would be wrong. 

For Tim Larson, owner and president of Skyward Promotions (asi/328465), the Chrysler assembly plant in Rockford, IL, was the holy grail of sales in his region: some 25,000 employees with huge potential for buying promotional products. But first he had to get through to a decision-maker. “I’d been trying to get in there for so long,” he says. “There were always so many people to get through, and so many barriers – I ran into a brick wall every time.”

It turned out the way into the plant was not through the front door, but through a rambunctious kids’ pool party he took his sixth-grade son to. While his son hung out with his friends and ate snacks around a local hotel’s pool, Larson got to chatting with one of the other parents. It was not a particularly memorable conversation, but he described the kind of work he did and they exchanged cards at the end. Apparently, he made a big splash.

A few weeks later, Larson’s phone rang. It was the assistant to the Chrysler plant’s manager who had gotten his number from a neighbor – the same woman Larson had spoken to at the pool party.

“He says, ‘I understand you do this, this and this,’ and I just said, ‘How do you know?’ ” says Larson. “Honestly, this woman had nothing to go on to recommend me. She didn’t know anyone I’d worked with or the work I’d done. I’d just told her, ‘If it wears a logo, we deal with it,’ and I cannot even tell you how much business I’ve done for Chrysler since.”

From motivational signs around the plant to lapel pins and wearables for employees to safety brochures and tally boards, Larsen has moved from one project to the next for the plant, with the manager who he originally did a banner for connecting him with four other people at the facility.

With a 500,000-square-foot expansion planned for the plant next year and Chrysler’s operating profits beating all expectations in its recent earnings report, the future is looking bright.

Dirty Business

Yvonne Morrison, president of Image Apparel (asi/229910) was horsing around when she recently scored a major client.

Specifically, her daughter was competing in a horse show in North Carolina, and Morrison took the opportunity to introduce herself to a judge. When he found out that she distributed promotional products and could do branded plastic stadium cups for events, he asked for a card. “We did a big order for him (300 cups), even though I was all dusty when we met,” she says. And she expects there will be more in the future.

Morrison’s and Larsen’s experience of finding a great sales lead through an unconventional channel is not uncommon. For an industry that creates products for all manner of events and promotions, ad specialties sales reps and distributors have found that new business can be found in surprising places if you’re willing to look for them.

The Cowboy Way

Take, as another unusual example, Wendy Vaughan, who runs OBP Promotions and Awards (asi/286314) by day. By many an evening, however, she is performing cowboy poetry, a kind of entertainment inspired by the lyrical poetry and tall tales that workers on cattle drives and ranches would improvise in the 19th century, popular in the Great Plains and Alberta, BC, region where she lives.

“I perform at places like the Cochran Historical Society or Calgary Stampede, usually for 20 minutes, or sometimes just 15 – I judge it by how the audience is responding,” Vaughan jokes.

While her cowboy poetry shows are just something Vaughan does for fun, they have also proven to be great for business. At the Tim Hortons Brier – the annual Canadian men’s curling championship – one of her performances got her in contact with a committee organizer of the event. Vaughan suggested that they consider doing silver belt buckles for participants and mount them on plaques for those less inclined to wear them. The organizer loved the suggestion and placed an order.

Another time, Vaughan was approached by a marketing manager from a major telecommunications company, and she continues to be a client. On a different occasion Vaughan started speaking with a man who turned out to be an organizer for a North American firefighters convention, who tapped OBP to work on their upcoming event.

Drew Stevens, a 28-year sales veteran and owner of Stevens Consulting Group, says that these sorts of social events are just the places that salespeople too often overlook when brainstorming where to find their next lead. “There is no reason, if you are at a social function, whether it’s a party or a ball game with your church group, that you shouldn’t get into conversations with people and let them know about the value you provide,” he says.

Stevens points to the holidays and other get-togethers with family or friends as great opportunities for sales leads that many business leaders do not take advantage of. “Everyone’s busy catching up and socializing, but ultimately work will come up, and it’s a great chance to ask about possible opportunities,” he says.

Hello, Old Friend

This outlook to networking is not limited to in-person interactions. Jason McSweeney, president of dream INK (asi/183364), admits that he is not naturally an aggressive salesman, but he does like talking about what projects he is working on when updating his Facebook status. Doing so has paid off in surprising ways.

“A friend who I played baseball with in eighth grade is now a partner at an appliance place in the town next to us,” McSweeney says. The friend had been working to shift his company away from its current promotional product supplier to someone more reliable, and after seeing McSweeney’s updates, the Facebook friend decided to reach out.
 
McSweeney jumped at the opportunity and has been working for the client ever since. “It was really like subconscious advertising,” he says. In fact, he has gained about a half dozen solid customers through Facebook, most of them old friends who live in his same city.

A recently added client was a high-school friend McSweeney had known since the early 1990s who is now working in a marketing position. She needed someone she could trust to take over the company’s ad specialty work. “Sixteen years is quite a while to retain a sale,” jokes McSweeney. He says that because Facebook has gotten him connected to people he may not have spoken to in years, and it adds to the value of the exchange when they reconnect. “It brings a bit of nostalgia with it, like, ‘Remember that summer when all we did was ride bikes?’ You get a good feeling, so you naturally have positive reinforcement to do business together,” he adds.

While finding a sales lead through old friends on Facebook is much different than landing a client through a fortuitous conversation at a kids’ birthday party, these sorts of surprising leads actually have a lot in common.

“It’s very trustworthy and it’s not where people expect to be sold,” says Mark Hunter, president of sales consultancy The Sales Hunter. He adds that spending time in places where your target customers are likely to go on their downtime is an excellent way to strike up a casual conversation that can lead to a formal business deal.

“I picked up some huge consulting clients just hanging out at a Panera Bread,” he says. “Find out where that traffic is; go hang out at the local bar where the workers from a company you are targeting go after work.”

Down the Street

You catch more flies with honey and, sometimes a potential competitor can turn out to be a business ally. Oliver Specialties (asi/287300) is run out of the small, tourism-focused town of Travers City, MI, located on the “baby finger” of land near Lake Michigan. The company produces a wide range of coffee mugs, pens, calendars and the like, themed around the city, in order to appeal to visitors. But in addition to Oliver Specialties, the same small town has a screen printer producing promotional shirts for tourists.

Rather than challenge each other on the same promotional-product turf, Barbara Meredith, president of Oliver Specialties, and the other distributor worked out an arrangement. She would connect the screen printer with clients of hers looking for T-shirts, while he would send her the business when customers asked about cups, calendars or other non-apparel items.

“Someone would call him and say they needed pens and coffee mugs for something and they also needed T-shirts,” says Meredith. “I would say, ‘I just happen to know a guy who has a substantial screen-printing business,’ and he’d give me a 15% discount.”

She gives the example of one big order where a client wanted concert T-shirts, which the other distributor handled, but also matching sunglasses, which she provided. Meredith has acquired a number of sizable clients over several years through this arrangement.

Thank You, Wrong Number

Kathy Gralike, president of Blue Sky Apparel & Promos (asi/141913) also got assistance from a competitor in landing a client. Though in her case, the competitor had no idea they had helped out. “An art museum called the wrong number and got me,” she says.

When Gralike explained the sort of work she did to the museum manager on the other end of the line, it turned out she was in the midst of seeking a distributor who could create some marble awards for the staff. The museum has become a regular client of hers.

“If you’re calling the wrong place, I’m still going to try and get that order. I’m a hunter,” Gralike says.

That willingness to bend the rules a bit also served Roberta Clark well. Rather than cut out of work at the stroke of 5 p.m., the owner of RKC Promotional Products (asi/303554) is in the habit of answering her home-office line at all hours, including on weekends and after hours. This paid off big one day when she picked up the phone well after business had wrapped up for the day. “At first I thought it was a crank call, because it was someone from a local radio station,” she says.

As it turned out, the person from the station had been desperately calling distributors in the area because the online order they had placed for a 36-inch trophy was not going to be delivered in time. With about five days to get the trophy, customize it and send it to a conference they were holding in the Bahamas, the station needed someone to start on the project that night. But Clark was the only one who answered the phone, and she got the $1,200 sale.

Since time was of the essence, Clark ordered the trophy without customizing it and took it to Encore Etch (asi/52464), a supplier she had worked with in the past and trusted, for the fast customization. The order went through smoothly and the station became a regular client, even expanding a regional “Rock Store” award to be used company-wide, ensuring she would be working with the client over the long haul. She estimates having done some $30,000 worth of business for the company since.

Bert Martinez, a sales training expert and speaker, applauds Clark’s willingness to think outside the typical workday. “Whether you’re calling a doctor or distributor, you want a solution now, and if you can get someone a solution now rather than a day from now, it not only gets you that sale, but can build instant credibility and trust,” he says.

Martinez sees Clark’s experience as representative of the larger truth in sales: Those who are there when the customer needs them are the ones who make the sale, whether that’s in the office after hours or at a horse-riding competition. “Thinking outside the box is really essential when you want to set yourself apart, reduce the amount of competition and make some serious sales.”

Alex Palmer is a freelance writer and editor based in NY.

5 More Great Places to Chat Up Prospects

1. At a concert, waiting for the bathroom. You never know who’s waiting behind you and is just as annoyed that the ladies room line is always longer.
2. Waiting to check out at the grocery store. Even CEOs need bread and milk now and then.
3. On vacation. Yes, you’re on vacation, but you’re also right there with hotel managers, souvenir–shop owners and resort activities directors. 
4. At the vet. Perhaps the person next to you in the waiting room is a director of Human Resources.
5. Touring college campuses with your kids. Recruiters need your creative ways to attract top students.

Sales Superstars of the Year
By Jennifer Vishnevsky
January 2011

SHARE & BOOKMARK

This year, we went on our second annual search for the Advantages Sales Rep of the Year. We also decided to shine a light on the Advantages first-ever Sales Support Person of the Year, that person behind the scenes who is also vital to a company’s bottom line. Learn about each powerhouse performer and meet our runners-up here.

SALES REP OF THE YEAR: Mark McCormack

As if more than doubling his sales and winning two international requests for proposals (RFPs) last year wasn’t impressive enough, Mark McCormack also spent 2010 taking a new approach with clients and prospects.

The super-selling owner of Proforma Identity Marketing Group (asi/300094), who is responsible for 80% of the sales, has transitioned to selling complete programs which incorporate e-commerce, technology and multimedia into the mix. “It’s been phenomenally successful. We’ve taken all of the elements and put them into one program. When someone asks me if I’m a promo guy, I tell them that I work at a comprehensive branding and deployment agency,” he says.

McCormack points out the importance of starting up the right conversation the first meeting. “Instead of pitching an item, we explain that we do more. If they look at me as the guy who sells hats once a year, they won’t think of us as the total resource,” he says.

Positioning his company as that total resource has paid off. In 2009, total sales were $1.6 million and the company was slated to reach $3.3 million in 2010. In a nutshell, that’s our winner.

Where It All Started

Hailing from Omaha, NE, McCormack ventured out of state to Northwest Missouri State University, where he majored in fine arts. “When I was getting out of school, my dad had a friend who bought a promo products company. All of his employees quit and he didn’t have anyone, so he asked me to do some artwork. Then, I went on a sales call,” he says.

What happened next was eye-opening. McCormack went out to sell pens and wound up getting a $20,000 order. When he came home to tell his girlfriend Jennifer, who is now his wife and does the billing and runs the office, she asked him if he was going to get paid commission. He asked his boss, who told him that he would. He realized that his commission from two hours was more than he had made in the last two months. “I was doing 94% of their sales and nobody else was really selling,” he says. Starting his own business was enticing. “But, it was like the video game Frogger. I didn’t want to jump off the curb and get hit by the bus. I didn’t have the cash flow to put into a new business and I wasn’t ready to mortgage my house,” he says.

However, McCormack met up with a Proforma recruiter at a trade show and left that first promo products company almost seven years ago. He began his business by searching the phone book and calling all of the places that had big ads, which translated to a big budget.

Fast-Forward to Today

He’s come a long way since then. Now, McCormack has two support people who manage accounts and two full-time graphic artists that help with the creative part. And while he handles the bulk of the sales (in December alone, he had about 300 orders), the other 20% is handled by his mother, a retired schoolteacher who has an in and does a great job with the educational market.

Having a background in design helps McCormack stay at the top of creativity, both product-wise and in regard to tools he creates for his clients. “I can present 20 products in 20 minutes. This allows me to float ideas to see what sticks and resonates with a client. Out of the 20 items, I know the products that will work and I can guide the client to the right ones through dialogue with them on rollout, budget and lead times,” he says.

“I’m a gadget guy, so rather than go play basketball, I check and see what I can create. I’ll end up creating a tool that I can pitch across different industries, which translates into sales,” McCormack adds.

One example is his creation of an inventory-less company store for a client to help them save money and speed up the ordering process. “Most company stores start as a way to liquidate trade-show inventory. But if an item has been in a store for three months and it’s not getting any traffic, it shouldn’t be there,” he says.

McCormack decided that the inventory-less store was a great way to manage the pipeline. “The inventory is a huge burden, either for the client or for the distributor,” he says. “I had a client last year that wanted about nine pages of inventory on items. The cost for carrying one of every size in every color the client desired would have been over $500,000 in inventory. And that is for only one of each color in each size.”

While this would have been a huge sale, the client usage would have never equaled the volume to justify it and, “I would look like a crook,” McCormack says. “I presented the inventory-less solution and we were awarded a long-term deal that will be much more profitable in the long run.”

Best advice: “Clients want to know how to use the items you sell. You can charge for this education. Show it can be done, and done right, and the client will value your proposition. If you just pitch price you become the commodity,” he says. “Also, ditch bad clients. You can find two great clients for the time one bad one takes up. And you will get paid much better.”

The Runners-Up

It took two major moves and a huge career shift for Cody Sanderson to land at Overture, but the result has been plentiful. Born in Montana, he moved with his family to the San Francisco Bay Area as a kid. When he was a senior in high school, they moved to Illinois, his current home.

Sanderson attended the College of Lake County in Waukegan, IL, and right out of school, went to work at a credit union in the member services department. Then, he broke into the mortgage industry as a loan officer. After figuring out the business, he decided to go on his own and opened a brokerage branch, which he ran for over two years, until he noticed a decline in the mortgage industry. He was ready for a change.

He found an opportunity that was all in the family. His mother, Heather, is the CEO of Overture, so Sanderson came onboard and went after Fortune 500 companies. At age 26, he is the youngest sales rep at the company, not to mention, a single dad to Ashton, who is 7.

“The transition from mortgages to promotional products was a huge learning curve. As far as the sales side, I had done a lot of cold calling and networking, so I had to learn more about products and industry terms,” he says.

As a prior entrepreneur, Sanderson has learned to build relationships and secure multi-million dollar sales. When he came to Overture, he took part in the mentoring program, working with industry leaders. He secured well over $1 million in sales for 2010 after being in the industry for only three years. “I really like going into large corporations and working with them on their marketing initiatives. My favorite things are both the creative side and then closing a big sale,” he says.

He educates his clients about smart buying and planning out a promotion. “I’m constantly striving to change our customers’ image of the promotional products industry. I’m providing them with solutions that tie into the brand initiative,” he says.

One such project is finalizing a contract with a major beverage and bottling company. “I reached out to them for almost a year and a half making contacts. We finally got an opportunity to do a request for proposal,” he says. Overture flew the potential client in to take a tour of the facility. Sanderson made a presentation that blew them away: “They went back home and selected us as the vendor to work on custom projects and national programs,” he says.

And while it might sound like Sanderson is all work, he takes time out for concerts, cooking and adventures with Ashton. Most recently, the father-son duo wrapped Christmas presents for needy children. “I told Ashton that I received a top-secret letter from Santa Claus and that Santa needed his help,” he says.
Best advice: “Selling is listening. Don’t assume that all of your customers are always just looking for the new ‘hot’ items. Engage your customers with calculated questions that reveal their true goals and objectives,” Sanderson says. “Gather as much information as you can and then deliver creative solutions that best fit their needs.”

When it comes to fresh, creative ideas, look no further than Nina Shatz. In May 2010, Shatz joined Red Ball Promotions (a division of Triad Advertising) as head of sales. With just about a year under her belt, her sales volume in 2010 was at least $500,000.

Her path to Red Ball is definitely non-traditional. In college, Shatz worked for the New York State Senate as a legislative assistant. After school, she planned to go to law school. “My car was packed and ready to go. I pulled out of the driveway and changed my mind. I had no clue what I wanted to do,” she says. She worked for a year at a camp, doing special events, and was referred to a program at Brandeis University, where she earned her Master’s in nonprofit management.

During her program, Shatz had a few internships, one of which was working with the special-needs department of the Jewish Community Center (JCC) of Greater Boston. She went on to become the youth director at Striar JCC and moved her way up the chain to become Jewish family educator.

Shatz did a lot of programming and fundraising within the building and partnered with other nonprofit organizations, which led to a natural progression to promotional products. She broke into the industry in 2005, and later found the Red Ball opportunity through social media. “A partner at Triad reached out to me on LinkedIn,” she says.

So how did Shatz get her sales off the ground so quickly? A few unique projects didn’t hurt. Think: condoms. She wrote an order for 100,000 condoms for The AIDS Support Group of Cape Cod, co-sponsored by the Massachusetts Board of Health. “My favorite slogan that they used was, ‘This is Just Between You and Me,’” she says.

In addition, each summer, the same group orders fashion-forward T-shirts to give out. If someone fills out an anonymous survey for the Board of Health, they get a package with the T-shirt and some condoms. “I’ve been doing that order every year now. It’s very amusing when you see my files and it says water bottles, robes, condoms, shirts,” she says.

Shatz is also currently working on an internal training program for a high-end hotel chain, where she put together a “party in a box” for each hotel to bring together all employees to kick off the program. She came up with the idea of a Girl Scout-type pin that everyone receives. The managers can give employees other pins that they earn through acts of professionalism, passion and kindness at the workplace.

Being a foodie helped her land one of her favorite clients. Before Guy Fieri was the host of Minute to Win It, Shatz noticed that Fieri always wore a terrycloth wristband. So she sent an e-mail to his website, telling them that she’d love to send a pink wristband for him to wear in honor of Breast Cancer Awareness Month, and got a response from his manager asking for wristbands with Guy’s logo on it. She wound up doing bobbleheads and plenty more for the account, too.

A day at Red Ball looks perfectly busy. Shatz gets at least 10 orders a day, which gives her a chance to be creative. “It’s a lot like being a personal shopper on a very different level. You’re able to create long-lasting relationships. That’s not something you get in every job,” she says.

She’s no slacker in her “free time,” either. She’s mom to a 10-year old daughter and 22-year-old stepdaughter. Two nights a week, she taps back into her JCC roots and teaches seventh-grade Hebrew. And if you’re headed to The ASI Show Orlando, stop by and meet Shatz for yourself. She’s presenting “Secrets to Penetrate the Billion-Dollar Education Market.”

Best advice: Be bold. Don’t be afraid of the ‘no.’ Just take it as a challenge and keep trying,” she says. “And always carry business cards; you never know when an opportunity arises for you to find a new client. Don’t be afraid to send e-mails to clients with new ideas. Even if they don’t like them, they will remember you are there, and finally put through that order they had been too busy to think about.”

SALES SUPPORT PERSON OF THE YEAR

When you talk to Diane Plourde, you can’t help but notice that she is a genuinely nice, helpful person. It comes as no surprise that we were flooded with nominations for her work at Geiger (asi/202900). Here’s a sample: “Diane Plourde is a winner, as she keeps her 12 high-flying Geiger reps on the straight and narrow and primed with ideas she sees pass by her desk,” says Henry Shepherd, a 30-year Geiger rep.

Born and raised in Lewiston, ME, Plourde is the middle child among three sisters. She has been happily married for 32 years, is the mother of two daughters and grandmother of two boys. “I had very specific sights. I wanted to be an artist, who wanted to be a politician. I was going to school for art history. My then-fiancée asked me what I was going to do with that, but I didn’t know. I took some political science classes, but it just didn’t make much sense,” she recalls.

A “Jill” of All Trades 

Plourde’s first job was as a bookkeeper for an office of five lawyers. From there, she went to work as a typist in the fabricational steel business. “We sold to contractors and different mills in Maine and New Hampshire,” she says. Plourde worked there for 25 years. “When I left, I was basically running the office. I did inside and outside sales. At the time, I was the only female salesperson selling steel in the state of Maine,” she says. After steel service, she went to a company where she was able to learn great selling skills, but after a big layoff, she found Geiger. She has been a sales service specialist for over three years now.

A Rep’s Best Friend

After 25 years in the foreground of sales, she’s now in the background supporting 12 sales partners throughout the United States. She attends vendor presentations, looks for new ideas, makes e-mail presentations, quotes clients, places orders, works with production partners and more. “As a salesperson for so long, I needed someone on the inside to depend on when I was on the road. I wanted to become that person,” she says. Plourde supports a total of $2 million and a few dozen orders per day among the sales partners.

When it comes to her reps, Plourde says they are the best part of the job. The feeling is mutual, since her reps have nothing but praise for her. “Diane Plourde at Geiger is the most incredible sales support person anyone could ever dream of having. She is reliable, creative, kind, and she somehow just gets what I need, no matter how large or how small the project or request. I know everyone else she takes care of feels the same way. No one does it like Diane,” says AJ O’Connor, a rep with Corporate Incentive Consultants on behalf of Geiger.

Plourde and O’Connor recall a memorable experience working on an order for Ohio State University. O’Connor’s customer had an event at OSU involving cheerleaders and football players. The customer kept adding quantities and changing sizes. “It started out being a total mess. I grouped each category together to stay organized,” says Plourde.

The rep was also getting calls about different art, changing which shirts would have the art and then adding referee shirts. “Diane was calling the suppliers with shortage amounts, back orders, etc. It was a nightmare. But she always remained pleasant, positive and got the job done,” says O’Connor.

Another time Plourde really came through with a $10,000 order for O’Connor. While attending an end-user trade show, she spoke with a wearables supplier. “He told me about all of these closeouts he had. After the show, I came back to the office and remembered that AJ was telling me she needed jackets,” Plourde says. So she put together jackets from the company with sizing and colors available and helped O’Connor book that major order.

Ready, Willing and Able

It could be the sheer number of “saves” that makes her a winner, but Plourde just thinks it’s her willingness to work. “I’m not afraid to do a bit of digging to find something. I’m able to look at an order and say that if we do it one way, it’s going to be better. One of my best qualities is that I was in outside sales. I know what the people need out there,” she says.

Even though she skipped the artist career path, she still paints. She has sold some of her work and continues to go to a class every Monday night. In her free time, she also knits, gardens and takes care of her parents. And if you ever catch Plourde when she’s out of the office, you might notice a quote at the end of her e-mail’s “away” message: “Never look down on someone unless you are helping them up!” That’s been her motto for years. “You have to treat people the way you want to be treated. It’s so important to do that,” she says.

The Runners-Up

As a Syracuse, NY native, Corinn Boyla didn’t expect to wind up working in Charlotte, NC. But when a friend begged her to go to college in North Carolina, she headed to Barton College to study social work. She worked in a nursing home for more than three years after school. Then, she was ready for a break.
After looking in the paper, Boyla saw a job advertisement for Bluegrass, a then-small company. “I told my husband I’d give it a year and see where it goes. Last month was my 12-year anniversary,” she says. She started as a receptionist and then moved up to become a sales assistant.

Coming from her background in social work, Boyla didn’t even realize that promotional marketing existed. “I worked with sales reps, attended vendor meetings and learned what the business was about,” she says. Today, Boyla supports 10 reps. Through October 31, 2010, she has supported sales of more than $3.5 million. Her order volume is more than 9,200 total line items.

Boyla’s main responsibilities are processing/transmitting sales reps’ orders to vendors, following up with suppliers, confirming receipt of orders nd ship dates for proofs and for orders, e-mailing proofs to customers, responding to their inquiries and maintaining order notes. When reps aren’t available, Boyla is the first point of contact for customers. “In addition to her extremely good organization, Corinn’s strength is her willingness to go way beyond what her job asks for her to do. She doesn’t leave the office because her eight-hour shift is up. She makes sure that every order has been followed up and everyone has gotten the information they are waiting for before her day ends,” says Dave Claunch, executive vice president of sales at Bluegrass.

Claunch recalls a recent order that could have gone poorly. After 5 p.m. on a Friday, Boyla received a call from a vendor telling her that they were unable to meet their production commitment and make a shipment overnight for an event on Saturday. She called the local Leed’s rep on his cell phone. He contacted the factory and conferenced Boyla in to select the items that could be produced in 12 hours and shipped to make the event the next day. This is only one of many jobs well done.

What makes Boyla a winner? “I work hard and I take it very seriously. I’ve always had the mentality to give 110% when people are counting on you. Sometimes it takes a little bit of extra work, but I have no problem with that,” she says.
 
Meet Megan Geudeker, the go-to girl. “I value TAG! as a company and I value my role in the company. I try to treat it like it’s my own to help it grow, succeed and prosper,” she says. “People always want me in the trenches with them. It’s kind of nice to know that you’re valued in that way.”

Geudeker started at TAG! more than 10 years ago, through a referral of a friend working next door. She was moving back to Camarillo, CA, after being out of the area for a few years “My family is here; I just couldn’t stay away,” she says.

As Geudeker recalls, she just fell into the job. She started mostly as a bookkeeper and then became cross-trained in most of the business. “This industry can be very demanding, but it’s a learning process along the way,” she says.

She supports upwards of $1 million in revenue to the company on her own. “She, along with two other people, works specifically with key accounts only, and so technically, she primarily supports my personal sales efforts, but she does step in and help other salespeople when necessary,” says Tonia Allen Gould, CEO. “Throughout the years, I have received legions of client testimonials pertaining to Megan’s involvement in high-visibility projects with our Fortune 500 clients.”

According to Gould, Geudeker lives, eats and breathes TAG!, working all hours of the day and night. She touches every project that comes through TAG!, through her supplier involvement or working directly with the client or the team on the projects from concept to completion. Add to this the fact that she’s the mother of three with plenty of extracurricular activities to attend to, as well.

“There aren’t many employees that can do everything, but Megan is truly one of those people with a can-do spirit and a never-say-die attitude,” Gould says.

Spotlight on a Sales Team

Sometimes, you just can’t pick one. That’s the issue that Rachel Levin ran into. The marketing/sales manager at Motivators Inc. (asi/277780), was struggling to choose one member to spotlight from the 10-person sales team. So, she nominated everyone.

Levin did so with good reason. In the past six years, Motivators has had an increase in sales of more than 375%. It’s been voted a top place to work and among the fastest-growing small businesses in the U.S. Each member of the sales team strives to reach more than $100,000 in sales each month. The team averages more than 1,000 orders per month.

They also have a wide range of experience levels, ranging from employees who have been there since the near beginning, like Greg Hill, to newbies like Ali Derkatch.

Hill started with Motivators more than six years ago. In the beginning, he did everything from order entry to customer service. Three years ago, he moved to Massachusetts with his wife and began working remotely. Even though he’s not in the office, he feels like he’s in the thick of it all. “The rest of the sales team has been super-helpful and does some legwork for me,” he says.

That all-for-one mentality makes all the difference. Everyone brings something special to the table, and they are all working toward the same objective: success for everyone.

“We come from different backgrounds, but our personalities mesh very well together,” says Derkatch, who’s been with the company for a little over a year. She’s a recent college grad from the University of Miami, where she studied advertising and marketing. “My favorite thing is that I’m always busy and I get to be creative,” she says. As for the team she says, “We have the same goal in mind, but everyone has their own specialty.”

Jennifer Vishnevsky is a staff writer for Advantages.

Cotton Crunch
By Dave Vagnoni
January 2011

A variety of factors have pushed cotton prices to historic highs. Here’s an analysis of why cotton costs have increased so dramatically, and a look at the potential effects of higher prices for 2011 and beyond.

Flying high above Japan, returning from yet another recent trip to Asia, Garry Hurvitz started writing his latest letter to customers. “Product prices are going to continue to increase dramatically,” he wrote. “I would daresay that both distributors and end-users are in denial as to the final impact this will have for most in 2011.”

Of course, Hurvitz, president and CEO of Counselor Top 40 supplier Ash City (asi/37127), wasn’t trying to create a panic. Actually, he’s been working to prevent one. “Our customers have to get the message to their customers,” he told Counselor. “We’ve been eating price increases for almost 12 months. The end to that is coming.”

For some, the beginning of the end has already arrived. Major industry apparel suppliers raised prices modestly in 2010, but unlike mainstream retailers, most have chosen to hold back on dramatic increases, hoping market conditions change. And while there are many reasons for the price volatility – ranging from labor unrest to bizarre exporting policies – a fundamental cause is the historic rise in the cost of cotton. “Coming out of the recession, cotton demand recovered as the economy did,” says Gary Adams, vice president of economics and policy analysis for the National Cotton Council. “By the middle part of 2010, we were in a much tighter situation than people anticipated.”

It’s possible very few saw this price increase coming because cotton had cost so little for so long. During a deflationary period of nearly two decades, the price of cotton per pound was much closer to $0.50 than $1.00. Yet, on November 10, 2010, cotton prices soared to a staggering $1.52 per pound, a 276% increase over 2009. “This is the fifth or sixth straight year of demand outstripping supply,” says Hank Harrell, executive vice president of sales and marketing for Top 40 supplier Broder Bros. (asi/42090). “We finally hit a tipping point.”

Analysts say what happens next – whether prices settle lower, remain high or jump to even more astounding levels – is impossible to predict, placing both suppliers and distributors in an uncomfortable and unpredictable pricing spot.

Why Prices Are So High

To Anthony Corsano, it was the perfect storm. No less than seven factors, he says, conspired to almost uncontrollably drive up cotton prices in the latter stages of 2010. “As business rebounded, pressures were put on the supply chain and the entire process felt snapback,” he says. “Then there’s the Wall Street aspect of speculation. It’s not just about supply and demand.”

Corsano, the CEO of Anvil Knitwear (asi/36350), is in the majority of observers who believe speculators pushed cotton prices to a point that normal market conditions would not have otherwise allowed. Fueled further by a weak dollar, many feel this high-stakes investment game has certainly played a key part in creating permanently higher cotton prices. “We’re never going to see $0.50 cotton again,” Corsano says.

Besides the artificial ratcheting-up of cotton prices last year, Mother Nature also impacted prices. An earthquake in Haiti, floods in Pakistan and hailstorms in Texas all contributed to a several-million-bail, worldwide shortage of cotton in 2010. Then, in places where crops weren’t ruined by rain, curious economic policies served to cloud the global marketplace. 

In India, for example, government leaders placed a limit on cotton exports in 2010, hoping to domestically cool the price increase of the commodity. In the past, the consequences of such an action would have been minimal, but in recent years India has emerged as a commodities giant. “What you have is the second-largest exporter of cotton not exporting,” Corsano says.

Even in cases when cotton was available in 2010, the apparel production process in Asia was often abruptly detoured by labor, energy and social-compliance issues. As China in particular emerges as a global economic power, the country’s still-growing infrastructure can’t keep up with textile demand. Power outages are common, factory operating costs are rising sharply and employees are reevaluating their options. “Workers in China want shorter hours and jobs closer to home,” says Tim Klouda, president of the promotional products division at Top 40 supplier River’s End Trading Company (asi/82588). “After the Chinese New Year, some people never went back to the factories.” 

In North America, farmers have been faced with increasingly difficult planting choices in recent years. Prior to 2010, with a worldwide recession choking demand, U.S. farmers devoted more acreage to profitable commodities like soybeans, according to the U.S. Department of Agriculture (USDA). “In 2009, farmers planted the fewest number of acres of cotton in about 25 years,” says Adams. “The prices farmers were getting were low relative to other commodities.”

The Current Market

Twice a day, Marty Lott pulls out his smart phone and scrolls down to a list of commodities, just to check how cotton is trading. “I’ve never done that before now,” he admits. “That should tell you how concerned I am.”

Lott, the president of Top 40 supplier SanMar (asi/84863), says his company is only guaranteeing current prices through the first quarter of this year. That may well be Lott’s final price-related promise of 2011. “Nobody knows where cotton prices are going,” he says. “I understand the frustration on the distributor side when it comes to programs and wanting to guarantee a price for the year. We’ve had 18 years of deflation in cotton prices, though, and we’ve gotten to the end of the line.”  

In this new era of more expensive cotton, major industry apparel providers are in many ways at the mercy of mills like Hanes, Anvil, Jerzees, Fruit of the Loom and Gildan, all of which raised prices incrementally throughout 2010. So far, common increases on basic apparel items, like T-shirts, have been 5%-10% at a time. “We’ve been doing our best to delay the sticker shock, but our margins are so razor thin,” says Jim Eaton, co-president of TSC Apparel (asi/90518). “We’re not guaranteeing any prices for 2011.”

While price increases in T-shirts will be most noticeable in 2011, cotton-rich items like sweatshirts, polos, fleeces, sleepwear and jeans will also become more expensive. With costs trending higher, many apparel companies, like Top 40 supplier Bodek and Rhodes (asi/40788), are focusing on explaining price increases to customers. “We’re educating our sales force and those who work in our call centers,” says Marc Held, Bodek’s national sales manager. “The message to distributors is that you can’t assume in this marketplace.”

In such a challenging price climate, suppliers are also emphasizing the importance of client relationships. “There’s a difference between a spot market purchase and the customer that gives us work every week,” says Ira Neaman, president of Top 40 supplier Vantage Apparel (asi/93390). “As a supplier, you try to minimize the cost for your customers. If your costs go up $0.10, the most your price should go up is $0.10. It’s our intent to hold prices for a year, but prices are subject to change. That’s something that should be placed front and center.”

According to supplier salespeople, most distributors have accepted apparel price increases, at least so far. Ray Hughes, who specializes in distributor relations for Top 40 supplier American Apparel (asi/35297), says his clients acknowledge the tough position of suppliers. “Distributors are completely aware of it and there are no surprises,” he says. “In the short-term I think cotton prices may go up a little more rather than go down. But the cost to the customer has a ceiling of 5%-15%.”

The Future Of Cotton Costs

For Nick Hahn, cotton will always be known as “the fabric of our lives.” It was during his 15-year tenure as president of Cotton Incorporated that the slogan became part of a national TV advertising campaign, beginning in 1989. Today, Hahn still consults for the cotton industry, working mostly with farmers in developing countries. “In 2011, farmers will plant a lot of cotton and you’ll  see prices come down,” he predicts.

Of course, suppliers and distributors both hope Hahn is right. He’s one of the few market analysts willing to make such a simple but bold prediction. The first challenge to Hahn’s forecast will likely come at the end of March, when the USDA will formally release survey results showing the planting intentions of farmers. Intentions, though, are only part of a complicated global picture. “I think capitalism will eventually rule and we’ll see lower cotton prices, but they will still be above historic levels,” says Lott. “We’ve worked the world, and raw materials have just gotten more expensive.”

Suppliers contacted by Counselor believe that cotton prices will probably end up between $0.90 and $1.20 per pound, maintaining a price position analogous to gasoline, which peaked at an average U.S. cost of roughly $4.00 per gallon in 2008, before steadying at around $3.00 the last 18 months.

While most expect cotton prices to stay above $1.00 per pound for some time, possibly for a long time, industry suppliers anticipate promotional apparel price hikes in 2011 will be capped at around 15%. At that number, there is debate among suppliers as to whether distributors will turn away from logoed apparel, opting for lessexpensive promotional products instead. “What scares me is if the price goes so high it affects sales,” says Corsano. “There’s going to be a breaking point.”

Even with inevitable price increases in 2011, however, Klouda contends that apparel offers such a good return on investment for marketers that a precipitous drop in sales is improbable. “We may see higher cotton prices for a couple of years at least, but people are still going to want apparel,” he says.

Adds Neaman: “Even if a T-shirt was up 100%, it’s still more effective and visible than other promotional items. If someone makes their budget for a product
only $2, they’ll be penny-wise and pound-foolish.”

Dave Vagnoni is a senior writer for Counselor.

Ace the Awards Market With These Tips
By Tonia Cook Kimbrough
December 2010

When it comes to awards and trophies, just about every client you serve has a need – from small businesses to large manufacturers, nonprofits to educational institutions. Here’s a quick course on what types of awards exist, creative trophy solutions and reasons that special recognition may be in order.

DEFINITION

What Is a Trophy?

According to The Free Dictionary, a trophy is a prize, such as a cup or plaque, received as a symbol of victory, especially in sports. It can also be a memento, as of one’s personal achievements.

You’ll find that trophies come in many forms. Traditionally you know them as two-handled silver or silver-plated “cups,” usually engraved. However, today’s trophies are more frequently formed into statues that represent an organization or idea. For example, The Grammy Award is a gilded gramophone statuette, and the Vince Lombardi trophy is a regulation-size football crafted in sterling silver that’s given to Super Bowl winners.

Trophies can be made from many materials, ranging from high-end marble, bronze and crystal to wood, acrylic or resin.

Award Challenges & Solutions

Not every award situation calls for a classic trophy. Here are three scenarios that require a different approach:

Challenge: A client has a limited budget but wants to recognize all employees for an excellent year.
Solution: Choose a useful desktop item like a paperweight, which can be embedded with an award icon or shaped as a trophy. Paperweights come in many materials and shapes, as well as at a variety of price points.

Challenge: A client seeks a “perpetual” award, one that can be added onto over the years as tenure or accomplishments increase for the recipients.
Solution: Some plaques have an area for additional engraving as years progress, or slots into which names or degrees (stars or symbolic bars of rank) can be added. Jewelry provides another option. Link and charm bracelets, for example, may work particularly well for a female audience.

Challenge: An employer wants to provide anniversary awards that a recipient can share with his/her family or friends.
Solution: Food gifts housed in emblematic containers or etched candy jars provide a treat that can be shared, plus a symbolic vessel to be kept as a long-term reminder of accomplishments.

10 Types of Awards

1. Custom product replicas, frequently created out of poly resin, bronze or wood
2. Crystal vases etched with a message of recognition
3. Letterman jackets with symbolic emblems, bars or team information
4. Cup-style trophies
5. Plaques or framed recognition
6. Emblematic jewelry or watches, engraved with years of service or award name
7. Seals and emblems
8. Medals or coins
9. Ribbons
10. Certificates

15 Reasons to Give a Trophy

1. Sportsmanship or sporting event
2. Honor roll or graduation
3. Top donors
4. Humanitarian efforts or volunteerism
5. Sales achievement
6. Dealer/distributor recognition
7. Quality markers
8. Safety record
9. Years of service
10. Customer satisfaction
11. Most valued (employee, client, teacher, player, etc.)
12. Record-setting efforts
13. Milestones (commemoration of an event or achievement)
14. Product innovation
15. Environmental efforts

Word That Award!

Stuck for a phrase to engrave on the award you’ve chosen? Check out the ideas at www.awardswording.com. You’ll find a helpful list of popular phrases, categorized by type of award. Recognition guru Jeff Anderson, president of Trophies2go.com, blogs on the website that you should begin brainstorming award verbiage by asking, “Why am I giving this award?” Capture the essence of what the award symbolizes in a succinct one-liner.

Sell Your Client on Custom Awards

If you want to set your award solution apart from your competitors, present custom options to clients. Though these may require a bit more time and budget, the benefits are compelling.

Highlight the opportunity for your clients to use custom awards to clearly represent the unique quality and character of their brands. A product replica, for example, generates instant brand recognition. Customization also allows for your client company to create a cohesive image that extends from its typical marketing across its awards programs.

Finally, recipients are more likely to appreciate and display awards that have been conceived and crafted with their tastes and accomplishments in mind. An “off-the-shelf” award doesn’t convey the same level of effort or caring on the part of the giver.

Not Your Same Ol’ Trophy

Does your client want to break the mold when it comes to the next round of recognition awards it hands out to employees or key business partners? Think of high-end items that are used and seen with frequency.

For example, a fine leather briefcase or satchel embossed with an employee’s name and years of service will send her off on customer calls in style. Or, how about a collection of golf clubs that could be awarded over time, as goals are met or tenure builds? Try crystal ornaments to recognize Employees of the Year – that will add sparkle to their family holiday decorations. Laser engrave MP3 players for a “You Rock” award.

The lesson: Don’t be afraid to think beyond the traditional trophy when your clients want to recognize hard work or loyalty.

What’s the ARA?

The Awards and Recognition Association (ARA) is a membership organization of 4,000 companies dedicated to increasing the professionalism of recognition specialists and advancing the awards and engraving industry. It hosts the annual International Awards Market, scheduled for 2011 from February 23-25 at the Las Vegas Convention Center.

AWARD ACCENTS

Awards have built-in potential to upsell. Every time a plaque or trophy is given, there should be “accessories” to enhance the occasion.

For example, congratulatory letters or certificates provide details of the event and signatures of key executives who are bestowing the award. Packaging, whether a specialty gift box, velvet bag or display case, adds formality while increasing the perceived value of the award.

The surrounding event itself opens the door for additional sales. Suggest banners, decoration or commemorative favors for guests. Also provide name badges, place cards or other means of attendee identification.

Armed & Ready
By Rob Carey
November 2010

SHARE & BOOKMARK

Just the facts. That’s what your clients want, and you don’t want to come off like someone who’s out of the loop. Here’s the 411 to keep on hand and help you seal the deal.

In sales, success comes down to this: having the credibility to persuade a potential buyer not only that a certain item is right for them, but also that you are the right person to deliver the item. It’s that simple.

Of course, getting to that point is anything but simple. Reps must bring a lot of knowledge into a sales call, not only about product features and price and time frames for securing the goods, but also about the buyer’s firm, its promotional objectives, its competitors’ promotional efforts, major trends shaping the buyer’s industry, the effects of promotional products on target audiences, and more.

We asked veteran distributors and sales experts to touch on all the information you’ll need to compile and use: facts that help potential buyers better understand ad specialties; facts that help you to help the prospect; and facts that inspire confidence in the use of promotional products and in the use of your services.

The Investigation Begins 

Regardless of whether you’re approaching a prospect cold or through a referral, there are several aspects of a target’s business to know before making contact. The health of the prospect’s industry, which factors are affecting sales in that industry, and the prospect firm’s position in relation to its competitors are all necessary facts to know. Then, “It’s best to go all the way through the prospect’s website to gain a deep understanding of what it is they do, who their key people are, and what their online image says about them,” says Jorunn Scheiderich, sales manager for ABC Printing (asi/100924).

Scouring the website also lets a rep examine the firm’s logo to determine if it’s presently suitable for use on a wide variety of products, or only a few. “The most important thing with a logo is its quality and the format they have it in,” says Shari Spiro, owner of Ad Magic Promotional Advertising (asi/105162). “I have to know if it would print well on a lot of quality items, or if it will need to be reworked right away. The logo also clues you in as to how much effort they’ve put into creating their brand thus far.”

Next, reps must research which kinds of products and tactics tend to succeed in that industry, and the traditional price points. “I learn how the client is already selling and landing clients, and what their competitors are doing to get clients, too,” Spiro says. “It’s not hard to see what items companies in a particular industry are giving out, and how it is connected to their advertising initiatives on the Web, on TV, in print or in person.”

To build credibility in an initial contact, Joanne Franklin, president of Joanne Franklin Packaging & Promotions (asi/198020), will also bring up certain details gleaned from her referrals. “I mention the name of who sent me, the type of program I did for that person, and then I’ll say, ‘I was told you are the decision-maker regarding promotions. I think I can help you in this area,’ ” she says.

When Franklin has no referral, she utilizes another tactic: “I demonstrate enough knowledge of that company so that the prospect stays with me long enough to hear me out,” she says. But this does not mean simply reciting what the recent trends are in that industry; instead, she might congratulate the prospect for the firm winning an industry award or landing a new client, or simply note that, “I just came back from a trade show with several ideas that would work well with buyers in your field,” she says.

All this acquired knowledge helps a rep stand out by being able to offer ideas that are creative yet mesh smartly with a firm’s culture and desired image. For instance, one of Scheiderich’s customers needed items for use at a trade show, “but I learned they never wanted to be associated with anything that could be considered a trinket or disposable item – whatever they used had to have an upscale look and feel,” she says.

Scheiderich’s solution: Sets of playing cards housed inside custom boxes (all made from recycled material), placed into an eco-friendly bag. Utilizing all-over printing, she also decorated the bags with a trendy design and the firm’s logo. “I customized the sets in a way that made them a cohesive part of the firm’s larger branding effort,” she says. “They loved that I came up with an interesting product that advanced their theme. Now I have several more projects from them.”

It’s in the Way That You Use It 

There is one caveat to approaching prospects with a slew of facts: Reps must recognize the fairly thin line between using what they know to demonstrate professionalism, and coming off as arrogant. Valerie Atkin, proprietor of dkspecialities (asi/181469), says, “You can’t just go in and say, ‘I’ve done a lot of research and I know all about your business, and I know exactly what you need.’ ” While having deep initial knowledge shows respect, “Asking questions shows that you know there are specific details to learn from them in order to do the best job you can,” she says.

Fighting the urge to launch into a fact-filled pitch pays dividends, according to Raymond Gunn, managing partner of sales consultancy Wingspan Partners in Shelby, MI. “Be the best listener you can. Hear the other person’s pain so you know which knowledge you can introduce into the conversation to solve it,” he advises. “You’ll also find out if there’s pleasure you can add to the prospect’s equation, so you can focus your responses on what you can deliver in that area, as well.”
 
Peter Miller, sales manager for Adcentives West (asi/105710), uses a series of questions to lead a prospect into topics for which he has specific details he wants to get across. “My only objective on a call is to show the prospect that I can offer solutions for any ad-specialty problem they presently have,” he says. “Early on, I talk only to get them talking. And depending on their response, I know what my next question is going to be, or the solution I’m going to recommend to remedy the problem they mention.”

The sore spot could be price, artwork, delivery times – any dissatisfaction the prospect has with a current program or current supplier. Miller’s key moment: “I lead the conversation so that they actually come to realize their own pain points. This lets me talk about the solutions I’ve used before in such instances, and the results that came from it. Basically, I want them to realize that their pain points can go away quickly by choosing me,” he says.

What about using facts and statistics that reinforce the effectiveness of promotional products in general? Spiro, a 20-year veteran, says, “On their own, statistics don’t move the needle much. They don’t tell the prospect anything about their own industry, so they’re skeptical about whether the results are relevant to their situation.” But when used as a lead-in for product ideas specific to the prospect’s business, statistics help demonstrate that the rep is not blindly pushing items. “You could combine those statistics with ideas that fit the ‘logical progression of use’ in their industry,” she says.

In other words, if the prospect is in the food business, branded utensils or catchy refrigerator magnets put the product in the audience’s consciousness at the right moments. Or for an interior-design firm, sturdy rulers containing a level are items the target audience would likely use around the time they’d look for design services. When combined with statistics citing people’s retention of company names on promotional products they use repeatedly, you make a compelling case.

What’s more, “Think about the things that are on your own desk – and what’s on the prospect’s desk,” Spiro says. “It could be a USB memory stick, an imprinted calculator or even a nice highlighter pen. Whatever makes it to the prospect’s desk is an entry point to inform them of other ways you could use those items.”

Reps should use good fortune to their advantage, as well. Often, it’s a client who does the legwork. Spiro recently had a client ask if she could locate an item the client saw in Starbucks: ceramic mugs with silicone tops. “They’re on-the-go items that are substantial, so they’re keepers,” she says. “I found the supplier to fill that order, but now I have a new idea and a case study to present to other clients, too.”

Lastly, one trend Spiro has mentioned lately as a lead-in to her ideas is increased demand for sets of products that complement each other, like shot glasses and a shaker.

Getting to the Close

The one fact that’s most critical to reps, but sometimes the trickiest to obtain, is who the true decision-maker is for a particular project or department. “I get in front of the decision-maker about 80% of the time, but other times I get duped,” grumbles a veteran rep for one mid-Atlantic distributor. “I realize pretty soon after I sit down that this person isn’t able to make a final decision. So then you wonder if this project is a priority – or even if it’s real. Because if it was real and important to the company, wouldn’t the decision-maker have been there? I could have given this person information over e-mail and the phone rather than coming into the city to see them.”

Nonetheless, giving this initial contact a respectful yet brief engagement could yield the desired result. “I just make sure to smile and offer up a few solid nuggets of information that would make the person look smart to their manager,” the rep says. “Then I know those nuggets will get passed along, and hopefully I’ll get a call to do the job.”

The final facts that can seal a deal involve value-added elements. If a rep does enough homework, a prospect who’s sitting on the fence at the end of a presentation can be nudged to sign on the dotted line if they’re offered precisely the right extras. Jeff Sloan, entrepreneurial consultant and owner of StartUpNation.com, says, “When necessary, create a sense of urgency to get a commitment with some final concessions that focus their attention: A 2% greater discount, net-30 terms instead of net-10, free graphic work at the start of the project – whatever enticement you know they’d appreciate.”

In short, if you know enough about the prospect and the project budget, you will know that last little thing to offer to make them jump, while maintaining a margin you’re happy with.

Rob Carey is a freelance writer based in NY.

Good to Know

Here are cool tidbits to have in your back pocket. Some are fascinating, some are fun and all are worth remembering.

• The Smithsonian showcases one of the oldest printed T-shirts: a 1948 campaign shirt for the governor of New York that reads, “Dew-It With Dewey.”
• Southern Methodist University tested the effectiveness of promo products over coupons and other tactics that lack added value. People who received items instead of coupons re-ordered product an average of 18% sooner. And promo items generated a 13% quicker response vs. advertisements with no value-added component.
• Americans consume 400 million cups of coffee per day, equivalent to 146 billion cups of coffee per year. That’s a lot of imprinted mugs you could be selling!
• Today’s USB memory sticks can do much more than just transfer files. According to www.pcstats.com, these miniature storage devices can put a whole range of portable applications – encryption, browsers, word processing, arcade games and even whole operating systems – right in users’ pockets.
• Here’s the environmental case for purchasing reusable water bottles: 17 million barrels of oil are used each year to make plastic water bottles – yet just 27% of the bottles end up being recycled, according to www.earth911.com.
• If you’re selling pencils for the local school fundraiser, make sure to mention this fun fact about lasting value: According to www.pencils.com, one pencil can draw a line 35 miles long!
  

Money Matters
By Alex Palmer
September 2010

Now’s the time. With fall quickly approaching, business owners need to start thinking about their operations, their finances and their projections for next year. Sure, the fourth quarter of 2010 hasn’t even begun yet. But now is when savvy business managers are already planning for 2011. 

While it will be as important this year as any other to go over expected revenue and expenses and ensure there will be enough cash on hand, budgeting for 2011 will also be unusual in a number of ways. With business beginning to stabilize, but a number of tax and health-care changes on the way, there are several actions distributors should take to be sure their budgets are accurate and they are prepared for what the next year may bring.

After speaking with business and financial experts – as well as distributors themselves – here are nine tips to consider as you plan your budgets for 2011.

1. Talk To Your Banker About The Future
With the recent passage of major financial reform, banks are poised to start making some significant changes, including to their rates and policies toward small businesses. While these changes will be rolling out over years and it may be difficult to know exactly what kind of impact they’ll have in the short-term, now is the time to ask.

“Talk to the bank manager by name, look them in the eye and ask, ‘What changes will you make over the next 12 months that may save me money or cost me money?’ Use that exact language,” says Kare Anderson, a small-business expert and author of several books, including SmartPartnering. “Then say, ‘How does that compare with other banks? You don’t know? I’ll be looking over this for two weeks, so if you could tell me by then.’ Make the banks do the work to share and compare.”

As owners are putting together their annual budget, it’s also a good time to assess the bank they regularly get loans from or do business with. Look over the bank’s last two to five years to see whether it’s been having serious difficulties or pushing costs down to its customers. For those using large national banks, Anderson suggests regional banks be considered, which are often more in tune with the needs of small businesses, offering more value and personalized service.

With interest rates currently at historic lows, distributors who are budgeting for long-term financing should look into locking in these rates where possible. Those planning purchases for next year might consider securing the financing for it now to have the available line of credit, at a potentially lower rate, when they need it next year. 

2. Seek Out Tax Savings And Costs
A close look at tax rules and upcoming changes will also help business owners find some areas for savings, as well as costs to be prepared for.

“Expect taxes to be higher next year and expect regulations to increase next year,” says Jim Blasingame, president of the Small Business Network and host of the syndicated Small Business Advocate radio show. “I think the tax cuts are going to go away and we’re all going to have to pay more taxes.”

Blasingame points to new tax regulations associated with the health-care reform law that will be starting in January 2011, which require that businesses have 1099 forms not just for contractors making more than $600 a year (as is currently the case) but for everybody who works with the company. He says that business owners will need to be sure they budget for any administrative costs that may arise from gathering and processing these forms.

But, there are potentially big savings on the horizon, as well. The Small Business Jobs Act currently moving through Congress includes a provision which will double the limit small-business owners can deduct on the purchase of capital equipment, from $250,000 to $500,000. If this bill passes, the additional deduction would expire at the end of 2011, making next year a good time to budget for major purchases.

The Jobs bill also includes a $10,000 deduction offered to businesses for startup expenses that otherwise would have to be capitalized and depreciated. Distributors looking to add revenue streams by providing storage or other peripheral services could consider turning them into separate business entities to take advantage of the potential savings.

“A lot of small businesses might have a business owner with three or four companies going on,” says Gene Marks, owner of business technology company The Marks Group and author of In God We Trust, Everyone Else Pays Cash. “2011 might be a good year to do that as soon as this bill gets passed.”

Numerous state-level tax credits are also available for small-business owners, such as a recent law in California that grants credits to companies that hire veterans. Distributors should consult with their accountants or tax advisers about local tax breaks that could be available.

3. Do The Math On Health Care
While the broad policies of the Patient Protection and Affordable Care Act will be rolled out in stages over four years, 2011 is going to be the year that companies start figuring out exactly how it will impact their bottom line. The new law requires businesses with more than 50 employees to either offer coverage, or pay a $750 penalty per full-time worker. This obviously exempts any distributor firm with fewer than 50 employees, but it will be worth understanding the new law and its impact.

“Speak to your benefits advisor or CPA or get some education, and you need to figure out if it makes sense to carry on with your health plans in the future, or if it makes sense to abandon your health plans and have your employees get individual insurance and just pay the penalty,” says Marks. “Businesses are going to have to be prepared and will want to take a close look at their health-care costs.”

4. Create A Screening Criteria For New Investments
With business beginning to stabilize, business owners will want to determine if 2011 will be a good year to invest in more technology or equipment that they may have been holding out on. Anderson recommends basing this decision on hard numbers as much as possible, particularly in two key areas: overhead costs and product differentiation. This may be a matter of improving the quality of products in tangible ways, such as equipment that can allow for faster turnaround on orders, or offering storage to customers that will offer an advantage over competitors.

“Cash will be king in this economy over the next five to eight years,” says Anderson. “Something may come up where I have a longer dry period than I thought, so I don’t spend money unless I can show what it will do to my product and how it will reduce my overhead. The more specific we can get about the screening criteria, the easier it is to make choices … it’s not personal, it’s business.”

In 2011, most small-business owners will likely still be holding tight to their purse strings. This makes using hard numbers (rather than gut feelings) to make investment decisions especially useful for distributors who may need the extra assurance to make a purchase they are not sure is worthwhile.

“People are ultra-conservative with their budgets right now,” says Marcus Cohen, marketing director for Tropical Promotions (asi/470416). “Things that could help them, they’re not trying to do. Even if it will benefit them and give them access to a client base they don’t currently have, they’re still reticent.”

5. Consider The Costs And Benefits Of New Hires
One investment that many employers are considering is hiring an additional full-time employee. If business continues picking up, that may be worthwhile, though distributors must keep in mind the costs not just of salary, but of employer payroll taxes, health-care costs and expenses such as bonuses and awards.

If the numbers do not add up, business owners can look at some other options. Blasingame advises outsourcing things that are not the business’ core competencies – such as financial, administrative or even marketing work where appropriate. This allows distributors to focus on bringing in more business while keeping the other areas of running their organization covered.

“When you’ve got a contract with someone, they have to perform on that contract, and you know what the cost is going to be,” Blasingame says. “If you are the one who has to manage all those people and manage all those tasks, and it gets out of hand, that’s coming out of your budget.”

Though Bill Prang, director of Zeraq LLC (asi/365783), handles all payroll and administrative work in-house, he counts on outside partners for most other work. “We don’t do too much in-house, I can do badges in-house and some in-house embroidering, but that’s all – everything else is through partners,” he says.

An additional option business owners can consider is hiring “consultant sales reps,” experts in the industries they are targeting, who can offer insights while also promoting the company’s products and bringing in sales. If someone knows the health-care or education industries inside out, there may be a way to work together in reaching out to these industries as partners, bundling services to better meet the market.

“It might be a mix of a monthly retainer for three months plus a finder’s fee percentage when it happens,” says Anderson. “If you have eyes on the ground from within a sector, you’re going to learn a lot more, faster, than any way you can from sales.”

Of course, owners can also plan to expand their business in 2011 by bringing on a 100%-commission sales rep. This won’t add to the budget’s expenses, but can add revenue to the top line. While cost won’t necessarily be a consideration, distributors need to ensure that they’re equipped to manage a new sales rep; the time and effort needed to make the relationship work has to be considered, as it will take away from a distributor principal’s own ability to bring in revenue and serve clients. 

6. Don’t Forget To Budget Your Own Salary
As distributors have taken a critical look at their expenses over the past couple of years, many have made the difficult decision to cut their own salaries.
 
“I don’t get paid much anymore,” says Ollie Paadimeister, president of Bosmat Kidz (asi/143275). “You live within your means, and I also don’t buy and do things like I used to – I live and die by what I do.”

While in many cases it may seem less painful for owners to cut into their own earnings first, other cuts could make more financial sense for the business. “It’s pretty typical to see the business owner’s salary as the first thing to go,” says Karen Klein, small-business columnist for the Los Angeles Times and Businessweek. “It really shouldn’t be, but unfortunately it’s easier to cut that than to go through and find other places to cut.”

Klein suggests that when distributors are budgeting for the upcoming year, they should at least put some kind of minimum salary for themselves into the mix first. Then they can put benchmarks in the budget dictating that when certain revenue and profit marks are reached, gradual increases to the principal’s own salary are automatically implemented.
 
7. Assess Annual Ups And Downs
In creating the budget, distributors will want to pull data on the company’s performance in previous years to assess the ebb and flow of sales throughout the year, looking at how business shifts from season to season.

“A vertical column of numbers is not enough,” says Blasingame. He suggests a 12-month cash flow spreadsheet, tracking sales and expenses, to help the business owner prepare for months when there is less money to spend.

Blasingame recommends approaching the spreadsheet as a dynamic document, tracking each current month’s revenue and expenses to those of previous years – this also presents highly valuable data when applying for loans. “Show that spreadsheet to your banker, so you can say ‘I’m going to need $10,000 for this month, but as you can see, I’m expecting sales to pick up and can pay you back after that.’ That’s how you work with a banker,” he says.

8. Determine How Much Running The Business Costs Per Day
Just as important as taking a big-picture annual look at company expenditures is drilling down and looking at everyday costs. According to Julie Aydlott, a small-business budgeting expert, looking at how much operating expenses are costing a company per day can be crucial in making more long-term business decisions.

“If you can look at your business and say, ‘Just sitting in this chair with everybody here and my overhead, it costs $180 a day to operate,’ you know you have to make that in a day to keep operating,” Aydlott says. “If you don’t know that, you’re going to be far behind when the end of the year comes up.”

This can be a worthwhile approach for distributors whose target market or company itself may have changed compared to years past. Until March of 2010, Sharie Stewart, owner of Abacus Enterprises (asi/101830), was one of three principals, but after the passing of one partner and retirement of another, she finds herself the sole head of the organization.

“My situation has changed and I’m on my own now,” Stewart says. “As far as cash flow, I’m fortunate enough to have good reserve money and I don’t have any debt, which really helped us through the transition. I also have very little overhead since I work out of my home.”

While it is hard for Stewart to make apples-to-apples comparisons of her annual expenses compared to previous years’, she is finding it effective to approach her expenses and earnings in a more piecemeal way.

9. Put Your Marketing Dollars To Work
With business growing for many distributors, 2011 will be a good year for owners to ramp up their marketing spending. “When you are selling advertising specialties, you are selling something that is offered by a huge number of other companies, so you have to try to differentiate yourself, and also build relationships,” says Kim T. Gordon, president of National Marketing Federation Inc. and author of four books on small businesses and marketing.

Now is the time to place increased marketing expenditures into your budget for 2011. Gordon urges investing first in relatively inexpensive marketing areas, particularly improving the company website and expanding e-mail marketing efforts. Ultimately, the key is to have your brand name in front of customers when they’re ready to buy.

“The mindset is not going to go back to what it was before the recession,” Gordon adds. “Purse strings may loosen up a little and they may start buying more, but the way they are buying and the way they make decisions about how they buy is not going to change. I may have $20 rather than $10, but I’m not going to change how I approach my purchase.”

Steve Procise, who runs Fredrick Lauren Services (asi/198353) with his brother, has increased his self-promotional spending over the past year, and plans to keep the budget at the same level into 2011. He sees it not only as an opportunity to advertise his services, but to advertise that now is not the time for clients to cut back on their own marketing budgets.

“I’m telling them, this is not a time to walk away from your marketing program – it’s a terrible time,” says Procise. “I’ve tried to get different products in front of them so they know that I believe in what I’m doing, and in a couple instances they said, ‘You know, you’re right,’ and then they ordered."

Alex Palmer is a freelance writer based in NY.

10 Questions To Ask

Joseph Anthony, a tax expert and financial-planning consultant based in Portland, OR, offers 10 questions that all business owners need to consider when beginning their budgeting process. The answers to these questions will help guide your financial decision-making when planning out budgets for next year.

1. What’s your cash flow? This is the true measure of how much cash you have at your disposal at any one time. It factors in all expenses (cost of sales, fixed, variable, etc.) and gives a clear indication of the order size you can adequately take on; for example, you need to have adequate cash flow to fund a $50,000 order because your client won’t be paying all of that up front. A statement of cash flow starts with the bottom of your profit and loss statement – the line that shows your net income. Several adjustments are then made to that number, including reducing the income by invoices recorded as income that have not yet been paid, adding back depreciation, adjusting for bills that your business has not paid, and several other adjustments that factor in costs on the business.

2. What are your assets? Tracking the value of equipment, furniture, real estate and other holdings should be easy. But to have a true idea of the value of your business, you also must track changes in the value of those assets, as well as the declining value of assets such as computers and office furniture.

3. What are your liabilities? Liabilities are what you owe. But, what you owe isn’t always as obvious as a bill from your landlord. Payroll taxes are a liability that you might be able to put off on a monthly or quarterly basis, depending on the size of your payroll. Loans are a clear liability, but in repaying them you’ll want to be able to track how much of a payment is applied against principal vs. interest.

4. What’s it costing you to produce what you sell? If you’re buying a finished item for resale – like most distributors – this is relatively easy. It’s trickier if you have to calculate all the factors, such as labor, that go into manufacturing a product.

5. What’s it costing you to sell what you sell? Advertising, marketing, labor, storage and the catchall category of overhead — it’s useful to know how much it costs you to get a product out the door, as well as what it costs to create it.

6. What’s your gross profit margin? This is calculated by subtracting your cost of goods from your total sales. If your gross profit margin is staying consistent or trending upward, you’re probably on track in terms of adjusting your prices appropriately to reflect changes in what you pay for what you sell. Being able to track a declining margin can give you a heads-up that you must adjust your prices or your costs.

7. What’s your debt-to-asset ratio? This ratio can let you know how much of the stuff you have in your company is actually owned by someone else: your lender. Having this ratio climb can be a bad sign; it can happen as part of a major expansion, but it can also indicate that you’re getting in over your head.

8. What’s the value of your accounts receivable? This is the money that you are owed. If accounts receivable are on the rise, you may be getting a warning that the folks you sell to are starting to stumble. That’s especially true if your accounts receivable, as a percentage of total sales, are increasing.

9. What’s your average collection time on accounts receivable? This is probably one of the most aggravating pieces of information for cash-strapped businesses, because it tells you how many days you’re acting as “banker” for the people who owe you money. To calculate it, divide your average daily sales into your accounts receivable.

10. What are your accounts payable? The flip side of accounts receivable, an increase in your accounts payable may merely reflect a policy of taking a little longer to pay bills, or of a larger amount of purchases overall. But, an increase that hasn’t been planned or managed can be an internal warning that your company’s financial strength is waning.

Secrets of Million-Dollar Sellers
By Nicole Rollender (Additional reporting by Joe Haley, Dave Vagnoni and Jen Zorger)
February 2010

Looking to get a jump start on 2010 sales? Check out the successful strategies of some of the top salespeople in the ad specialty market. Here are the six traits of top sellers.

Ordinary distributor salespeople might be content with cushy repeat orders of 25,000 pens and 10,000 squeeze balls. Not Keith Wilson, a decidedly unordinary salesperson. For years, he fulfilled these orders for a good client, until he said to his buyer, “Guess what? There’s a product out there that’s far cooler than what you’re ordering, and I’m going to find it for you.”

So Wilson, an account executive for PromoShop (asi/300446), trolled an industry trade show and came upon a squeeze ball with red glitter inside. “I showed it to my buyer, and she loved it – she said they were like desk ornaments,” he says. “She tripled her order that day, and since then, she’s reordered 30,000 balls three times.”

90,000 units from one client. Sounds like one heck of an upsell. All because of a little persistence – and a lot of research. Wilson, who cheekily calls himself the Promogenie and brings his clients “ideas that are out of this world,” is the perfect example of a million-dollar distributor, one who has that rare blend of charisma, a sixth sense about selling, an imagination that dreams up magical promo campaigns and a work-till-you-get-the-job-done mentality.

Likewise, Patrick Doyle, owner of Proforma Synergy (asi/300094), isn’t satisfied with just a simple promotional campaign. Case in point: Magna, a Canadian auto-parts manufacturer with facilities all over the world, recently approached Doyle and two of his competitors to come up with a 50th anniversary campaign for its 150 North and South American locations.

“The issue was that all the facilities have different numbers of employees, 20, 50 or 300,” Doyle says. “I came up with this crazy idea of a 50th anniversary celebration in a box, where each location would get a customized package with streamers, napkins, balloons and buttons, the whole works, sized to that facility.”
 
Doyle, who won the six-figure order, then coordinated getting all the packages to each location on time. “My competitors didn’t even come close,” he says.

Ad specialty super-sellers, like Wilson and Doyle, share many of the same intangible characteristics, including the attitude that the best just isn’t enough. Similarly, Josh Ebrahemi, a partner at Jack Nadel International (asi/279600), who started in the industry when he was 22, set lofty, long-term goals from day one. “I thought about where I wanted to be in 10 years, and focused on achieving that goal as soon as possible,” he says. “I had this certain amount of money that I wanted to make by the time I was 30, and just started chasing it. And you know what? I hit that goal when I was 23.”

Now, at age 29, Ebrahemi has a bursting portfolio of 500 case studies of his successful promotional campaigns.

To help your company reach its money-making goals, Counselor offers six super-selling secrets we learned from interviewing 15 of the industry’s most successful deal makers.

Prospect Like A Pro

According to Counselor’s State of the Industry survey, the number one way industry distributors build their client bases is through referrals. It’s also the road to success for industry salespeople. “I’ve gotten all my clients from referrals, and then they give me more referrals,” Ebrahemi says. “I don’t cold-call. For me, it’s just a never-ending referral process.”

Getting referrals does require patience, though, since you need to wait until you’ve established a relationship with a client to ask for one. Indeed, the best referrals come from client relationships that are built over time. “I know her well enough to send her a congratulations card if she quits smoking, or I can ask him to lunch for his birthday,” says Mike Beckman, owner of Proforma-BPM (asi/300094). “I could go directly to another potential buyer in that company, but I cultivate one relationship, and then ask for the introduction. That goes a long way in establishing trust.”

When Beckman gets a referral, he uses creative mailers to woo his prospect first. One example: a themed three-part mailer about fearing change. “I sent my prospects a postcard with a lion’s eye on it, and the text, ‘We have our eye on you – to provide you marketing services,’” he says. “Then, we sent a promo item, a cage, with the message, ‘Don’t fear change.’ Finally, I sent another postcard with a picture of a lion, urging the prospect not to be afraid to change the way they market. Then, I made a phone call to discuss how we can help with their marketing efforts.”

And, don’t forget to court your prospect with self-promos. Wilson is the master of this. When he makes a cold phone call, if the prospect acts like she’s not interested, “I say, ‘Wait, I have a box of $75 worth of promotional products with your logo on it to send you,’” he says. “Then, I ask, ‘Are you still not interested?’ That gets their attention.”

At trade shows, Wilson uses what he calls his “dirty bomb approach to self-promotion.” He pulls five cool items from his garage full of promo products, such as an ergonomic potato/carrot slicer, a BlackBerry cover, a toothbrush holder and a jump rope, and brings them to the show. “I’ve got my tagline on everything,” he says. “On the jump rope, I put, ‘Remember doing jump rope way back when? The healthy alternative to buying a pen.’ On the other side, it says, ‘Promogenie – when ordinary just won’t do.’”

After Wilson wows a prospect with his unique array, he arranges to have a box of the same products sent to her office before she returns from the show. “My goal is to have my self-promo stuff all over their house and their office,” he says.

Always Be Available
 
It’s not as easy to reach out and touch your clients these days – it used to be that you’d drop in for a face-to-face meeting, pick up the phone or send out a quick e-mail. Now, not so much, with tweets, texts, instant messages and Webcams thrown into the mix.

“Some clients want to talk to you in person,” says Paula Gossett, senior promotional consultant for Brown & Bigelow (asi/148500). “Others don’t have time for that. They want to send you a three-word e-mail, and expect you to answer them back in three words within five minutes. On your first meeting with a client, ask, ‘So, how do you want me to contact you? Do you prefer e-mail? Tweets or texts?’ And then, stick to communicating with them the way they want – get on the client’s wavelength.”

And, top salespeople really are available to their clients 24/7. “I sleep with my BlackBerry next to me,” says Karen Johnson, owner of Avalon Imaging Group, an iPromoteU (asi/232119) affiliate.

Johnson, who has a lot of clients in Europe and the Middle East, needs to be available to buyers during their workdays and literally responds to all e-mails within five minutes, even at 3 a.m. “I call it extreme customer service,” says Johnson, who returns up to 300 customer e-mails every 24 hours. “I also use the Smart Text feature on my BlackBerry to send people short messages about what action I’ll take in response to their request.”

Finally, use a staff member to help stay in touch with clients. Johnson, who also uses Skype and instant messenger to communicate with her overseas clients, works with her personal assistant to send clients updated tracking and shipping info every 72 hours. “If a customer has to call me about their order, I’ve failed them,” she says.

Sell Strategically

One thing separating million-dollar sellers from the rest is that they’re willing to carefully court buyers, especially with today’s common refrain of, “My marketing budget has been slashed to nothing.”

Rather, top sellers take their selling cues from their buyers and adjust their approaches accordingly. For budget-strapped clients, show them you’re in it for the long haul. “If my client legitimately has no budget, I send them virtual samples and concentrate on talking about the ROI of different campaigns they might want to invest in,” Ebrahemi says. “They know I’m not just chasing the money – I want to see them grow.”

For clients with some flexibility, show them a good, better, best scenario and allow them to upsell themselves. One of Doyle’s big clients, Schindler Elevator, wanted to give away $20 products at its 10th anniversary celebration on a boat cruise. “I thought, ‘Elevators are multimillion-dollar deals, and you’re going to give your clients a $20 gift?’” recalls Doyle, who decided to include a $125 sterling-silver pocket knife as part of the presentation, along with $20 items. “Turns out, my buyer loved the knife, and saw that it was the type of quality item he wanted to give his clients,” he says. “There was no talk about price at that point. And, the order was worth $35,000.”

And, it pays to pitch over-the-top campaigns that are sure to get your clients ROI for their investment in your services. For example, one of Beckman’s clients was struggling to get sales meetings with Fortune 500 CEOs and CFOs. “They weren’t getting any kind of a response at all,” he says. “So, I got a box that plays the Mission Impossible ringtone when you open it, and put a voice recorder inside with a personalized message recorded by my client’s salespeople for the exec on it, like, ‘Hi Robert, this is Bob with ABC Co. Thank you for accepting this mission,’ and then the details of the product pitch.”

The client got a 78% response rate, which far exceeded their expectations.

Thank Your Clients 

Wilson sends his top clients edible thank-you gifts, like a huge fortune cookie drizzled with caramel and chocolate with a message inside that reads, “Very fortunate to have you as a client.”

And, Beckman sends his apparel clients one-off personalized garments with their apparel orders. Case in point: He gave a client a fleece with a laser-engraved jacket back. “She and her boss loved it, and they ordered 75 more,” he says.

Would you send your client an iPod Shuffle for ordering a certain dollar amount? That works for John Resnick, owner of Proforma Printing and Promotion (asi/300094). He developed a tier program, where he sends clients an edible arrangement, iPods or other brand-name gifts for orders that are $2,500 and above. “This year we’ve also been sending chocolate or randomly sending lunch for a client’s whole office,” says Resnick, who’s a strong believer in spending money on thank-you efforts to show clients his business is doing OK.

Anita Brooks, owner of Geiger-On The Gulf Coast/ASB Marketing (asi/202900), sends “good client” letters to her top 40 clients in June, thanking them for their business and offering them a free service, a discount on their next order or a $75 donation to a charity in their name. “About 10 might be redeemed, but all of the recipients like receiving the letter,” she says.

Brooks also hand-delivers a desk calendar to each one of her 250 clients in December. On those visits, she asks what events they’ve got planned in the first quarter of the new year so she can prepare campaign ideas to pitch to them. “We give a gift to everyone, even if they only ordered once that year,” she says.

Neal Munn, owner of Rhino Marketing Specialties Inc., a Geiger (asi/202900) affiliate, has also learned to keep his client’s gender in mind when sending holiday gifts. “One year, I sent my female clients Waterford crystal ornaments, and I didn’t get much feedback,” he says. “The next year, I gave them highway safety kits. I was getting phone calls raving about the great gift, stuff like, ‘I put the kit in my car right away.’”

Provide Services, Not Products 

Any distributor can show a client a cool product and say, “We can slap your logo on that and have it to you in three days.”

Top sellers offer an extra bang for their buck, such as expertise in a certain area or just going that extra mile to zero in on that perfect promotional idea.

For example, some distributors offer logo and artwork services to their clients – they house their customers’ logos, can modify them on the fly, can prepare them for imprinting and can create virtual samples, almost instantly. “I have a full-time graphic artist on retainer, so I can send a client a simple virtual proof within five or 10 minutes,” Johnson says. “It makes me look great and makes the customer happy.”

Other top sellers bring incentive program expertise to the table. When a bank chain client that was changing its name asked Brooks to help publicize some of its new programs, she jumped right on board. “The bank had introduced a savings program for kids,” she says. “I suggested that they offer kids incentives for making deposits.”

She pitched the idea of a tiered incentive program, which would give young savers different logoed stuffed animals as their savings deposit balances grew. “The whole idea behind the incentive program was to teach kids about saving and for the bank to capture their loyalty at a young age,” Johnson says.

The result? A smashing success, as the bank opened 70,000 new accounts due to the incentive program. “Grandmothers were switching banks just so their grandchildren could get the stuffed animals,” Brooks says. “We even got calls from people who wanted to know if they could get the stuffed animals for birthday party giveaways.”

Or, you could offer event-planning expertise. While on a cold call with a buyer at a high-tech firm, Resnick was posed a challenge: Pitch us an idea for an event we can hold in our hospitality suite at an upcoming IT conference about security.

“Right there, I came up with this tagline, ‘We bet data security will be an issue in 2010,” he says. “I made a pitch to theme the event around a casino night. We said we could get poker tables and chairs, branded chips and playing cards, gift bags and an appearance by poker champ Chris Moneymaker.”

With his quick thinking, Resnick scored this $50,000 event, and has done two more events for this client since then.

Munn has managed company stores for a number of his clients – and he does it very well. In one case, he took over a trucking company client’s paper-based company store. “They weren’t even using e-mail ordering – they printed out a PDF order form and faxed it over,” he says. “I helped them transition into using e-mail and then moved them into a full electronic store. Now, it runs smoothly and I pitch at least six to eight new products a year to add to the store.”

Finally, Ebrahemi, who has a lot of clients in the entertainment business, often acts like an employee of his client’s company to offer that extra bit of consultative service. “I’ll sit in a meeting where the marketing managers will talk about different ideas for a certain movie,” he says. “I’m not getting paid for that time, but I’ll give ideas. And it doesn’t necessarily have to be all promotional items.”

Face Problems Head-On 

Most distributor salespeople have gotten that dreaded call: “Uh, the 5,000 shirts just arrived, but the wrong logo is embroidered on them,” or “My 3,000-travel-mug order is here, but 400 of the mugs are cracked.”

It’s just common sense that when you get a call about an order that’s gone awry, you deal with it promptly – and you’re honest with your client through the process. What differentiates top sellers, though, from the rest of the pack is how creatively – and quickly – they’re able to deal with the botched orders.

First off, the tight relationships you’ve built with your top suppliers and decorators can make all the difference in how quickly you can correct an order. One of Ebrahemi’s recent overseas orders arrived with 130 of the 1,000 pieces broken. “Normally it takes a while to get those pieces replaced,” he says. “But I talked to the vendor, and since we have a good relationship, they got the items out in two days. I was able to tell the client the good news – and they felt that I owned that order. I came through for them.”

You can also negotiate a discount from your supplier or decorator partners to pass on to your client. “Sometimes, if the vendor runs out of inventory when it’s time to ship it, I can negotiate a deal where I get a higher-priced item from the vendor for the client, but the vendor honors the original price for my client,” Munn says. He does double-check inventory before he orders a product, just to be on the safe side.

Other times though, you’re going to be the one who’s actually moving it and shaking it out there to get the order right. “The Ottawa Senators, a National Hockey League team, had ordered 25,000 tattoos from me for a game on Good Friday,” Doyle says. “On Thursday morning, the client called and said they got the wrong tattoos. I got right on it.”
Doyle drove out to the manufacturing facility, which was closing early, and was told that they couldn’t possibly reprint the tattoos. “I didn’t take ‘no’ for an answer,” he says. “I asked what I could give the guys to get them to re-print these tattoos. They wanted a couple cases of Corona, so I bought the beer and they printed me the tattoos.”

At 5 a.m. the next day, since there was no courier service, Doyle drove four hours to the stadium and hand-delivered the tattoos to his thankful client.

A final word of caution from top sellers on avoiding order mistakes in the first place: On rush orders, always get a client-approved proof. “Pay the extra money to do a pre-production sample,” Wilson says. “I had a rush order for Men’s Health magazine and we didn’t do the paper proof. On the art, we forgot the apostrophe, so there went the art on 3,000 beach towels and 3,000 lip balms for the magazine’s big Malibu triathlon. That was a big misbranding mistake, and we lost that client.”

The bottom line in dealing with clients when a problem occurs? Be truthful and do whatever you can to appease your customer, according to Wilson. “The ‘fire at the factory’ line isn’t the right way to go,” he says. “When there’s a problem, you fix it, really, at any cost.”

Nicole Rollender is Stitches editor and director of ASI Education

THREE MORE WAYS TO BE A TOP SELLER:

1. Find a hot-selling product. Joe Stile, the national account executive at Halo/Lee Wayne (asi/356000), calls himself the calendar king, with good reason, since his annual calendar sales alone total $600,000. “My best-selling product has been an African-American history calendar, which features sports figures, singers, scientists and other notable individuals,” he says. In 1969, Stile sold his first order of 500 calendars to a Brooklyn, NY, independent funeral home for $17,500; today, that client buys 80,000 a year for $170,000.
2. Be a little off the wall. Write a unique tagline for your business and use it on all your collateral. Or, take it one step further and compose a rap song. Keith Wilson, an account executive for PromoShop (asi/300446), starts out his video series to show off products with a catchy rap: “I grant three wishes ’cause I’m Promogenie./ My competition’s played out like Sergio Tacchini./ If you’re lookin’ for the best – and I’m not just in the West –/ Put me to the test, ’cause the Genie never rests./ I’ve been takin’ care of clients for a decade and half./ Livin’ off referrals. Now you do the math.”
3. Network like crazy. As many times as you’ve heard it, you should network in person (think local business meetings or charity events) and online (use Twitter, Facebook and LinkedIn). Plus, have your elevator pitch down cold, and use it all the time. Patrick Doyle, owner of Proforma Synergy (asi/300094), has a great pitch: “I’m not the ‘promotional products guy.’ I sell promotional programs and campaigns. I have four services: print, promotional products, multimedia and graphic design. I put all those together by creating effective programs and promo campaigns that get measurable results for my clients.” He also gives out unique business cards, like a chocolate bar with his contact info on the wrapper or a desk game that people tend to keep.

The ABCs of ROI
By Shane Dale
March 2010

What could an international security company and a two-time bikini contest champ possibly have in common? Just like any of your clients, they both want to see results for the money they spend on promotional products. Here, distributors and experts discuss how measuring return on investment secures more sales.

Despite the obvious benefits, 97% of distributors do not fully calculate return on investment (ROI) for their clients, according to Cliff Quicksell Jr., founder of Quicksell Consulting. “The challenge that the distributor has is that typically their interest is in selling the product, dumping it off and walking away,” he says. “A true consultant will help a client understand what the ROI really is.”

Those who don’t will lose the sale to someone who does.

For Brand Fuel Inc. (asi/145025), it’s a calculated move, quite literally. Accurate ROI measurements are one of the major ways that the company attracts new clients, according to Danny Rosin, president. “We get in front of the sales manager and find out what’s their average sale and what’s their average margin on that, and how many things they’re selling,” he says. “We take that information and plug it into a pretty easy equation.”

That equation was recently put to work for one of Brand Fuel’s biggest clients, G4S, one of the world’s largest international security solutions companies. “They do insurance claims and they’ll do onsite security of buildings,” Rosin says. “They do investigative work and recon that you would not believe.”

As such, G4S wanted to create opportunities for its sales reps to get in front of new and existing clients to generate additional business. To determine the best course of action, Rosin asked some probing questions of G4S management, including: How do they currently motivate their sales force, especially considering the downturn in the economy? How successful are their sales reps in connecting with clients at present, and how has that been working for them? What do they value more: retaining current clients or obtaining new clients?

Based upon management’s responses, Brand Fuel decided to provide the G4S sales reps with promotional kits to give to the decision-makers of current and prospective clients. The kits included a logoed G4S journal, a logoed USB memory drive preloaded with G4S information, an engraved pen and an area for the sales rep’s business card.

Rosin was able to sell G4S on the program by drafting this amazing ROI report:
• If 55 G4S sales reps purchase an average of 15 promotional kits (a total of 825 kits) at $30 each, the total cost of the program for G4S will be $24,750.
• Assume, based on previous data, that the average gross profit for each successful sale by a G4S sales rep is $8,500.
• If G4S sales reps score a sale on just 5% of the 825 kits that they hand out in a year (a total of 41.25 sales), the gross profit from the promotion will be $350,625 (41.25 multiplied by $8,500).
• The net profit can then be calculated as $24,750 (the expenses) subtracted from $350,625 (the gross profit) for a total of $325,875 – an ROI of over 14, or 1400%.

The example illustrates Brand Fuel’s knowledge that offering clients functional promotional products can make or break a sale. “It’s not just, ‘Here’s my Web site or my card,’ ” Rosin says. “They’re branding themselves right in front of the buyer. They’re going to remember that nice meeting.”

Fit for a Small Business

Don’t think that ROI calculations are just for big projects. They can be used to measure the success of smaller ventures, too.

Case in point: Jodi Harrison, a certified nutrition specialist and two-time national bikini champion, wanted to take advantage of tough economic times by giving health-conscious folks an alternative to expensive health clubs. That’s why she created an alternative exercise and diet plan that people can follow online at her Web site, www.jodifit.com, for as little as $15.99 per month. “I thought it was a great time to do something like this,” she says. “It’s designed to offer people online training and nutrition for so much less than it would cost to hire a trainer to either come to their home or train at a gym.”

When Harrison launched her program several months ago, she decided that she needed help to spread the word. That’s when she contacted Gerry Barker, president of Barker Specialty Co. Inc. (asi/132690). “I didn’t have a lot of money and I needed to see some results,” she says. “That’s when he came up with the pen idea.”

The goal was simple: Harrison would buy logoed pens from Barker and hand them out to her family and friends, as well as people at the stores and shops that she frequents. “As this was a new venture and funds were limited, we discussed ways to maximize the return on investment while limiting the dollar outlay of funds,” Barker says.

Harrison purchased 500 pens, which were distributed freely to friends, family and others at grocery stores, hair salons and schools, and left in restaurants, nail salons and night clubs. Most people who used the pens were intrigued enough to look at the Web site. “My daughter’s friends have even gotten in touch with me about training them because of the pens,” she says.

Including shipping, the pens cost Harrison a total of $225 – and they were worth every penny. “Within two weeks, 18 clients signed up for training at $15.99 per month,” Barker says.

Just one month after Harrison’s distribution of the pens, she earned a gross profit of $287.82 from the promotion. Her net profit ($225 subtracted from $287.82) was $62.82, for an ROI of 28% in the first month alone.

But Barker notes that Harrison stands to make a much greater profit than that. “When her clients pay by credit card, they’re on an auto-repeat unless they make an effort to cancel,” he says. “If all these people do repeat, then the ROI will go up significantly.”

Indeed, Harrison notes that the shortest plan that she offers is three months. If all 18 of her original clients stay on for all three months, her gross profit will triple to $863.46, leaving her with an ROI of 3.8, or 384%. “I didn’t really believe people would respond so positively when I gave a pen to them,” she says. “It goes back to me starting a small business and putting my trust in Gerry.”

The pen promotion was so successful that Harrison has been inspired to add to her promotional product arsenal; Barker Specialties is in the process of creating posters for her, too. “I’m also going to put in another order for the pens and do some sort of gym bag, something sporty that I can give away,” she says.

Referrals Reap Rewards

One of Mike Emoff’s favorite ways to measure ROI for his clients is through referral programs. “Typically in the old way of thinking, if I were to put together a referral program for a customer, my customer would suggest an item and ask existing clients for the names of new prospects, and would send a gift afterwards that would support more of the same thing,” says Emoff, CEO of Shumsky (asi/326300). “In our world of promotional products, that happens every day.”

But Emoff has gone more in-depth for his clients. He uses Internet tools such as www.surveymonkey.com and www.zoomerang.com that allow him to track the ROI on such referral programs for his clients. “That’s the tool that we bring to our customers, and we also bring a point calculator,” he says.

Emoff put this strategy to work in a recent trial-run program for a client that serves as a distribution channel for computer cables and connectors. The company has over 10,000 customers. “They’ve taken a segment of 250 customers so far and pushed this referral program where for every referral they get, good or bad, they give their customers points,” he says. “Each individual has to register and complete the survey, and they can get up to $37.50 in points that they can use on a Web site we created for the company’s branded products.” These products include mugs, hats and computer bags.

Shumsky’s survey program calculates all referrals and points that are accrued by these customers, “so the company knows if they made a contact and a sale,” Emoff says. In the first three months, the program yielded 44 individual referrals, 12 of whom placed orders. “The average order size was $860,” he says, “so their sales specifically from this program totaled $10,320 of new business.”

Factoring in the cost of the promotional program, Emoff was able to calculate that the gross profit margin for the first three months was $4,080. The company gave out a total of 3,400 points to customers during the program. Each point was worth 25 cents, meaning that the points portion of the program cost the client $850. By subtracting $850 from $4,080, it was discovered that the gross margin yielded an ROI of 4.8, or 480%.

Better than that, the promotional items that the customers ordered via their accrued points will be used and taken out in public for the world to see. “I think we’re using promotional products the right way here, because when they redeem points for a logoed hat or a computer bag, the public is going to see the client’s name again and again,” Emoff says. “I think it’s an awesome program.”

ROI for Nonprofits

It’s one thing to calculate ROI for businesses that seek a profit. But there are numerous nonprofit organizations that also seek promotional product support and make up a large percentage of business for many distributors. How do their ROI criteria differ?

T. Neil Munn, owner of Rhino Marketing Specialties, an affiliate of Geiger (asi/202900), was asked by the Southeastern Affordable Housing Management Association (SAHMA) to come up with a program that would allow it to retain at least 90% of its current members and increase membership by at least 10% in time for its 25th anniversary. “The objective was to provide a meaningful anniversary gift to each member or potential member at each of the 10 scheduled SAHMA events at little or no cost to the organization,” he says.

Munn decided that a perfect promotional gift in this instance was a nice journal book that included an 18-month calendar, along with a logoed pen. “The custom books highlighted the organization’s 25th anniversary logo on the front cover,” he says. “Inside, 17 member sponsors created their own calendar page and paid a fee to do so. Other members sponsored the pens. The sponsorships basically paid for the entire 10-month program.” 

The journals and pens were distributed at national and state industry events.

In all, 3,300 journals at $6.16 apiece and 3,300 pens at 83 cents apiece were handed out to current and potential SAHMA members, for a total cost of $23,067 to the organization. On the flip side, SAHMA received 16 sponsorships for the journals at a total of $1,000; new membership generated as a direct result of the journals came to $8,000; and sales of extra journals came to $4,500, for a grand total of $13,500.

Of course, for any business looking to make a profit, the math doesn’t add up: $13,500 is less than $23,067. But sometimes ROI isn’t measured in dollars. “Our goal was to grow membership, and that happened,” Munn says.

In fact, Geiger was able to calculate for SAHMA that the journal and pen promotion resulted in a 20% increase in membership – double the organization’s goal. And even though profit was not a goal in this case, the long-term impact of the successful promotion will lead to additional funds for SAHMA in the form of membership renewals and additional sponsorships. “The popularity of the journals prompted many members to ask to be included in future co-op promotions,” Munn says.

Shane Dale is a freelance writer based in AZ.

Cold Calling vs. Referrals
By Jennifer Vishnevsky
September 2010

When it comes to booking new business, the right approach means everything. We asked sales reps to share their top cold-call and referral tips. Which will work best for you?

For Danny Friedman, vice president of Added Incentives Inc. (asi/106725), more cold calls = more appointments = more clients = more money. “Typically, to get to one client, it takes 100 cold calls, whether physical or on the phone,” he says. He uses the 3-P strategy: preparation, practice and positivity, and he finds it pays off.

But according to the 2010 Counselor State of the Industry report, 87% of new business last year came through referrals. On the flip side, 37% of new business came through cold calling. Even though referrals look like the clear-cut winner, there’s still a lot to be said for cold calling, and some sales pros swear by it. Here are the success stories behind each selling strategy.

COLD CALLING

1. Your Lucky Numbers
Gifts galore.

Four years ago, Deborah Price, creative marketing consultant with Geiger (asi/202900), was getting shot down. After making some contacts with a security company at an event and following up with them for two years, they just were not interested in seeing her goods. But, she didn’t give up.

As an associate member of the Building Owners and Managers Association, Price was determined to break through to the security company. She sent them a giant fortune cookie with a personalized message about the tremendous success the prospect would have if they used Deborah Price. In addition, the cookie’s “lucky numbers” were her phone numbers.

After sending the cookie, Price lucked out on one of her cold calls. “I requested an opportunity to show them what I do – they don’t have to buy from me,” she says. In addition, she had no expectations. She knew that the prospect had a promotional products rep that they had been working with. Since the rep was coming in, the prospect allowed Price to come in and piggyback.

Eventually, Price got the opportunity to present her gift ideas. “In my head, more than likely they would throw me a bone. I figured that the worst-case scenario was that they’d continue with their old rep, but they’d give me the opportunity to provide candy for the receptionists,” she says.

The day of Price’s initial meeting was just short of disastrous. The address on her contact’s business card was in downtown Los Angeles, but the office was in Orange County. “It was off to a crazy, rocky, messed-up start. We’re all sweating and I walked in late,” she recounts. It turns out,  she wowed the client. She set up the conference room with beautiful gifts, including items from Leed’s and Cutter & Buck. She presented everyone with a folder of the items she was presenting. She also provided a “Thanks a Dozen” box filled with bagels and cream cheese for everyone.

“They ended up buying those from me as well. It turns out that they were so wowed by my items and passion that they gave me the order for the gifts,” she says.

Since that meeting, Price has been the client’s only source for premiums and gifts. “It’s been amazing. I am their exclusive person. They told every salesperson to go through me for their giveaways and trade shows,” she says. Her total sales figures for the client are approximately half a million dollars.

2. Heartbreak Hotel
Don’t treat him like a hound dog. 

When Dave Mann was selling copy machines, he knew cold calling was the way he had to go. “There’s not a lot of repeat business in that industry, so in order to be successful, it was 50 cold calls a day, rain or shine, sleet or snow,” says Mann, the director of national accounts for Promotional Designs Inc. (asi/300830).

When Mann switched industries into the promotional world, he applied the same formula and sold over $1 million in his first year. “I approach cold calling as, ‘What the heck, they are currently buying nothing from me, how much worse could it get?’ ” he says. To him, cold calling is true selling, and the rest is just account management. Most years, he sells about $3 million.

When Mann prospects for new clients, he finds pursuing a common interest works. For months, he called on a national music magazine publisher because it was 90 miles away and there wasn’t much other business in the area. He subscribed to the magazine and is a huge music fan, so he had some good ideas to present. The contact never called him back after numerous voicemails over about six months. “One day, I called the receptionist and told her my story and said, ‘What’s up with this lady? She never calls me back. What kind of person is she?’ ” he says. The receptionist told him that the contact was a huge Elvis Presley fan and her office was decorated with all kinds of Elvis memorabilia.

Mann waited several weeks, until August 16, the anniversary of Elvis’ death. He left a voicemail in an “Elvis” voice saying, “Hey mama, this is Dave. I too am a huge fan of Elvis and your not returning my calls has got me ‘All Shook Up.’ In fact, I am staying at the ‘Heartbreak Hotel’ until I hear back from you. Any true fan of Elvis would certainly call me back on the anniversary of his death. Please don’t treat me like a ‘Hound Dog.’” Within five minutes, the prospect called him back and said, “You got me.” After a good laugh, she scheduled an appointment with Mann. He mentioned that he had some good ideas, he did local imprinting and could provide some services that she wasn’t getting. He also ordered a pair of Elvis sunglasses and an Elvis wig, and arrived at the appointment wearing his new accessories. His contact greeted him with delight, hugged him and proceeded to steal his Elvis stuff for her office display.

Mann’s first order with the magazine was for polo shirts. Seven years later, he still does business with the client, even though his contact has since retired. He has been able to penetrate other departments within the account and continues taking orders for T-shirts, hats and other apparel items, pocket knives, chip clips, duffel bags and writing pads. He has sold approximately $200,000 worth of items to this client.
To this day, the receptionist still calls him Elvis.

3. While You Were Out
A memorable fax.

For Ryan Sauers, getting a return call required a creative push. The president/CMO of Sauers Communication (asi/319273) was trying to work with a religious-related entity in his area. “I called on them over and over again. They liked our company, we said all the right things, and they said they were serious about moving their business. The problem was, we couldn’t get them to move off dead center and pull the trigger,” he says.

The tough part for Sauers was that he knew the prospect, he just couldn’t get a return call. “I’d get the receptionist, I’d get voicemail, but I couldn’t get them on the phone. If someone is telling you that it’s a great fit, how do you get their attention?” he says.

About five years ago, Sauers went into the prospect’s office and noticed that the receptionist used a “While You Were out” slip. He decided to go in for the kill and make sure that his message got to the main part of the office. He took the slip and wrote, “Please call Ryan Sauers. He’s having a hard time reaching you. You’ve been chasing each other. Signed, Ryan Sauers.” He blew up the note to 8" by 11" and faxed it to the office.

Within an hour, Sauers got a call from the prospect asking when they could get together. In the first meeting, the prospect mentioned Sauers’ creativity, his confidence and his persistence. The prospect said his unique thinking was the push it took to provide an opportunity.

“We were able to develop a relationship and start talking about the people we knew in common. We set up a subsequent meeting with both of our staffs, which led to moving the first projects in our direction,” Sauers says. The new client started booking more orders with him, and eventually ordered apparel, giveaway items and brand-identity products. “This client has also helped get me business with its sister organizations,” he says.

The client has worked with Sauers for about four years now. “They were loyal to their other supplier and didn’t have a desire to change. It took something to get their attention,” he says. He now books about $25,000 per year with the client.

Even though Sauers’ staff thought the fax was risky, he has no regrets. “What would have happened if I had just quit? Try a different direction, try something off the wall. That was either going to work or bite me in the butt. I knew that fax would stand out,” he says.

REFERRAL SPECIALISTS

4. Unveiling a Brand
Four steps to a logo.

Michelle Altobelli, CEO of Altobelli Advantage Inc. (asi/119272), decided to take the plunge with her financial client. During a meeting, her contact introduced her to another contact interested in a few projects. She called him and set up a meeting.

It turned into a lucrative referral. Altobelli’s prospect was doing a new branding launch – a multi-faceted project. First, they wanted to introduce a new logo to the management team, but they didn’t want the logo leaked during the meeting with Altobelli. Two weeks later, the client wanted to start getting employees in the 12 offices pumped up for the logo launch. They focused the promotional campaign around a building theme, so Altobelli created cards that had part of the logo on the back and explained that the barn-raising was a group effort.

Each week for four weeks, Altobelli sent out a promo item with a card, telling the employees to stay tuned to see the whole logo revealed. These items included work gloves, a plastic dump truck, a flashlight and finally a tape measure that had the full logo on it.

After the logo launch, the client asked Altobelli for some usable office products. “Because the logo was so intricate, we packed a Post-It cube, some inexpensive pens, a coaster set with the debossed logo and coffee mugs,” she says.

Since the initial referral, Altobelli has reordered four of the items, helped roll out a company store and is currently working on their client-appreciation project. She has earned about $12,000 in business so far.

And, the future looks bright. “Two of the people I’m working with are also subcontracted with another company, so they will use me for other referrals,” Altobelli says.

5. A Healthy Connection
Knowing the right people.

Over eight years, Peter Bolognese, owner of Proforma Brand X (asi/300094), developed a strong relationship with the Georgia Association for Primary Health Care (GAPHC). It was only natural that GAPHC would be the source for some great referrals, and he was able to build a solid business with community health centers.

Bolognese works on graphic design, printing and promotional products for GAPHC, so his background working with the association provided a knowledge and understanding of what the health centers need to succeed. “It seemed like a natural progression to be servicing their members,” he says.

In November 2009, GAPHC referred Bolognese to MedLink Inc, which has 10 locations in Georgia. He was able to meet the executive director at an annual conference and then again at a GAPHC-sponsored event. Bolognese’s contact at GAPHC attended his initial meeting with him, which provided a great entry. “We had done so much work over the years that she felt comfortable giving me a glowing review,” he says. Initially, Bolognese added the MedLink logo onto a pen, but the client wasn’t sure about it. Instead, Bolognese offered a logo design branding strategy to show what he could do for MedLink. “The client first needed pens. I told him that I could certainly do that, but I could also do a whole lot more,” he says. He booked a small order for pens, but he also began reviewing MedLink’s marketing efforts and realized that a marketing plan was nonexistent.

During the next few months, Bolognese developed a marketing and advertising plan, a new identity (logo), stationery, advertisements, billboards, website (currently under development), multiple promotional items, banners and a direct mail campaign. He is also now moving into uniforms and higher-end promotional products with MedLink. “We are the go-to company for MedLink, handling all media requests, marketing and campaign development,” he says.

In 2010, MedLink is spending $115,000 with Bolognese. Since he started working with MedLink, the marketing director at another center has reached out to him for some projects, as well. “Our business is based on maintaining our clients and referrals,” he says. When good word of mouth gets around, healthy sales ensue.

6. Get Your Motor Runnin’
A simple 7 a.m. request.

When Jason Mallin, owner of The Garage Promotional Group (asi/466394), wanted to breach the front gates of Brainerd International Raceway (BIR), the scene of the fastest recorded drag race time on the planet, he went to his fellow Business Network International (BNI) members to find a way in.

According to Mallin, the city of Brainerd, MN, has only a handful of truly large clients (those with a yearly budget of over $30,000) available for business “I had four of them already, so getting BIR was crucial to growth in the area,” he says.

The new owners of the race facility were just getting their feet wet, so at his next early-morning BNI meeting, Mallin showed a 60-second commercial that showcased specific things he could do. Then he asked his fellow BNI members for a referral and introduction to the new owners. He got three responses.

Mallin’s commercial said: “Did you know that online stores for promotional products can turn a souvenir shack into a 24/7, 365-day-a-year retail location? Utilizing existing brochures, your website, receipt messaging and more, you can drive people to purchase all year round, even though the business is closed for winter! Today, I am looking for a personal introduction to the new owners at BIR. Their current product offerings, cost and poor visibility tell me that The Garage can really tune up their brand.”

Mallin received a call from one of his referral sources, who said that the raceway owners wanted to meet him at the track that afternoon. “After introductions, we went through all of the products they had been offering, the location they were selling at and some of the pricing they had been paying,” he says. He took all of the information home and started to put together a plan for private-label apparel, custom caps, better art design for event T-shirts and a broader mix of promotional products. “Our follow-up meetings were all about orders, art proof reviews and the next steps in going online and licensing products that are sold off-site,” he says.

After a few initial meetings, quotes and conceptual art ideas, Mallin was given his first order – 15,000 custom-designed caps. That was followed by a total of 1,500 event tees and promotional products. His first-year sales topped $50,000.

“Over the past five years, while their business evolved, so did our products,” Mallin says. He worked with BIR on an online store, remote-location licensing and trade-show apparel and equipment. “Our apparel has gone from event-style to a more retail look with watermark designs, varied T-shirt options and a new selection of distressed and reversed-laser tackle-twill sweats,” he says. “While each year is different, we have seen sales steadily grow, and it was all because I simply asked for an introduction at a 7 a.m. meeting,” he says. Since 2006, working with BIR has resulted in sales of $146,870 for The Garage.

Jennifer Vishnevsky is a staff writer for Advantages.

The Expert’s Opinion

1. 

For cold-calling success, Wendy Weiss, “The Queen of Cold Calling,” encourages sales reps to focus on prospects that have a need for what you’re selling. Preparation is key, especially in terms of having something compelling to say.

“I get a lot of resistance about the word ‘script.’ People think that they can’t be themselves or they’re not actors. But it’s really about being prepared with what you have to offer,” she says.

Weiss reminds sales reps that cold calling is a communication skill, but it also needs to be a process. “How can you help the client? What problems do you solve? When you call up a prospective new client, you want to talk about how you’ve helped your existing clients solve the problems that they have,” she says.

According to Weiss, one of the best reasons to cold call is to fill the gap in leads. “If you’re not getting enough leads from networking or social media, you can cold call to make up the difference between the number of first appointments you need and the number you are actually generating,” she says. Also, she adds that cold calling is under your control because with networking, social media or referrals, you’re more dependent on the other person.

One of the common myths about cold calling is that it’s a numbers game. Weiss says that calling until someone says yes is not the way to go. “You have to be strategic and targeted. This is a communication skill and it also needs to be a process,” she says.

Weiss also encourages reps to remember that cold calling is an introduction, not a sale. “When you’re making a call to the prospect, you’re not asking them to buy from you over the telephone. Focus your approach on the market that you’re calling to. It has to be specific and there’s no generic approach that’s going to work,” she says. And in terms of a takeaway, remember this voicemail tip: “Leave your name and phone number twice – slowly,” she says.

2. 

Less than 30% of salespeople ever ask for a referral, yet it’s a proven strategy for sales success. According to Joanne S. Black, an expert on referral selling and the founder of No More Cold Calling, conversations with a referral start in a different place. “With cold calling, they’re not expecting your call. With a referral, you’re pre-sold – you have some trust and credibility,” she says. With that introduction, she typically hears that about 70% of prospects are converted to clients.

Black believes that current clients are a great source of referrals, but also the most underleveraged. “You need to start where you have the best relationship. You never know who people know,” she says. Also, be as specific as possible about your ideal clients. “It’s not just anybody – you need to know who you want to talk to. That’s part of the preparation,” she says.

When meeting with a prospect, Black stresses the importance of expressing your value. “You need to be crystal clear about why someone should work with you. Answer the question of why they should do business with you. Talk about the results or the impact your products have delivered to other companies,” she says. After being clear about what you’re looking for, ask your clients about a few people they know for an introduction. Referrals also shorten the sales process. “Typically, the competition goes away. If it doesn’t, it’s certainly diminished,” she says.

Black recommends establishing metrics for referrals. Just like with cold calling, sales reps should decide how many people they will ask for referrals, and track how many they receive and how many meetings they conduct as a result.

Smile Your Way to Sales
By Kathy Huston
June 2010

The human brain prefers happy faces. So says Carol Kinsey Goman, Ph.D., president of Kinsey Consulting Services and author of The Nonverbal Advantage. When you smile at someone, they almost always smile in return. And, because facial expressions trigger corresponding feelings, the smile you get back actually changes that person’s emotional state in a positive way. Here are three reasons smiling can get you more sales, all backed up by in-depth research.

1. You’ll be unforgettable. Research from Duke University proves that we like and remember those who smile at us – and shows why we find them more memorable. Using functional magnetic resonance imaging (fMRI), the Duke researchers found that the orbitofrontal cortices (a “reward center” in the brain) were more active when subjects were learning and recalling the names of smiling individuals. 
2. You’ll encourage collaboration. According to a report by the British Psychological Society, positive and negative emotional responses systematically alter the use of language. Speak to a positive listener and people will likely use more abstractions and subjective impressions. But if people talk to a negative listener, they’ll probably stick to the relative security of objective facts and concrete details. Researchers speculate that this is because the smiles and nods of a positive listener are interpreted as a sign of agreement and understanding, encouraging the speaker to provide more of their own opinions and speculations. By contrast, negative listeners provoke speakers to adopt a more hesitant and cautious thinking style. 
3. You’ll improve your productivity. Charles Garfield, author of Peak Performance, once coached the Russian Olympic weight-lifting team. Garfield noticed that when team members lifted to exhaustion, they would invariably grimace at the painful effort. In an experiment, he encouraged the athletes to smile when they got to that point of exhaustion. This seemingly minor difference enabled them to add two to three more reps to their performance. No matter the task, when you grimace or frown while doing it, you are sending your brain the message, “This is really difficult. I should stop.” The brain then responds by sending stress chemicals into your bloodstream. And this creates a vicious circle: the more stressed you are, the more difficult the task becomes. When you smile, your brain gets the message, “It’s not so bad. I can do this!”

Cracking the Financial Code
By Shane Dale
May 2010

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The financial sector has changed significantly in the past two years, but one thing remains the same: Distributors are making some serious bank with this market.

Here’s how you make lemonade from lemons.

Maria Perez, president of the Elmsford, NY, office of Adventures in Advertising (asi/109480), admits that the financial sector’s recent struggles have forced her and her bank clients to think differently. “They have to be more creative with the fewer funds that they do have – especially those that received TARP funds,” she says. But that’s not necessarily a bad thing.

Ironically, this led Perez to encourage Amalgamated Bank to make its dollars go further by investing in higher-end promotional items. “Recently, we put together a program to encourage their customers to open up CDs in various amounts,” she says. “We set up showcases in the branch locations that showcased some of the premium-type gifts that their customers would get for investing their money.”

Some of the items that customers can win – depending on the amount they invest – include a 19-inch LCD TV, a 17-piece cookware set, an iPod Touch and an iPod Shuffle. The items came from Apple, Coast Fulfillment Corp. (asi/45523), Leed’s (asi/66887), and Logomark (asi/67866).

“They found that people would come to invest their money not only because of the attractive investment rates, but because of the added bonus, which was the gift,” Perez says. “Each week, we get a form that the bank created that’s filled out with the gift that their customers have chosen, and where to ship it to.”

So far, Perez has received about 75 Excel sheets from the bank with an order of 10-15 products per sheet. “Since the launch in the beginning of July, we’ve gotten over $50,000 in business that we would not have gotten otherwise,” she says. “They still have the program running in one branch, and it will expand to two new ones in the next month or so.”

While it wasn’t easy to convince the bank to go with pricier items, Perez explained why investing in hundreds of high-end items, rather than thousands of low-end products, would be a more worthwhile investment. “One of the keys for breaking into that industry is persistence and serving them as a consultant,” she says.

One-Stop Shopping

Banks, now more than ever, are fully focused on maintaining the integrity of their brand, says Holly Nethers. When it comes to the wearables she sells to her bank clients, that involves creating a standard look.

“They’re also very bottom-line conscious,” says  Nethers, the owner of Proforma OneStop (asi/300094). “Bankers want really high-end perceived value, and they want it to work within their budget. They want to control their brand and look like a million bucks, and pay $9.95 to get there. Most companies are like that, but banks especially.”

Nethers recently secured a lead with a marketing department of a large bank based in Oklahoma. The initial meeting with the bank’s reps went well, and a month later, she was given the opportunity to participate in a request for proposal to provide the bank with an online company store that would include logoed items, including apparel, for its employees, marketing departments and human resources staff. “The process started in November 2008, and we were awarded the contract in July 2009,” she says. “Their objective was to create a centralized purchasing vehicle that would not only control cost on what they paid for items, but control their brand a little better.”

The bank’s challenge was its lack of uniformity, according to Nethers. “This organization has 24 different logos within their bank – a mortgage division, an asset division, a stock-and-bond division – so there was a lot of renegade purchasing, literally, from the clothing they were buying to the way the item was decorated,” she says. “If you order a red shirt, you get a two-color logo; with any other color, it’s an all-white logo. There were just a lot of control issues that they were having with different marketing managers ordering whatever they wanted.”

Nethers used the platform provided by ePromos Promotional Products Inc. (asi/188515) to create an online store that streamlined all of the bank’s apparel purchases. “You can actually build a site with custom graphics and text, load products and images, and a secure shopping cart is included,” she says. “The program has worked really well in that when they place an order, they get a call center number, we get that order approved by the call center manager, and we can take a credit card if it’s a personal order. If they don’t see what they want, they can click for custom products, and that e-mail comes straight to me.

“That was a huge plus for them. It streamlines people’s time. They’re not having to scramble around and find and hunt. It’s ‘click, boom, thank you.’”

Also appealing to the bank is Nethers’ “near-zero” inventory model, which means that there isn’t a need to carry excess inventory. “That’s a very meaningful thing out there right now, because people don’t want to have a lot of their dollars invested in their decorated merchandise,” she says. “People want to stay on the cutting edge.”

Another plus for the bank is that Nethers works with vendors like Leed’s (asi/66887), Gemline (asi/56070) and Norwood that have worked with her in lowering their costs for minimum orders. “It’s been a real team effort with the vendors we selected to manage this program so we’re not hit with a $50 setup charge when you’re managing 24 different logos,” she says. “We were able to pass on all the cost savings to the client.”

Along with apparel, items that are included in the online store are drinkware, bags, golf supplies and writing instruments. “We also consolidated their holiday cards,” Nethers says. “We have five different custom designs, and we were able to offer them in quantities from 50 to 1,000.”

Proforma OneStop has already grossed $123,000 from the store that was opened October 1. “We expect to do about $500,000 a year,” Nethers says. “I think we’ve saved them about $75,000 so far on this program just by doing the consolidation and lowering those minimums.

“It brings everything within one umbrella, controls their brand, their costs and the quality of the merchandise being ordered. They’re really, really happy with us, so I’m grateful for that,” Nethers says.

Think of the Children

When distributors think about the financial industry, children are probably not the first thing that comes to mind. Barbara Burcham, owner of Ad-Specialties & More Ltd. (asi/113357), is here to tell you why that’s a mistake.

“We have had several financial institutions as clients for years,” she says. “We started all of them on the simple things like pencils, pens and notepads.”

But Burcham wanted more. She wanted to become an apparel provider for one bank in particular: McClain Bank. That’s when she saw an opening that would allow her to gain credibility as a creative solutions provider. “Nobody was really doing anything for the kids,” she says. “We began talking to them about a children’s program – using piggy banks, coloring books and quarter holders.”

But kids aren’t financial clients – right? “They can open a savings account if they’ve got a parent with them,” Burcham notes. “That was kind of the idea: To get the kids to come in and start saving.”

When a parent came into the bank with one or more children, the bank tellers handed out a coloring book to the kids that taught them about saving, and they and their parents received information about the possibility of opening up their very own savings account. The kids received additional promotional items for opening a savings account, including a logoed piggy bank and mini ruler on which they could color. “They’d come in with the parents and put their 50 cents into their savings account,” Burcham says. “The piggy banks were just a big hit.”

Burcham’s creativity in selling to a previously untapped audience in the financial sector attracted parents to the bank, which impressed McClain enough to entrust Ad-Specialties with the grown-up items that she had wanted to sell them all along. “From there, we talked them into apparel,” she says. “Now, the bank has its own online apparel store. All of their employees from seven banking locations can access it and place their orders there. That program is a definite winner.” 

The online apparel store is run through Ad-Specialties’ Web site. “It helps them immensely because they always hire new employees, and rather than have shirts that don’t fit anybody, they can pick three or four shirts that do fit,” Burcham says. “They get their choice of colors with their logo. They can wear them to work. It’s been pretty popular.”

Burcham began the program about four months ago, and she has already created about 100 items related to orders from the online store. But she still remembers that it was her pitch to kids that got the ball rolling. “I just thought it’d be kind of fun to get coloring books in there, and piggy banks of course, and little cardboard things in which you could put your nickels and dimes and pennies,” she says. “It became very popular.”

Supply-Side Economics

Audiobook download cards are especially popular with individuals 35 years of age and older, according to Mark Bruk, vice president of promotional development for CFS Promotions for Now! (asi/42989), a gift card supplier. He recently put this knowledge to work for one of his distributor partners that wanted to create a program for a financial products broker with independent sales offices across the country.

“Audiobook download cards were handed out at the end of Lunch and Learn seminars they host each month,” Bruk says. “Attendees received the card and went to the independent sales office Web page, where they completed a survey that the broker created and hosted.”

The survey included a request for contact information, and contained a series of check boxes that asked the customers if they wanted to receive additional information on other products and services that the bank offered, such as life insurance, disability insurance or general brokerage services. “Upon completion of the survey, the attendee is able to select and download their audiobook,” Bruk says. Perhaps most importantly, the promotion is also linked to the customer’s Web site, “so that they get the eyeball traffic,” he says.

Bruk was able to steer the distributor in the right direction after learning the demographics of the broker’s Lunch and Learn attendees. “Depending on the target demographic, the broker office selects the product to be utilized,” he says. “For the young-adult market, the music download cards are more popular. For the 35-plus, college-educated audience, the audiobook downloads are becoming more popular due to the perceived $20 value of the audiobooks.” In reality, the cost of the audiobooks to the broker in this case was $5 each for an initial order of 500.

As of April, over 40% of the audiobook cards had been redeemed and the program doesn’t expire until May 31. The broker has enjoyed the promotion so much that it recently ordered an additional 1,000 audiobooks, which are being released in four batches of 250 each. “In addition, the product has been added to the online store that the distributor runs for the company so that other offices can order the cards,” Bruk says.

Shane Dale is a freelance writer based in AZ

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Blueprint for Sales Success
By Robert Carey
June 2010

Sales pros dissect the sales process step-by-step and share their best tips from real-life experience.

Unless you’re inside their heads, nobody really knows the exact moment the customer decides to buy from you. s It could be when you walk into his office and remind him of his best friend. Or it might not be until she is convinced – through your powerful presentation skills – that you could make her look like a hero to her boss. The point is, selling is a process, from initial prospecting all the way through to the follow-up that seals the deal and delivers the goods. Here we bring you great ideas and fresh perspectives for each step of the way, all boiled down into a handy blueprint for success.

1. Prospecting
The cardinal rule: Never get complacent, relying only on the usual avenues. “Whenever we hire a rep, the first thing we require is that they list 100 people they have relationships with, from family to friends to people in their community they know even in passing, with whom they could develop their business,” says Andrew Langsam, president of Dynamic Advertising Solutions (asi/184666) in Arlington, VA, and Philadelphia. “This way, on day one, they have their very own starting point for reaching out and generating business.”

Think outside the usual business parameters to identify all of your business possibilities, always carry business cards, and ask people in every area of your life to refer you to others. Lilian DeAngelo, owner of Proforma Custom Business Services (asi/490466) in Marietta, GA, broadened her prospect pool just by looking outside the front door of her distribution center. Calling it “business-neighbor prospecting,” she sent a box to the companies that are right in her corporate park, plus those in other complexes around town, with materials introducing her services.

DeAngelo also included a printout from Mapquest.com that shows exactly where her firm is located in relation to that prospect. “I ended with, ‘We should get to know each other better,’” she says. “When they can actually see that you’re right around the corner or just five minutes away, it creates a connection; you have the shared experience of the town, using some of the same vendors, eating at the same restaurants, having the kids go to the same schools. Salespeople often overlook the possibilities right under their nose.”

Regardless of the avenue you’re mining at a given moment, your desire to make that prospect’s business more successful must come through in your interactions. Case in point: DeAngelo recently brought a marketing consultant on a sales call, and afterward he remarked on the excitement he saw in her as she explained her services.

“Showing that passion is a huge key to sales; it’s infectious,” DeAngelo says. “It’s not about being a ‘people person,’ because that doesn’t help in sales as much as some might think. It’s more about being excited about your products and how your efforts will help increase your clients’ revenue. If you learn that difference, you’ll focus on the right things.”

2. Qualifying
If you’re going to expend that much effort on each prospect interaction, it’s imperative that you don’t waste time and energy on those folks who cannot make or influence a buying decision.

Jack Carroll, principal of SalesLinks Inc., finds that asking about the specific problem, need or desire that the contact has in his or her work cuts to the heart of the matter. “If they can’t answer that, you don’t have a legitimate prospect,” he says.

Even if this primary qualification is met and the rep establishes the value of her services, Carroll stresses that the rep must probe further regarding, first, people. Who is involved in the decision-making process, and what are their roles? There are often multiple decision-makers involved in a sizable sale (marketing, procurement, HR, etc.), each fulfilling a different role that requires different information from you.

Next, ask about the process: How does the organization make such decisions? What are the steps and processes? Map it out and get their agreement on the map. Then, there’s the question of timing. Why are they looking now? When will they be evaluating or buying? How long will it take them once they start? What is the level of urgency? And then there’s the money talk. What’s the budget? Is it approved? Is it adequate, or will they have to get money from new allocations?

There’s one more variable to flesh out: the willingness of the prospect to switch vendors. New York-based sales consultant Stephan Schiffman notes that a rep’s biggest competitor is actually the status quo. If a vendor isn’t delivering all that’s desired, many firms think it’s easier to work out the problem with the current vendor than to start from scratch with another. So reps must ask questions that produce information they can use to convince a qualified prospect that switching will not be more costly or time-consuming.

Kelley Robertson, head of Robertson Training Group in Burlington, Ontario, suggests asking these open-ended questions: I notice you currently use XYZ Company. How long have you used them, and what do you like most about your working relationship with them? If you could change one aspect about your current arrangement, what would it be? What are the most important issues to you in this area of your business?

Cliff Allen, president of software firm Coravue and an electronic marketing expert, says that sometimes contacts are simply gathering information to become educated about a product category, but reps assume that they are evaluating products to make a purchasing decision. Those few qualification questions can reveal whether they’re prepared to seek management approval for a purchase. “While the prospect could turn out to be a valuable client in the future, it might be best in the near term for the rep to provide education and information through e-mail and the website,” he says. “When a contact is clearly gathering preliminary information for a project, a friendly e-mail might be all that’s needed to maintain contact for the time being.”

3. Brainstorming
When a qualified prospect wants to see possible ideas for their program, a rep should keep the questions coming. “I try to get as much fact-finding done prior to my appointment in terms of what the objective is, who exactly the audience is, what the budget is, plus the desired quality, quantity, and turnaround time,” says Janet Greenberg, president of Star Specialties (asi/334933) in Cherry Hill, NJ. “Even little things like knowing their logo colors really helps a lot. All of this lets me narrow down the universe of vendors I might use.” She also attends various trade shows to find items that would have the highest perceived value yet cost no more than the client budgeted for.

Connie Jones, president of Rimco Marketing Products in Orlando, FL, notes that custom-made products require all of that sleuthing, and then some. “We have to ask what purpose it will be used for, so we know how durable a product we have to create,” she says. “We’re trying to build an idea beyond their original concept; they usually ask for something very simple, but if that’s all they really wanted they wouldn’t need us. So it’s always more time-efficient and less expensive to have details on every aspect of their thinking.” Her offerings will include some simple choices that the client asked for, plus her own next-level ideas.

In short, “This is such a personal process. You might have the best idea, but if the person making the decision doesn’t like it, or if the idea is outside their corporate culture or personality, you won’t get anywhere,” says Langsam. “So we try to learn as many of those sensibilities as we can up front. It’s not just asking the goals and objectives of the program, but also if they’ve seen anything they liked that would give us a starting point for their preferences, which makes us both effective and time-efficient. Don’t think you are being a pest by asking lots of questions, and don’t pretend you know everything they need.”

Besides these interactions, reps can use Google to find recent news articles or press releases involving a client in order to get a feel for the direction of that company. Another way to spur creative ideas: Immerse yourself in the client’s industry. One rep for a small firm who landed a trucking company’s safety and performance-recognition programs actually went on an undercover fact-finding mission, conducting surveillance at highway truck stops. The mission: Determine which products were most popular among drivers, and how they used the products within their work space – the cab of a big rig.

To garner the full range of possibilities, Amy Kwalwasser, president of Kwalwasser Ad Specialties (asi/246663) in Round Rock, TX, investigates trends in the overall corporate and economic landscape, and even examines retail trends “to see if there are things that are not readily available in our industry that I could adapt,” she says. Other sources she uses: “I rely heavily on ESP to get my thinking going in different directions, and I will also look through a thesaurus to find different meanings or uses of the words that are in the tagline of the client’s program or event, or in their company slogan. And I always add the obvious product ideas to my list so I know I thought of them – and then I ignore them.”

Langsam pushes his reps to refer frequently to catalogs because they have the latest items. “But we make sure to have a sales meeting every week where we’ll brainstorm additional ideas or refine a rep’s ideas for a certain client. There is always one of us who’s done something for a similar type of client or had a similar objective,” he says. “You definitely need to kick ideas around with others; it’s much easier than trying to build something great all on your own.”

4. Presenting Ideas and Quotes
There are competing schools of thought regarding whether to present to a single person or to a group at a client firm. On one hand, if the right people in a group like your ideas, they can persuade others to go along. On the other hand, “Our contacts are often mid-level managers who see this project as a chance to make a positive impact in their company,” Langsam says. “They have to get approval from above, but they want to be seen as the one who provided the idea. And if we are making them look good, then it’s great for both of us.” So a one-on-one session can be fruitful if you have read the situation correctly.

Once you have the undivided attention of a key contact, “You must be cognizant of today’s budget limits – don’t walk in with a $20,000 idea when they’ve said they have $10,000 to spend,” says DeAngelo. But this does not mean that you shouldn’t try to upsell the client. The key: Bring real numbers into the meeting that prove the added value of the more-expensive option.

DeAngelo recently pitched a commercial-van builder that sought a compelling idea for a mailer. Based on previous campaigns where she used personalized URLs, she knew that it would likely boost response rate by as much as 5%. “Personalized URLs are not cheap to do,” she says. “But, when you talk about the additional benefits outweighing the cost, and show them proof, you demonstrate your knowledge as well as your commitment to maximizing their objectives.”

But, a standout impression comes not just from the product, the supporting data and the means of presenting it to the client. It also comes from a rep’s stage presence. Shelly Aberson, president of Aberson, Narotzky and White (asi/102667) in Westfield, NJ, recently landed a program for a Fortune 100 firm in part by setting up a soap opera-like story that incorporated the challenge that department faced. In the plot, she made her firm the hunk with a heart of gold, who listened carefully and then acted to save the day. “It took me about 30 seconds to set the scene for them, but it warmed them up to me because they saw I understood their needs, and that I would make creative use of the products I brought into the room,” she says. But because people always want to see what is new and hot, she also brings a few of the latest items from trade shows, just in case.

5. Closing the Sale
It might be due to the economy during the past two years, or simply a change in the nature of how decisions are made regarding promotional products and campaigns. But, the sales veterans we spoke to all said something like this: The close does not really happen in the presentation meeting anymore. “It’s been a long time since I presented and came away with an order the same day,” Jones says.

Increasingly, reps have had to deal with clients who aren’t as experienced as their predecessors, “so you end up training and teaching them, and they also have to get approval,” Jones says. As a result, momentum for the close has to build all along through the process. “I don’t close hard; it’s always been a consultative sale, so by the time we have the product built and we are quoting prices, there is not much left to close,” she adds. Particularly with larger firms, “all you can say is, ‘What more can I give you to help you present this to others? Do you want me to be part of that meeting?’”

The answer to that last question is usually “no,” so Jones makes sure to “present enough options so that when the boss asks my contact ‘what if …’ he or she has an answer,” she says. “And I stress that they can absolutely call me during that meeting if they have a question.”

Similarly, Kwalwasser describes herself as a very laid-back closer. “I try not to consider myself a salesperson in relation to the customer, but a consultant. I don’t have a canned closing speech; I try to listen well so I can figure out where the person is by the questions they ask, and also by the way they answer my questions – not just the words, but whether they are firm or hesitant,” she says. Perhaps the most important thing: Figuring out whether the primary contact has the power to say “yes” or whether they only have the power to say “no.” From that, she will figure out how to get that person or their boss to feel confident enough in her to say “yes.”

6. Following Up
In light of this environment, it’s most likely that success in finishing a deal will come from the strength of a salesperson’s follow-up. Langsam recommends sending an e-mail the same day confirming details of the meeting and thanking the contact for his or her time and confidence in you. What’s more, “Depending on the feeling the rep gets about the meeting, he or she will send a handwritten card,” he says.

But, when it comes to sending a small gift, Langsam is wary. “If you’re asking if we throw a Starbucks card in there too, we don’t, because a lot of our work is government-related, and that stuff can be taken the wrong way.” Instead, the handwritten note is the gesture that he feels gives his firm an opportunity to get in front of the client again, even if they don’t get that particular project.

The good news is that today’s environment is so time-pressed that it gives a rep a built-in reason to stay on top of the client. Before the presentation meeting ends, Greenberg asks the best way to make follow-up contact and exactly when the client wants to next communicate “so I don’t make myself a pest,” she says. And if a quick turnaround is necessary, she lays out the timetable for each step and asks if she should initiate contact at a particular time, to avoid rush charges for the client, of course.

Once Kwalwasser knows the project deadline (it’s often an event date), she makes a note in her ACT database to follow up with the contact by e-mail or phone to remind them that the window for producing what they want is closing. “I have no problem leaving detailed phone messages to review steps, ask where they are in the decision-making process, and to say that we only have a few more days before the opportunity to fulfill this is past,” she adds. “Getting a project to go forward is rarely a problem of money; it’s usually a problem of time. But we can use that to gently push them toward a decision.”

If Jones does not hear from a client after a week, she initiates contact to ask if it is still an active project, if it has changed direction or if the order has gone to another firm. “Nobody wants to tell you they gave the order to someone else, so we try to make it easy for them to say, ‘Well, the project took a turn; we’re not going to go the way we originally thought.’” By giving the client a diplomatic way out, Jones makes it possible for them “to turn you down but not feel that they can’t call you when the next project comes up. It’s a lot like a mother with her child,” she says.

When an order does come through and gets fulfilled to everyone’s satisfaction, Langsam moves quickly to compound the positive impression and lay the ground for future business: His firm will cater a lunch for 10 or 12 people in the client’s office. Why? “To let the contact be recognized as doing business with a reputable, caring company. It shows that the person made a good decision,” he says. “It also gives us an opportunity to meet other decision-makers there, so we are building our network and building goodwill. In the event that our primary contact leaves, we now have other contacts there to keep the account going.”

Robert Carey is a freelance writer based in NY.

Eco-Friendly Explained, from "Advantages University"
By Tonia Cook Kimbrough
April, 2010

Is eco-friendly jargon about as clear to you as a smog-obscured skyline? Here’s what you need to know about being green.

How Eco-Friendly Does a Promotion Have to Be?

Before planning clients’ eco-friendly promotions, clarify with them what environmentally friendly really means from their perspective. For example, are they satisfied that a promotional product is recyclable – the materials from the item can be reused? Or can the promotional product simply have a certain amount of recycled content – a percentage of pre- or post-consumer recovered material – in its makeup to satisfy the customer?

Some clients will require that products are organic. They seek options created from materials grown without the use of pesticides or chemical fertilizers. They may also care if the raw material used to create the product is sustainable, causing little or no damage to the environment because the resource is abundantly available and renewable. It might be important that the product chosen be biodegradable, ultimately breaking down naturally and absorbing back into nature relatively quickly once disposed of.

A keytag made from corn plastic, for example, could potentially meet a client’s demand for an object that’s organic, sustainable and biodegradable. As a viable alternative to traditional plastics, which are petroleum-based, corn plastic would also be a good choice for clients wishing to send a message about energy conservation.

Finally, when planning an eco-friendly promotion, consider not only the promotional product but how it will be imprinted, packaged and distributed. Are environmentally friendly inks required? What kind of paper will be used in the direct-mail piece that accompanies the product? (You might need to find a vendor that offers FSC-certified papers and soy-ink imprinting for the collateral.) Can the piece be distributed in bulk or delivered by hand to reduce the use of transportation?

Every element in a program is an opportunity for promotions that are greener from both an environmental and profitability standpoint.

Are Naturally Dyed Garments Worth the Hunt?

Natural dyes – those found in nature – are made from substances that can be organic, are biodegradable and are typically nontoxic. Indigo is an example. These dyes can create beautiful colorings of textiles. However, it’s worth noting that for many natural dyes to adhere to fibers there may be a toxic process involved (the use of a mordant, often a heavy metal ion).

Your best bet is to seek colors that come from the use of substantive dyes, which are typically made from edible materials, such as Turmeric (which dyes fabric a shade of yellow) and transfer their colors via the simple act of steeping the material in the substance. While all this information isn’t necessary to you being able to sell eco-friendly garments, it is useful when talking with suppliers and manufacturers of apparel. Ask questions about the textiles and dyes used in the garment you plan for a program.

5 Earth-Friendly Options

Curious about what to look for when sourcing for earth-friendly promotions? Try searching for these options:

1. Biodegradable corn plastic is used for everything from pens to mugs.
2. Solar-powered technology “fuels” earth-friendly flashlights, calculators and more.
3. Organic cotton, bamboo or hemp makes apparel “green.”
4. Recycled PET transforms traditional polyester and plastics into environmentally correct choices.
5. Naturally appealing products like plant seedlings, seed packets and even imprinted walnuts provide a clever alternative to man-made promotional items.

Acceptably “Green” Marketing Claims

The Federal Trade Commission (FTC) issued its Environmental Guides, often referred to as the “Green Guides,” in 1992 and revised them in 1998. The Guides indicate how the FTC will apply Section 5 of the FTC Act, which prohibits unfair or deceptive acts or practices, to environmental marketing claims. For information on how to comply, go to www.ftc.gov/bcp/edu/pubs/business/energy/bus42.shtm.

Green up Your Expertise With These Online Resources

• DMA Environmental Resource Center (www.dmaresponsibility.org/Environment) provides tools and publications to assist businesses in understanding environmental issues and teaches ways to conduct marketing in a more eco-friendly manner.
• California’s Office of Environmental Health Hazard Assessment (www.oehha.ca.gov/prop65.html) shares helpful information related to Proposition 65, the state’s Safe Drinking Water and Toxic Enforcement Act of 1986. The Proposition was intended by its authors to protect California citizens and the state’s drinking water sources from chemicals known to cause cancer, birth defects or other reproductive harm, and to inform citizens about exposures to such chemicals. However, many businesses across the United States have used Prop 65’s standards as a measuring stick to ensure green practices and products across state lines.
• EcoLogo (www.ecologo.org) is Canada’s environmental certification program that provides companies and consumers assurance that the products and services bearing its logo meet stringent standards of environmental leadership. EcoLogo has become recognized worldwide and is a leading certification mark in North America. It has been successfully audited by the Global EcoLabeling Network (GEN) as meeting ISO 14024 standards for eco-labeling.
• Green Seal (www.greenseal.org) is an independent nonprofit organization, based in Washington D.C., dedicated to safeguarding the environment and transforming the marketplace by promoting the manufacture, purchase and use of environmentally responsible products and services. Products with Green Seal certification have met rigorous, science-based environmental leadership standards. More than 3,600 products and services in over 286 categories have been certified since 1989. 
• Forest Stewardship Council (www.fsc.org) oversees a certification system that provides internationally recognized standard-setting, trademark assurance and accreditation services to companies, organizations and communities interested in responsible forestry.
• Organic Trade Association (www.ota.com) advocates and protects organic standards so that consumers can have confidence in certified organic production.
• U.S. National Organic Program (www.ams.usda.gov/nop) develops and implements national organic standards via the United States Department of Agriculture.

Eco-Apparel Terminology

With new “crops” of eco-friendly textiles entering the apparel marketplace, you’ll find it helpful to brush up on some “green” options:

• Organic fabrics use no pesticides, herbicides or insecticides during the growing cycle.
• Soy silk uses liquefied proteins (a by-product of making tofu) forced into fibers which are then spun.
• Ingeo corn fiber is created by extracting starch and then sugars from corn, and processing them into a form which can be spun into a yarn or woven into fabric.
• Fortrel EcoSpun polyester is made out of recycled plastic bottles and is frequently used for fleece.
• Biodegradable fabric has the ability to naturally break down and return to raw material or to be absorbed by the earth. The Federal Trade Commission guidelines say only products that contain materials which “break down and decompose into elements found in nature within a reasonably short amount of time when they are exposed to air, moisture and bacteria or other organisms” should be labeled biodegradable.
• Natural bleaching means that hydrogen peroxide was used to whiten fibers, rather than a chemical such as chlorine.
• Bamboo fabric is made from the cellulose fibers of the plant. It’s naturally antibacterial and 100% biodegradable and sustainable.

Where’s Green Going?

Green is moving ahead in consumer appeal, but perhaps at a slower pace due to the recent recession. According to a 2009 report from Mintel Oxygen, demand held steady compared to 2008, as 36% of Americans said they either “almost always” or “regularly” will buy green products. Looking ahead toward 2013, the research firm forecasts 19% growth in green product choices, particularly in personal-care products and household cleaners.

Which Ink for an Organic Tee?

Eco-concerned apparel buyers will likely wish to avoid plastisol inks, which use phthalates (basically liquid plasticizers) and polyvinyl chloride (PVC), when imprinting their organic apparel. Luckily, proven alternatives do exist. Wilflex Oasis, for example, is a formaldehyde-free, water-based line of inks. Wilflex Epic uses non-phthalate ink technology yet is designed to print and perform like standard plastisol inks. QuantumOne uses non-PVC resins and non-phthalate plasticizers, yet prints and cures much like plastisol.

Water-based inks are the safest choice for those seeking a green screen-printing option because there are no phthalates or PVC in them, nor are there metals, mercury or lead. The final imprint produced has a very soft hand and appeals to the senses, giving an impression of “green” to back up its actual attributes.

15 Sales Myths Busted
By Alex Palmer
July 2010

SHARE & BOOKMARK

When it comes to sales, conventional wisdom is not always so wise.

Bookstores, websites and infomercials offer countless pieces of advice on what it takes to boost sales. But, when it comes to selling promotional products, some of the conventional wisdom is not always on the mark, and may even be the opposite of what a sales rep or business owner should be doing if they are looking to bring in more business or hold onto existing clients.

“These myths get perpetuated because we want to assign some sort of value to what worked and want to be able to repeat it,” says Michael Port, author of The Contrarian Effect: Why it Pays (Big) to Take Typical Sales Advice and Do the Opposite. He points to notions like “sales is a numbers game” or that it’s key to “Always Be Closing (ABC),” as examples of where short-term tactics have supplanted the long-term goals of effective sellers. “When the person makes the sale, they may say, ‘Oh, I closed that sale because I used this tactic,’ when in reality they probably closed the sale in spite of that tactic,” he says.

Port is among the many experts and industry insiders who say that for truly effective selling, a different set of rules may apply for sellers. This month, we separate fact from fiction.

The Myth:
It takes a hard sell to make a sale.

The Truth:
You’re more likely to get business by not “selling.”

Sales literature is packed with stories of those who push through the doubts of skeptical clients, eventually convincing them of the value of their product and winning the customer’s business. But many in the industry say this can actually hurt business. “I am the farthest thing from a salesperson that you can ever imagine. I hate being sold to and I hate selling to people,” says Kathy Robinson, owner of WilKat Marketing and Specialty Promotions (asi/394019). “I offer my customers solutions, and if they want the solution, then we work well together. But I don’t try to ‘sell’ anything – I don’t like that word.”

Looking at what problems customers need to have solved, instead of how much money could be made, is an approach many distributors advocate. Robinson gives the example of a track coach she helped with a one-off order of flags for an event. Unprompted, the coach called two months later to order glow-in-the-dark cups and bracelets for a fundraiser. “It was just fun to help him out, and it seems to just come back to me over and over when I do that,” says Robinson.

Rob Knaszak, president of PDS Corporate Sales (asi/290671), says that even if a salesperson was to convince a skeptical client of the value of promotional products, the client might simply go for it on that single order and never be heard from again. “I can’t walk into a business owner’s office and convince them promotional products are going to help them sell their next power plant,” he says. “Either they are that way or they’re not, and they will reach out when they have a need. There’s never been that ‘light bulb’ moment during a sales meeting where I came up with a pitch that made someone who didn’t value promotional products suddenly value them.”

Knaszak says this is something sales reps too often have to learn the hard way. In his own experience, he has had huge companies unwilling to budget more than a fraction of what even some of his smallest clients spend on promotional products, and there’s little that can be done to sway them toward investing more. “I’ve had relatives that have companies who just don’t believe in promotional products, so I don’t try to sell them,” he says. “There are certain companies that believe in them and others that don’t.”

The Myth:
Sales is a numbers game.

The Truth:
Not necessarily.

While the phrase “smile and dial” may be a catchy saying, the notion that the more potential buyers you contact, the more sales you will make is untrue. Instead, a more systematic approach to seeking out the right sort of business prospects has proven more valuable for distributors.

Denise Graziano, president of Graziano Associates (asi/213121), has found that pursuing clients and referrals within the industries she is already serving can be fruitful. She began “going vertical” about 10 years ago, honing in on the insurance and health-care industries. Although it was difficult at first, and she felt like she might be letting go of potential opportunities by increasing her focus, it worked.

By learning from her clients and her own research about issues affecting brokers and health-care workers, Graziano found that targeting new clients came much more naturally, as she already had a sense of what their needs were. “When you can say you understand their industry, they don’t have to educate you on the work they do,” she says. “Your name comes up in the same industry, over and over, and you become the go-to person.”

John Moran, CEO of Starr International Enterprises Inc., advises sales reps to create a targeted list of prospects (generally of about 200 companies) that could benefit from knowing you, using research tools such as Hoovers and ZoomInfo, as well as social media sites including LinkedIn and Twitter. “You should become a subject-matter expert,” he says. “Educate your customer on trends in the industry negatively affecting similar businesses and innovative ideas to solve those issues.” He says sales has become more about buying than selling, and the salesperson who can provide targeted case studies and market research to potential clients is more likely to get the business.

The Myth:
Stick with what you know.

The Truth:
It can pay to diversify.

While going vertical has its advantages, by no means should an effective salesperson know just one or two industries. Christina Riordan, owner of REP Chicago (asi/303417), says she looks “across the board” for new opportunities. “The beauty of the industry is that you can work with everybody,” she says. After the challenges the economy presented, the distributors who rebounded often did so because of a diverse portfolio of clients, so as one sector took a hit, another was surging.

Larry Funk, president of Zeblue Corp. (asi/365684), says he would rather “be all over the place. I don’t want to be the financial guy or the pharmaceutical guy.” This was a lesson he learned from his earlier career in the garment business. The client base was limited and shifts in the market could feel like whirlwinds if they affected the few industries he worked with. Once he started up Zeblue, a diverse client base became a priority.

The Myth:
The Internet brings in a lot more prospects.

The Truth:
Personal connections are still key in growing your business.

A lot of business is local in the world of promotional products. Face-to-face meetings and familiarity with clients makes a big impact in maintaining strong sales year after year. Referrals remain one of the most consistent sources of new business for sales reps. “A majority of my new customers are referrals,” says Robinson. She cites a customer she worked with for a county fair promotion who then introduced her to several other local organizations, like Habitat for Humanity, leading to new opportunities.

A personal connection can also instill a sense of assurance in first-time customers, who might be a little nervous handing a big order to a salesperson they don’t know. “Clients worry that if they get on the Internet and find someone that way, if they have a problem with their order, it takes forever to get resolved,” says Shanda Reese Morton, vice president of sales for Reese Enterprises (asi/304982). “But if they’re working with me and they know me, they know who to call. That calms people down.”

Morton’s father started the company 16 years ago, and built up much of the client base by reaching out to locals near Reese Enterprises’ Ringgold, GA, headquarters. When her father passed away five years ago, she decided, “He would really want me to give it a shot,” and took the company over, following his personal, local sales style. “I have several clients who are mechanics – if I ever need oil changed or work done on my car, I know where to take it,” she says. It seems to be working. Last year marked Reese Enterprises’ best year in sales.

The Myth:
Personal connections are always better than Internet connections.

The Truth:
You've still got to have an online presence.

While getting to know your clients on a personal level is valuable, there are plenty of other ways to keep the lines of communication – and potential sales – open with clients. Morton has received responses by sending a blanket e-mail blast every week to her contacts, letting them know about deals and the products that Reese Enterprises is offering. She also uses Facebook and LinkedIn, utilizing the social media platforms to expand her impact with regular contacts.

Graziano advocates a “multi-pronged approach,” including social media and e-mail, as well as personal interactions, and emphasizes that nothing should be ruled out. “I just find that becoming more visible is a great way for people to get to know you,” she says. “Whether that evolves into a business relationship quickly, or takes longer, it’s a great way to stay in front of people.”

Funk, too, has found weekly e-mail blasts to be effective for staying in touch with the large number of contacts the company has. He says the value of sending out the blasts can be seen in the responses he gets back, which often have nothing to do with what the e-mail itself is advertising. Rather than putting pressure on the client, it just keeps you on their mind.

“I might have sent them something about magnetic memo clips and they send me back something about how they were thinking they should do bags for their next trade show,” Funk says. “It’s so they get the idea that we’re thinking about them, without being in their face or knocking on their door or making a phone call.”

The Myth:
Product knowledge is top priority.

The Truth:
People buy emotionally.

Sure, buyers want to know about the products they are buying, but often salespeople put more attention on this than needed. Expansive details about product features make the salesperson more of an unpaid consultant than a person carefully reading the emotional concerns of the client.

“Studies have shown that over 80% of the training offered to salespeople is product oriented,” says Joe Zente, president of Z3 Performance Development. “They then become eager to meet with buyers and tell them everything they know. But people buy emotionally, and features and benefits are not emotional.”

Similarly, when trying to make an impact on a new customer, the most important thing is often just to get the job turned around as quickly as the client wants, since a first-time client often comes to a distributor in a time crunch. Rather than needing to be swayed by an elaborate presentation, the customer just wants to know the job is going to get done quickly.

“A lot of times people are really on a tight deadline and they don’t even have time for samples,” says Riordan. “They just want to get the order in and taken care of.” She has found this to be the case more often than not, where practical concerns like turnaround time and price take precedence over all else. She cites a recent hotel client that was looking at notepads with four-color printing and large size, then downgraded to a basic option once they realized how long it would take and how much it would cost them.

The Myth:
You shouldn't give samples away unless you're sure they will buy.

The Truth:
You will stay in their minds if you get something in their hands.

As anyone in the promotional products industry knows, a tangible product with your name on it is an effective marketing tool. When Mark Mennell, owner of M Squared Specialties LLC (asi/470615), meets with prospects, he usually brings a scratch pad, pen and tote bag – standard promotional tools that anyone could use and will likely have around their desks for a long time. To help ensure his company’s name is on hand should a potential client need it, he also gives an extra sample to the receptionist.

By getting something in clients’ hands immediately after speaking, it shows how the company can meet the specific demands of the client (for a trade show or event, etc.), as well as the breadth of what can be offered.

But Mennell says it’s not just about getting another promotional product into the customer’s hands, but getting them an “eye opener” that’s somehow unique or of higher quality that might make them rethink how they’ve been doing their promotions.

The Myth:
Timing is everything.

The Truth:
No matter how you plan, they will buy when they are ready.

While a great distributor has to be ready to help a client when they need it, often this can come at unpredictable times. While staying in regular contact with clients is important for increasing the chances of future sales, there is often no telling when those sales might happen, and a distributor has to be ready to grab the opportunity when it comes.

“Most of the time you’re not going to be calling them the minute they need something,” says Mennell. “There have been places that I’ve stopped and dropped off information, and it’s six months or a year down the road when they call me up with an opportunity.” He will reach out to clients a couple months before they ordered last year, in case they are considering another large order and to see if they are looking at ordering something similar.

Bill Resnick, partner at Proforma Printing and Promotion (asi/300271), made an acquisition nearly two years ago of another Proforma company, with nearly 40 years of customers. The acquisition had been three years in the making, but the timing was finalized in October 2008, right as the bottom was dropping out of the economy.

“We planted the seed and said, ‘When you’re ready, let us know.’ It was lots of dinners and breakfasts before it came together,” says Resnick. “It really put us in a stronger position, thanks to those efforts and a bit of luck.”

The Myth:
In networking, bigger is better.

The Truth:
You might be more effective in a smaller group. Decide what works for you.
 
While joining a trade association or networking group is a great way to connect with other members of the industry, get effective sales tips and find new opportunities, sometimes it’s more beneficial to go with smaller, more targeted organizations. Morton was a member of an international networking group for several years, but decided recently that the annual membership payments were not providing the kind of return on investment she was looking for.

“We got tired of sending $400 to California, so we decided to start our own little group,” Morton says. Composed of about 20 local businesspeople from a range of industries, she has found her involvement to be more effective and more likely to lead to new sales than trying to navigate through a massive networking group.

Morton has also found success working through the chamber of commerce. She is a member of two local chapters, one of which she volunteers for as an ambassador, participating in charity work and attending events on behalf of the group. “Two of our largest customers came through ribbon cuttings for the chamber,” she says. “You build relationships that way.”

The Myth:
They call it "closing," because it's the end of the deal.

The Truth:
Closing is just the beginning.

Landing a great sale may be referred to as “closing the deal,” but for most small businesses, this is just the first step in what will be a long and mutually beneficial relationship with clients.

Resnick has learned that a deeper trust is established with the follow-up work he does after a sale goes through, often leading to more substantial orders. “We try to follow up with every single order,” he says.

While this has always been something the company prioritized (“It’s kind of the golden rule,” Resnick says), it came into clear focus when the economy went south in 2008. Finding new business was more of a challenge, and Proforma Printing decided to put additional effort into enhancing relationships with existing customers, showing gratitude with personal notes for every order that was more than $1,000, and gift baskets or some other token of gratitude for anything more than $2,500. Resnick credits these efforts for helping the company retain its customers throughout the recession, and it is now standard practice.

Similarly, even if things are going well, it’s not a time to do a victory dance, but to look at how your organization can build and further its goals. “Now is the time for people to stay ahead of their clients and their competition,” says Graziano. “You have to constantly be educating yourself to figure out how you can stay as valuable as you are now – if not more so – in the future.”

Alex Palmer is a freelance writer based in NY.

Veterans Address Newbie Challenges
By Jennifer Vishnevsky
June 2010

If you're new to promotional products sales, experts would tell you that the best thing to do is to talk to people who have walked in your shoes. According to the Workforce Diversity Network, 76% of Fortune’s top 25 companies have a mentoring program in place. That should tell you something about the power of good advice.

For a new salesperson to come into the industry, the power of a mentor is immeasurable. Having someone in the office to shadow has proven to be a successful way of helping new reps become more successful.

As some of the brightest newbies delve into ad specialty sales, they face tough and unique challenges. So, we’ve asked our panel of industry veterans to offer their own successful sales practices and help show our featured newcomers the ropes.

And even if you’ve got years of selling under your belt, you can pick up new ideas here.

NEWBIE: Emily Green

Emily Green started in the promotions group at Octagon Merchandise (asi/286685) in 2008. In early 2009, she switched over to Octagon’s merchandise group and began learning about the industry.

Luckily for Green, her bosses were hands-on and invited her to vendor meetings so she could see new products. But even with help, she had some stressful moments. Her first project was working with the U.S. Census, which required juggling 20 vendors and 20 products. “We had to make sure that everything was made in the USA and everything was in place – and then carry out this multiple shipping to 15 different locations. That made me learn very fast about the deepness of the industry,” she says.

Good experience with a large order, but in the summer of 2009, Green experienced one of those horror stories she won’t forget. And it was for a small order. It was supposed to be easy – a dozen baseballs, not even custom imprinted. She was in the middle of learning the systems and also working with other clients that had more in-depth needs and bigger projects. “I let my baseball client fall by the wayside, thinking I would be able to quickly quote the project and get the order done later on,” she says.

After a few days, she got around to presenting the pricing, and accidentally gave them the net pricing. Not only that, she miscalculated the turnaround time, so she had to rush the shipping to meet their event date. “I learned my lesson right away, but it’s still hard to give the small orders the attention they deserve. I sure do double-check my quotes and proposals now, though,” she says.

Green has gotten stuck with some of the steps along the way of the order (billing, quoting, fulfillment). “This adversely affects my sales because I can’t be focused on the sale all the time. I get new business and quote requests quite often, but a lot of times I can’t give them my full attention because I am dealing with orders in process, making sure the client has approved the proposals and proofs, tracking stock issues and handling shipping details,” she says. “And then after that, I still have to invoice the project, too. As I’m quoting notebooks for a new client, I’m already thinking about the delivery date of the water bottles I purchased the day before and what approvals I need from other clients.”

VETERAN ADVICE

Rotman-Zaid: I keep copies of all my in-progress orders in one place. Then I move them into a file folder and organize them by date or by client to reference them. You have to make sure everyone feels like they get the same amount of attention. Make sure you know the steps of processing because getting the order from the client is only one part of the process. A newbie should always have the client proof an order because if you do it yourself, you are just leaving yourself open for your own mistakes to build on themselves. Even when your client pays the invoice, your job is not over, because that only is an indication that you should thank the client and ask for more business.

Weisberg: I’ve developed a self-help invoice review worksheet that I attach to every form. It was hard for me to keep track of who I talked to, when, and how many times. It controls what I do and really simplifies it a lot. I call the factory at least once a week to see if we are on the same page. Using this method, I’ve drastically cut down on mistakes.
Jolesch: Re-read your order after it prints and before you send it to the factory. Follow up on everything. The more communication you have, the less likely the order will have an error in it.

Gagainis: I keep every one of my client’s projects in a separate folder. If they’re calling me or if I need to work on pricing, I have that project in one place. Follow up by staying in touch with the client so that they’re aware of how the order is moving. Of course, urgent requests are flagged and worked on immediately.

Editor's Note: ASI recently rolled out ESP Web and ESP Orders, a complete order-management program, based on the best practices of industry-leading distributors. For more information, go to: www.asicentral.com/espweb.

NEWBIE: Garison Keel

Garison Keel’s knowledge of promotional products amounted to “absolutely nothing.” As an account manager, she started with Regency Office Products (asi/306196) two-and-a-half years ago. The company started with office supplies and recently added printing and promotional products.

At first, Keel was an order taker. But she realized she could be more. “I learned more about the industry and it is a benefit to customers. I research, go to trade shows and use ESP. Now I find ideas to bring to the table,” she says.

Many of the clients that Keel works with have an established relationship with their vendor. “I have a large law firm as a customer and they have always pushed me aside, saying that they don’t do promotional products, just printing. They’ve done mugs and pens in the past, but I’ve constantly brought them ideas. Their vendor was just an order taker and never brought any ideas to the table,” she says.

Keel seeks advice on how to convince a customer that promotional products will help them. “I need to know how to show a customer that we’re better than their other vendor and it will benefit them,” she says.

VETERAN ADVICE

Jolesch: Go back and ask what their goal or objective is. What are they trying to accomplish? Calculate the value of a promotional product vs. something else. You give a tangible reminder of your business. Tell prospects what you can do better than the others and how hard you are willing to work. You want them to give you an opportunity to show how you do business.

Rotman-Zaid: You want to become partners with the prospect and show them how you can use the product to make a partnership with whoever they are giving it too. To set myself apart from other distributors, I show that I’m here to make that person look like a hero in their company. You will need to explain that promotional items become your client’s direct link with their target market – so depending on who that target is, you show the client how specific products will be in their target’s hands or on their desks when needed so that your client can be included in whatever decisions that target makes. It is great to show case histories of how promotional items like the ones you have recommended have worked for others.

Gagainis: Explain it so they understand what the ROI is for them. Have creative ideas in your back pocket ready to discuss ROI techniques (getting recipients to your website, asking a question that needs to be answered by going to your website.) Basically, ROI can be achieved by getting the recipient to move in a direction your client would like, through use of promotional products.

NEWBIE: Ruth Wells

With about six months under her belt, Ruth Wells is as new as it gets. The senior account manager with Corporate Images (asi/169081) was referred to the company through a friend. She has a sister who has a promotional products company in Utah, but even so, Wells didn’t know a lot about the ins and outs of the business.

Her biggest successes starting out have been with people she already knows. “This was an easy transition for me to make as far as calling on them for sales,” she says.

One situation where Wells ran into a roadblock had to do with timing. “Product availability seems to be an issue, especially with overseas shortages, so it’s hard to try to get everything to come together at once,” she says. Specifically, she had a customer in the U.S. who wanted to order a pedometer from overseas. After calculating all the pricing for overseas delivery and production, there were delays in approving the order.

Eventually, the order pushed into the Chinese New Year and the customer ended up not being able to go overseas at all and needed a domestic product. “It ended up costing them more money and cost me a lot of work and time because I had to redo it all,” Wells says.

As Wells is getting started in the industry, one area where she is having trouble is keeping her ideas fresh. “How do you stay on a level where you’re aware of new things and you’re seeing new products?” she asks.

VETERAN ADVICE

Jolesch: Develop relationships that are as strong with suppliers as they are with your customers. Suppliers are an asset to our business and frankly they want us to be successful. Suppliers know of new product introductions before the distributor will. Every major distributor has a core group of preferred suppliers, so start there. If they come into your office on a regular basis, block out your schedule to spend time with them. They will share new ideas and case histories.

Rotman-Zaid: Go to every show, talk to everybody, and tell them you want to learn to sell like a pro. At trade shows, I would look at an item and ask the supplier how I would tell them about the product if they were the client.Ask questions to anyone willing to respond about the best way to sell their products.

Gagainis: I do a lot of reading in different industry publications. Take a look at what other distributors are doing. Observe and listen! Stay in touch with suppliers and ask them for assistance with what’s new and trendy.

NEWBIE: Gwen Ryan

While Gwen Ryan is new to the promotional products industry, she is no beginner in sales. Ryan joined Axis Promotions (asi/128263) with a business background, after several decades of careers. “I was extremely fortunate that Axis felt confident in my broad experience so that I could handle some large clients with supervision,” she says.

“I equate myself to that 3-year-old kid that looks like a 5-year-old. I look like I’ve been in the industry for a long time, so that’s a challenge in my mind. If I find the right vendor partners, they will stop to educate me,” she says. But, she has had some roadblocks. “The first time an order got lost and I had a deadline, that was a bit horrifying, but there are vendors out there who jump to make things right,” she says.

Ryan has found that she can focus on one sector because of her love for it, but she sees reps selling in various markets. “Should I focus on one specific industry or be open to others?” she asks.

VETERAN ADVICE

Rotman-Zaid: I think people should be diversified. With that being said, you come to understand certain kinds of businesses, so those are some people with whom you’ll work really well. I would say, build some experience within an industry so that you know what their needs are but don’t ever only concentrate on one industry. Always be able to reach out in multiple directions – it will make you more well versed in handling any situation and any client that may turn up for you.

Weisberg: Sell everything to everyone. Keep your eyes and ears open – create new ideas or fulfill requests. And use ESP to research new products.

Jolesch: Focusing on one industry is really helpful in getting started, especially if you have an interest in that market. Send out letters to 25 banks or hospitals and see what happens. The success you have in some cases will lead to new opportunities. Referrals will dictate this. We did significant technology business, but we did not target technology. It came to us. After you have a track record, you might find out that you have three or four hospitals as clients, or four companies in the technology area; but this is because of your successes, not because you began that way.

Gagainis: Sometimes the same industry doesn’t want you if you’re already working with their competition. It can work the opposite too – they want you because you’re close to their competition and what they’re doing. I don’t recommend focusing on one industry, because I find it’s uncomfortable for me and (sometimes) the client. I prefer diversity, as you learn more and have options for exciting, creative and new projects.

What You Need to Know

Although sales reps in the industry each face their own challenges, our industry experts had some general advice to offer the newbies.

GAGAINIS:  Talk to someone who is in the industry so that you can learn what to do and not to do at meetings. I wouldn’t approach a prospect or a client without having any idea of what to ask. The business takes a lot of patience to build a client base.

WEISBERG:  Be nice and smile. It’s the little things that make the clients value you. Network, network, network. In this business, it’s not what you know, but who you know. Be honest. Use the good graciousness of the suppliers. They are boundless in their energy and will assist a distributor as much as is possible.

JOLESCH:  Go find the person in your organization who has been successful and ask what they did. This is a relationships business and people will buy from the same person for years. The more you put in the business, the more you get out of it.

ROTMAN-ZAID:  Be enthusiastic and love what you do. There is a lot of work behind the scenes. Understand that it’s not about the stuff, it’s about getting a result to the client.

Jennifer Vishnevsky is a staff writer for Advantages.

 

Revenue Pick-Me-Up
By Betsy Cummings
April, 2010

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Here are five ways for distributors to increase their revenues right now. 

When Rama Beerfas sends out the Post-It Notes, gum and other items to promote this year’s “marketing message that sticks” campaign for her company, she’ll be doing so with an aggressive growth goal in mind. And, it’s really a dual goal. One side, most definitely, is to find new ways to grow her business this year. The other? Helping her clients do the same.
 
Of course, the second goal is intimately tied into the first. Beerfas knows one simple fact of the ad specialty market: Distributors whose clients grow their businesses will certainly reap their own revenue benefits as a result.

Since 2005, Beerfas, chief solutions specialist for Lev Promotions (asi/252652), based in San Diego, has implemented an annual growth strategy and marketing campaign to back up that strategy. “I’ve gotten 150% ROI on these campaigns,” she says. They’re clever, simple and targeted, and account for a significant portion of Lev Promotions’ annual growth.

As the economy improves, distributors are looking to capture that growth. To that end, they’re leveraging not only their own expertise, but creating strategies for new business that will help carry them through.

And they’re not alone. A recent survey, conducted by Forbes Insights in conjunction with New York-based small-business lender CIT Group Inc., of 220 small-business owners nationwide found that 50% of companies believe that the recession highlighted flaws in their business strategies, while 78% said approaching business development in the same way they had previously is a recipe for failure.

“It was really a storm,” says Stuart Feil, editorial director of Forbes Insights. “These small businesses in particular were smashed by waves and waves of this and really battened down the hatches and held on tight. It was really the toughest 12 to 18 months many of them have ever had to face. Coming out of that they have to be more aggressive.”

Here, we highlight five strategies you can implement right now that will help you to more proactively tackle the market in 2010 and achieve greater growth.

Leverage Social Media

“A lot of people say you don’t get anything from Facebook,” says Anna Johnson, referring to sales leads and deals through the social networking site. But, “I get a lot with that. I got two orders yesterday,” she says, speaking with Counselor by phone on a recent spring morning.

That’s a common occurrence via Johnson’s Facebook pages – one personal, the other a business page for Super Embroidery & Screenprinting (asi/339634), a Phoenix-based operation where Johnson is the president and owner. For Johnson, the power of Facebook is based in being able to easily communicate with the 600 friends she has on her company’s page.

And though Johnson admits she misses “my customers coming in and talking to me for a half hour” face-to-face, she recognizes that today’s social-media-driven work environment means growth strategies have to extend online, as well.

According to Chris Baggott, a blogging and social-media expert and CEO and founder of Compendium Blogware, a blogging software company based in Indianapolis, the problem with social media is that some people think a business page on Facebook should operate much the same way a personal page does. As a result, they often end up disappointed in the lack of business their company’s Facebook page generates.

“For people, it’s really about how many friends do I have,” Baggott says. “For most businesses it’s not about that.” 

That’s because end-users looking for marketing and promotions tips don’t want to join your club. They think, “I want to solve my problem,” Baggott says. If connecting to a distributor’s Facebook page can make that happen, users will be more likely to make a connection with the page and ultimately with the distributor. How? Rather than touting your company’s great sales, have a client tag a photo of a recent promotional item on your Facebook page along with a testimonial about how well the promotional products your company supplied helped further their brand, completed their event or otherwise boosted their image within their marketplace.

The main key to business success within online social networks is to get others talking about your work, rather than desperately trying to promote yourself. “On Facebook, the biggest value is word of mouth and leveraging customers to tell your story and how happy you made them,” Baggott says.

For Johnson, social media is one unending network, and is only a smart growth strategy if a distributor links Facebook to LinkedIn to the company’s Web site, and so forth. “I have Facebook attached to my site,” says Johnson, who tripled her marketing budget this year, with much of it dedicated to online advertising.

Social-media pages, such as those on Facebook, can be tricky, Johnson says, because they can either draw in or repel potential clients. “I keep my Facebook page more personal and probably am too open on a lot of things,” Johnson admits, noting her conservative political views pronounced on her home page. “I keep it toned down a little bit, but I open up about my feelings in the world,” which she credits to some added growth. “It’s gotten me a lot of right-wing business.”

But that openness is part of a calculated approach to business. “I figure the moment they walk in my office and see pictures of President Reagan they’ll know who I am,” Johnson says. And while details like her political leanings on Facebook may turn off some prospects, she counts on it to attract others.

Get Charitable

No, we’re not suggesting you give away your products and services. But working with nonprofit organizations this year can go a long way toward increasing your profile in the community. When working with nonprofits, “you’ll get more than triple the leverage,” says Yoon Cannon, president and CEO of Paramount Business Coach, a business consultancy in Philadelphia.

Thanks to press coverage by local media that often accompanies nonprofit activities, “your company gets press, visibility and local fame,” Cannon says, and an association as a community do-gooder.
 
That kind of attention is key for a distributor to become more visible in a local market – and possibly in regional and national markets, depending on the charities you work with – and can be an invaluable marketing tool for your business.

“More mediums – between radio, TV and social media – are open to covering nonprofits that aren’t open” to giving press to just any local business, Cannon says. So, working with a nonprofit organization can bring distributors the kind of exposure that they couldn’t otherwise garner themselves.

One word of caution, though: The effort has to be genuine. You don’t want to be viewed as trying to take advantage of a charity, so get involved and try to lend not only your ad specialty services, but also some time. That will help to enhance your tie-in with the nonprofit organization.

Approaching nonprofits may mean donating promotional items to a local charity event, but doing so can mean seeing your company’s name on collateral pieces mailed for the event, posted at the event and even mentioned in radio or TV spots. The key is to pick a charity that might appeal to your largest customer niche.

Build Stores Online

For many distributors, setting up online stores might seem like a questionable and time-consuming tool for driving more growth. But building them at no charge for regular customers has been a regular part of Barbara Burcham’s growth strategy for this year. Burcham, owner and president of Ad-Specialties & More (asi/113357), based in Norman, OK, decided to try a new approach to build customer loyalty and generate additional orders from regular clients.

After one of Burcham’s biggest clients, a casino, asked Ad-Specialties to create, stock and run an online store, she reluctantly declined, unwilling to oversee all of those aspects of the sale. But it got her thinking: “I wasn’t willing to warehouse inventory and handle all the finances,” she says. “But I could easily do a company store” as long as she served as the middleman only.

To be clear, Burcham is only willing to set up stores for end-users with at least 50 employees, most of whom are ordering embroidered apparel on a regular basis. But the number of employees from the two companies she’s established stores for this year has far exceeded her minimum, with one consisting of 500 staff members and the other 2,400. The stores are free and offer free digitizing, and Burcham, who announced the program to 850 clients through her company’s quarterly newsletter, expects the move to drive growth as much as 20%.

That revenue growth is due in part to the fact that the stores are set up in such a way that Ad-Specialties handles no inventory or transactions – orders come through Ad-Specialties’ Web site, but transactions are actually handled by the end-users themselves. “We handle no inventory, and we place the orders as we get them on a weekly basis,” Burcham says. Ad-Specialties simply pays up front for the items from suppliers and gets reimbursed by end-users at the end of each month.

Part of the idea for the online stores was born out of Ad-Specialties’ 27% growth rate last year simply from remaining top of mind among clients. How? Burcham says the company launched an e-mail initiative in which every customer received an automatically generated message two months before the year anniversary of their last order. A company that ordered pens in January, for example, would receive an e-mail urging them to reorder in late October or early November. On average, Ad-Specialties sees a “20% to 25% response level where customers actually reorder,” Burcham says. “I can’t believe” more distributors don’t do that, she adds.

Become An Expert 

Every year – at least once a year – Ed Criss sits down and thumbs through all 39 pages of Skill With People by Les Giblin, a business book that offers readers tips on improving communication skills. “I just lent it to somebody and I’m waiting to get it back,” says Criss, owner of Promotions Plus (asi/397545) in Hubert, NC, about the title he discovered in the mid-1990s. Though Criss can’t point to a specific example, he insists that the development of better client relations as a result of reading the book has led to increased growth and a more robust bottom line over the years.

However, to really boost his bottom line through books, Criss might be better off writing one himself. Experts say that one of the quickest ways to becoming an industry leader – and developing a strategy for meteoric growth – is to become an expert in promotional products or an aspect of the industry.

That starts with giving lectures or writing articles – or even a book – that end-
users and other distributors can use to gain insight into a certain area of ad specialties. It makes a distributor a trusted source, which is exactly the kind of company that end-users want to buy from, experts say.

It doesn’t have to be a long book, says Judy Katz, founder and CEO of Katz Creative Inc., in New York. Katz created and trademarked the concept of the bookini, a 50- to 100-page book comparable to the size of The One Minute Manager. Publishing a book that small, Katz says, “is easier, cheaper and you get it out fast.”

A bookini is so small, Katz says, that most authors could afford to publish it themselves and use it at trade shows, or as leverage for speaking engagements – an increasing requirement among trade show and educational sponsors. In fact, “I can’t get great placements for clients unless they have a book,” she says.

The idea, Katz says, is not to expect income from the book itself, but to use it as a tool of influence. “It’s a marketing tool, a door opener,” she says. “It will be a conversation starter with clients.”

Pull From Partnerships

Like many distributors, Genevieve Ford, owner of The Idea Factory Ltd. (asi/229450), in Portland, OR, realizes that the best networking comes not so much from attending meetings but rather from leveraging the networks of existing clients. Over the past year, she noticed that more and more small businesses she worked with were partnering with complementary businesses – a roofer and a window installer, for example. It’s those expanded networks of contacts that she plans to use to build her business this year.

“I’m leveraging that to get to other clients,” Ford says. It allows her to branch out to entirely new industries that she hasn’t worked with in the past and to do so with warm leads or referrals from existing customers.
 
“I had a brand-new client last year who was a roofer and her husband worked with a coffee company,” Ford says. “I would not have gone after the coffee company, because they’re 13 miles from here, but it just worked out.”

So much so that Ford predicts leveraging end-user relationships with other companies will boost The Idea Factory’s growth by 10% this year, up from her annual sales of $300,000.
Pam Gilchrist, chief strategist at Gilchrist Group, a business consultancy in Cincinnati, says that distributors who attempt new growth strategies as the economy shows signs of some recovery are more likely to experience rapid growth as the market picks up.

“Those organizations positioning themselves now for the future are the ones that are going to be successful,” Gilchrist says. “Those that are sticking to only what’s safe or what’s been done in the past will be behind the curve.”

Betsy Cummings is senior writer for Counselor.

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Dissecting Sectors
By Shane Dale
June, 2010

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Is your local market ripe for sales of advertising specialties? Here’s how to do a market analysis to determine your best sales and marketing opportunities.

How well is your local economy performing? What industries and sectors are thriving in your area?

These are questions that savvy distributors are asking themselves right now, as they plot out where their best business opportunities will come from. Performing a successful analysis of your local market isn’t just a sound business strategy; it’s an essential component of any distributor’s game plan, according to Mark Ziskind, COO of Counselor Top 40 distributor Caliendo Savio Enterprises (asi/155807).

“Failing to plan is planning to fail,” Ziskind says. “You’ve got to follow the plan and adjust the plan. But just going out there and calling on anybody is wasted energy. Understand your strengths and weaknesses, and realistically, what your capabilities are.” Here are four ways to perform an effective market analysis.

Find Out Who’s Advertising
First step in a market analysis: Determine who’s actually spending marketing dollars right now. Kelly Turner, marketing manager for Bright Ideas in Broad Ripple (asi/146060), says distributors should segment their potential local customer base by figuring out which companies are investing in marketing, and which aren’t.

“There are some that are going to sustain their marketing budgets regardless of the economy, and those are the Steady Eddies,” Turner says. “Some companies may only be doing what they need to do to sustain themselves and might not be looking at promotional items right now, vs. other companies that may be less impacted by the economic downfall.”

So, how do distributors find out who’s advertising and who’s not? There are statistical measurement outlets that provide data on advertisers in both regional and local markets. Nielsen – the company well-known for providing television viewer ratings – also sells local data on advertisers. Its Nielsen Monitor Plus and Nielsen NetRatings will provide snapshots of local market advertisers, as well as the number of consumers viewing ads. Separately, Nielsen’s Scarborough Research division measures advertisers on an MSA (metropolitan statistical area) and local level, and gives subscribers access to monthly and annual shifts in which companies are advertising and marketing their products and services.

Also, analyzing who’s currently marketing in a particular geographic area can be as simple as paying attention when outside – for example, observing whether the restaurants that you frequent are currently engaged in any marketing promotions, Turner says. “When I was sitting at a Colts game, I was looking at who was advertising to a broad range of people – the companies that are reaching out to everyone, to the masses,” she says. “I didn’t just look at who was putting T-shirts out there; I was looking at who was doing advertising.”

Paul Conant, founder of Paul Conant Consulting, says another great source for leads is the local business search feature that certain search engines provide, including Google Local Search, Yahoo! Local and Bing Local. “See who is advertising and promoting their business,” he says.

Turner recommends the use of social media platforms such as Facebook and LinkedIn to learn more about local businesses and discover which ones try to maintain a strong marketing presence. “You can ‘Friend’ or ‘Fan’ them on Facebook,” she says. “Those have been very effective tools for me.”

Turner is also an advocate of local business journals as a marketing resource. “Rely on business journals to see what new businesses are coming into the area, and which ones are going out and filing for bankruptcy,” she says. “A lot of those journals post the top 10 companies for a lot of different categories. I think that’s an excellent way to get a wide scope without having to do a lot of research on your end.”

And of course, Turner notes that trade shows are a solid source of info. “You get a great idea of what companies are pushing, market-wise,” she says. “They can also give you a good read on whether they’re happy with their promotional product provider.”
 
Find A Niche
Trade shows are also a great way to determine whether a certain local market has already been tapped by competing distributors, according to Ryan Sauers, president of Sauers Communications (asi/319273) and chief marketing officer of consulting firm Sauers Group. “If there are no promotional product companies at the trade show, it’s probably a good opportunity,” he says. “If there are 10 of them, it sounds pretty saturated. The more people that have already figured that market out, the tighter it gets on pricing.

“My motto is: Get off the beaten path,” Sauers says. “Find a less popular niche, and maybe you won’t have such competition against you.”

Sauers says doing research on trade show attendees from previous years can tell distributors a lot about the level of saturation in a given market. “Before you even go, you can look at past years’ conferences and see who the presenters were,” he says. “If in ’07 they had three distributors doing it, and now they have nine, either they’re booming, or everyone’s catching on that this is a good market, and they’re jumping in. So, you may be better suited to find a niche industry that’s not as mainstream.”

To identify growing sectors in your local market, the best place to begin is the U.S. Department of Labor’s Bureau of Labor Statistics. On the government department’s website (www.bls.gov), you’ll find data about the employment makeup of every geographic market in the United States. The reports will detail how many jobs are in a specific market and the breakdown of those jobs by industry and job function. Further, the data will show which jobs and industries have grown the fastest in your local market – and which are forecast to grow the most over the next few years. That can help to identify opportunities and steer your efforts toward specific growing sectors in a local geographic region.

A true niche market, though, is one that’s more specific than simply the health-care industry or education industry, according to Sauers, who says that the more specific you are, the more business you’re likely to gain from that niche.
 
“Education seems to be a market that I would zero in on because there are so many levels,” he says. “There’s preschool all the way through doctoral and graduate programs. There are summer programs, adult education programs, middle schools – they all buy this stuff, and quite frankly, it’s continuing to grow, but it’s so broad that you have to zero in on a niche. If someone says, ‘My niche is education,’ that’s way too broad. Maybe you’ll focus on grad programs that market themselves to adults.” 

Likewise, there are many layers to the nonprofit industry, according to Sauers. “A nonprofit can be a foundation that gives money toward something like cancer research or Earth Day,” he says, “or it could be for elderly illnesses or child illnesses.

“You want to zero in on some markets that, when you go to that next person, you can say that you haven’t worked in their exact nonprofit field, but it’s kind of similar to where you can bring something to the table,” he says.

Determine Profitability & Opportunities
Once you’ve sniffed out some untapped and growing local markets, the next step should be to calculate the profit margins that can be obtained from each of those markets. Turner says distributors can gauge the profitability of potential clients by getting an accurate picture of the local economy via industry-specific publications and trade shows.

“I think it comes down to taking an overall look at the economy and seeing which industries are rising to the occasion right now, and which seem to be faltering,” she says.

One way to find growing and potentially profitable local markets is to analyze population data. Go to the Census Bureau’s website at www.census.gov to find current population statistics and future projections. Markets that are growing in population tend to offer distributors and local businesses more opportunities for revenue and profit growth. The Census website also provides economic analyses of various U.S. markets – providing users a look at construction spending, housing sales, housing starts and retail sales. Those are all clear economic indicators about a specific market’s vitality.

Turner adds that many promotional product suppliers provide local prospecting tools for their distributor partners. “I would look to my core suppliers to see what resources they have at their disposal,” she says.

Conant recommends a four-step exercise that works well in terms of gauging the profitability of most industries:

1. Determine if there is a demand for your product or service.
2. Determine what the competition in the industry looks like.
3. Determine how people will discover your product or service.
4. Determine the lifetime value of your potential clients.

“To understand the lifetime value, you need to understand if they will buy from you over and over,” Conant says. “Most of the time, you can do this by offering other products and services that stay within the tread of your business.

“This will increase your lifetime value of that customer, as well as your profits. The very best thing to do is to always be tracking. Create loyalty with rewards programs, and always capture your clients’ contact info,” he says.

Turner says it comes down to understanding whether certain industries are trending up or down, both locally and nationally. “If you look at the economy right now, that has a big weight on things,” she says. “Realtors would have been great when houses were selling left and right. Now, that market has receded. I think it always comes down to a larger scope of where the business is right now.”

Become An Expert And Educate
Conant suggests making a list of the top 50 or 100 businesses in your area that you would like to target based upon your review of the local business scene. “Create a file system on each business,” he says. “Do some research. Who is the buyer? What types of gifts do they currently use to promote their brand?”

A successful local market analysis isn’t complete until you learn everything there is to learn about the local businesses that you’ve decided to target, according to Sauers. Say, for example, that you want to tap an element of the local health-care industry. “I’m going to learn what the language of that segment of the health-care industry is and who’s buying this stuff,” he says. “I need to know what they know. I need to read what they read. I need to build on those past successes to become a player in the industry.”

The best way to determine what makes a company tick is through face-to-face interaction, according to Turner. “A lot of it comes down to rolling up your sleeves and meeting with the companies,” she says. “I never go in trying to sell; I go in to understand what their marketing problems are. Sometimes it absolutely comes down to that conversation. I don’t think there are any major tools that give you that information at a glance.

“You may have very similar clients. I have two within a certain industry. Their needs are completely different. It’s not one-size-fits-all.”

Conant cites an old saying in marketing circles: If you want to know what John Smith buys, you need to see the world through John Smith’s eyes. “This is very important when targeting the local customer,” he says.

Client education is also key to determining the potential value of any one sector. Conant says distributors must educate their prospective clients on the value of ad specialty items and the fact that promotional product handouts are much more than a nice gesture.
 
“Show how your product can create value to a new client with items that are more high-end, unlike cheap freebies,” Conant says. “If I were a car dealer, I would show value to my new client with an engraved Cross pen when signing the important documents in the financial office.

“If you don’t have that type of clientele, then offer a pen that writes well on most surfaces, doesn’t smear, and feels good in your hand, instead of a cheap pen that costs two cents. You want to provide the type of products that are better than what your customer is used to getting. This way, when the prospect looks for a pen, they look for your pen first,” he says.

Local market analysis can lead you to clients who are still marketing themselves but have yet to embrace the idea of promotional products. By educating clients on the importance of those items, you will achieve expert status by showing them that they can increase their business through the customer loyalty that ad specialty items provide, according to Conant. “Show how your products will keep their customers coming back to them. Show them the importance of the follow up,” he says.

“It’s important to make your clients understand that getting promotional products in everyone’s hands without reciprocity is going to lose money and exhaust them,” Conant says. “But, getting quality promotional material into the hands of the right people will greatly increase sales, and if targeted correctly, can be cheaper than their existing marketing.”

Shane Dale is a freelance writer based in AZ.

When Buyers Stall
By Shane Dale
May 2010

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He who hesitates is lost sales for you. Here’s how to gently push picky prospects into taking the plunge.

They’re playing the field. That’s Joan Landorf’s simple explanation for why prospects leave you hanging. “Buyers stall because they are gathering additional information, both internally and externally,” says the executive vice president for Axis Promotions (asi/128263). “Internally, they’re checking with their promotional department and sales department. Externally, they’re checking with our competitors to see if they have the best price and timing to meet their deadline.” s Landorf’s plan of action: Don’t sit tight and wait out a client’s decision. “If your clients are delaying, it’s important that you contact them and give them additional information and samples, because you need to assume that they’re talking to your competitors,” she says.

Case in point: Landorf was called on by one of her existing clients in the beauty industry for a large order of plastic shopping bags. Her team provided all the pricing information and samples, but the client hesitated. “When we probed, we found out that our price was high and they had two lower quotes,” she says. “We went back to our vendor and talked to him about it.”

Landorf then went back to the client with a new quote and a new sample. “Here’s where it gets interesting: At that point, the client said the price and the sample looked good, but we still didn’t hear anything,” she says. “We waited two or three days. Then, we reached out nicely.”

Two more days passed, and Landorf still didn’t hear a firm yes or no. “We reached out again with a friendly reminder that we were worried about delivering the bags on time,” she says. “The client said, ‘We still don’t have a final decision, but it’s in the works.’”

At that point, it was time for a different approach. “The person who was running this on our team, Renee Capanere, called and said, ‘I just want to know if you need any help on other projects,’” Landorf says. “They discussed three other projects, and then she asked, ‘By the way, how’s it going with the custom bag order?’ They replied, ‘Everything is great and we’ve awarded the job to you.’”

Landorf, however, makes it a point not to rest until it’s official. “We didn’t believe anything until there was a purchase order,” she says. Two days later, the order did arrive.

Landorf’s technique of following up by offering additional help and keeping her company in the forefront of the client’s mind was a winning strategy. “The distributor has to manage the project,” she says. “If they don’t respond to you right away, it’s important not to push and demand the order, but to always be offering additional ideas and information, and keep probing to look at the project a little differently. The specs could have changed and they may not have told you, or the overall approach might have changed.”

Remember there’s always a motive behind the buyer’s delay tactics. “If they’re not getting back to you, they’re stalling for a reason,” Landorf says. “Whether it’s a large or small order, it’s up to the distributor to keep the momentum going.”

Setting timetables for purchase orders and delivery will also allow distributors to keep the ball rolling. “We’re driving the process and making it easier for the client to understand,” Landorf says. “Good clients don’t tell you their real timing; that’s how they’re trained internally. Just be aware that if your clients are stalling, they’re not just being difficult. It’s up to you to find out what other options you can give them to help them make a decision.”

Expert’s take: “Joan Landorf used creativity and persistence, and took the extra steps needed to secure the business,” says small-business consultant and speaker Scott Gingold. He is also the owner of Confidential Counselor and CEO of Powerfeedback.

Additional tips: Gingold adds that it’s vital to be tactfully persistent, like Landorf, so that your tenacity isn’t viewed as annoying. “We must also have good gut instincts to know when, despite our best efforts, a sale is not going to happen, and we need to focus our time elsewhere,” he says. “Also, remember to look at the net-net-net of the sale. In other words, we typically take the cost of the product, subtract the cost, and then subtract other costs, like salaries, insurance and office expenses, to determine the net-net. The third net is business development time. What did all of those phone calls cost, and what other potential opportunities were passed on pursuing this one?”
 
Money Matters

For Bruce Cohen, vice president of Jack Nadel International (asi/279600), the most common reason clients hesitate to buy is the oldest one in the book: price. So he knows it’s crucial to go into a meeting armed and ready with facts and figures.

“Lately, we’ve been focusing on the return,” Cohen says. “You’ve got to show the formula. You can’t just go in and say, ‘You’re going to make money on that.’ You have to show in the long run how the program is making money.”

Cohen did this kind of number crunching recently for a banking client. The program was intended to convince thousands of the bank’s customers to switch from mailed paper statements to the online, less-expensive version.

To motivate customers to make the switch, everyone who converted to e-statements was eligible for a prize. At the very least, each person would receive a music download or ringtone card. At most, they could receive a cash award or a high-end gift, such as a TV. “Everyone who converted got a gift, and the bank got the conversion forever,” Cohen says. “Basically, I said, ‘It’s going to cost you nothing.’”

Of course, it wasn’t as simple as just assuring and reassuring the bank that the program would be a success. The thing that put Cohen over the top was a program run by Jack Nadel that allows the client to track the ROI for the order. With it, he was able to break down the return on each promotional item for each customer. “We can give them the statistics because we get the data of who is going to convert,” he says. “If they spent x dollars, they can say that they brought in a much bigger number than x.”

The process reiterated a piece of information for Cohen that he has recently learned all too well. “Nothing’s a no-brainer anymore,” he says. “Everything has to be analyzed.”

Expert’s take: “From a sales perspective, what Bruce Cohen did was very smart and obviously effective,” says Gingold.

Additional tips: “Looking at this from a process point of view, I can’t help but wonder if Mr. Cohen could have achieved faster results by suggesting a very limited and focused trial with a small base of customers of the bank,” Gingold says. “I also wonder if Jack Nadel looked into secondary market research reports, and/or considered some primary research of its own to help speed up the sale.”

Jenny Gray, owner of Instant Recall Promotions, finds customers drag their feet because they are afraid to commit to one product. Ironically, this is a result of an industry that offers a near infinite number of choices.

“There are so many options out there,” she says. “It can be very overwhelming for a customer to see 30 different travel mugs on a Web site.” She focuses on only a handful of items with potential clients.

“I always try to narrow the choices down to two or three to simplify the decision process,” Gray says. “Sell yourself as the expert; you’ve done all of the research for them and are recommending three choices.”

Gray’s next step is to build confidence by ordering samples. This way there are no surprises. “I have never encountered a situation where the customer requested a product sample and liked the sample, but did not place an order. Unless there is another obstacle that was not uncovered earlier, the sale should follow,” she says.

However, if the sample is not enough to convince the client to proceed, a product proof may be in order. “A product proof should only be necessary if the customer is ordering a huge quantity of an expensive item,” Gray says. “Usually you can get around a product proof if you have a good electronic proof and a sample with any imprint on it. But, if your customer is adamant about the product proof, by all means, provide one to them at their expense. They will be confident that the end result will be what they are expecting.”

If your client insists on ordering a lesser-quality item, be sure to alert him that it probably won’t hold up as well. One of Gray’s clients in the cement industry, for example, buys large quantities of embroidered polo shirts to give away to customers and employees. “The last batch he ordered was on special and did not hold up very well,” she says. “They faded after a few washes and did not keep their shape.”

When the customer complained, Gray made the point that if he would order better-quality shirts in the first place, at a few dollars more, he wouldn’t have to reorder them as often. She recommended he try a moisture-wicking poly-cotton blend golf shirt. “The shirt was at least $7 more than the shirts he previously ordered,” she says.

But Gray didn’t end her pitch there. “It was the sample that actually closed the deal,” she says. “I ordered a sample of the shirt in his size and favorite color, and told him to wear it and wash it often. He was sold on the more expensive shirt because he saw the quality first-hand.”

The client ultimately ordered about 300 of the higher-quality shirts in various colors and sizes. It was just a matter of helping the client get past his initial fear. “This particular customer has all of the field employees wearing the shirts on a daily basis. He also gives them to special customers. That’s why he needed something of better quality,” she says. “He’s just the type of customer that needs to see it, touch it and smell it.”

Expert’s take: “This case reminds us that people buy from people,” Gingold says. “While Jenny Gray did provide the buyer with a product to try, ultimately it was her demonstration of concern that landed her the order.”

Additional tips: “In this case, I do wonder if Ms. Gray offering to collect and buy back all of the old shirts for a credit on a future order would have been a wise idea. Leaving the old shirts that did not hold up well with the customer will be a constant reminder of how they wasted money,” Ginghold says. “Though Ms. Gray counseled against the purchase nonetheless, why leave anything behind that brings back bad memories?”

They’re Seeing Someone Else

Most salespeople know the story: A potential buyer shows interest in their company’s promotional items, but they’re also purportedly satisfied with their current distributor.

In those cases, Ryan Sauers, president of Sauers Communications (asi/319273) and chief marketing officer of the consulting firm Sauers Group, will do whatever it takes to get his foot in the door. “One of the things I try to do is say, ‘Look, just give us an opportunity on the small stuff. Let us prove ourselves. We’re not going to make much on the order, but let us show you what it’s like to do business with us,’” he says. “It’s an investment that, if it pays off, will get you the big stuff.”

Sauers, whose company is in Georgia, had a prospective client in Orlando, FL, that he had been chasing for four years. He had made plenty of pitches and provided a lot of free advice to the woman in charge. “I’ve quoted 80 million things for them, and she just kept not giving me the work,” he says. “We’d get down to the eleventh hour on projects over and over, and we wouldn’t get it.”

After losing out in his attempt to get his foot in the door with small and medium orders, Sauers decided that enough was enough, and he really went for it. “We were going for this big, annual project. It was part of a $50,000 project,” he says.
 
Items included executive gifts and awards, such as glassware, leather binders and pen-and-pencil mounted desk sets. “They were buying six months’ worth of gifts for about six different events,” Sauers says.

He made his initial pitch for the program, to no avail. That’s when he began to feel like he was being teased. “We were doing some regional work for some of their sister companies, but she would always stay with her incumbent, even though she liked me and liked what we’re about, and called our references,” he says.

On two occasions, he was in the client’s town on an unrelated business matter, and decided to stop by for some in-person persuasion. “One time, I got lost and couldn’t find the place,” he says. “The second time, I went down there and I got a parking ticket in front of her building because I was one inch over the white line or something.”

After the second trip, Sauers tried to convince the prospect during a phone conversation that if she didn’t buy from him this time, he’d have to cut his losses. “I just stopped and said, ‘Listen, I don’t know anybody who’s ever pushed you to this point. I continue to bring information to the table that you wouldn’t have otherwise. You’ve never given me one job,’” he says.

Sauers continued to put his foot down. “I said, ‘Is there anybody that’s put in the time with you, including getting a parking ticket in front of your office, that’s this serious about your work?’” he says. “I used the humor of the parking ticket. I said, ‘I paid my dues and I worked hard for this. Has anyone else done this?’”

At that point, Sauers finally got the job. His persistence – along with a little humor – got him over the hump. It looks like he’ll secure a similar order for this year, as well.
Expert’s take: “I counsel clients regularly about making prospects liars or buyers,” Gingold says. “Ryan Sauers did this.”

Additional tips: Gingold cautions against spending so much time chasing one client that you might miss other opportunities. You’ve got to weigh whether the net profit of the order pays for all of the business development time and costs and if there are enough future orders on the horizon to justify the time and expense involved.

Shane Dale is a freelance writer based in AZ.

I Object

Small-business consultant Scott Gingold lists common stall tactics, and provides responses sales reps can use to combat each of them:

Buyer: “We’re still evaluating all of the proposals.”
Response: “I totally understand. What can I do today to help you? In other words, you have all of these proposals, but there are only a certain number of hours in a day, and there is still a pile of work to be done. So, how can I make your life easier?"

Buyer: “We’re awaiting project funding.”
Response: “Thank you for updating me on this. Is there a timetable? If so, perhaps we can go ahead now and schedule your order. This way, there is no chance of a price increase from the manufacturer.”

Buyer: “My boss hasn’t signed off on any of the proposals as of yet.”
Response: “Your boss sounds like my boss! How about one day later this week or next week, I come in around lunchtime, bring some sandwiches, and the three of us button this one down?”

Buyer: “We have a team assembled to review the offers received.”
Response: “I just did a presentation for a 16-person team last week. It was not a sales pitch, but more of an education and two-way exchange that made the team feel comfortable placing an order with me on the spot. Can we schedule a team meeting?”

Buyer: “I’ve been tasked with a more pressing project, so this one has to go on the back burner.”
Response: “Wow, I totally know how that goes. For me, I find it easier to clean up old or pending stuff before moving on to something new. Please, let me help you get this one off of your to-do pile and handle it for you.”

Buyer: “We received far more responses for pricing than we expected.”
Response: “Sounds like the last time I went to an all-you-can-eat buffet: Everyone heads to the buffet line, but most folks are disappointed with the so-so selections. I understand that there are a lot of door-knockers, but quality and knowledgeable representatives like me with solid companies behind us are a whole different story.”