TOP 25 DISTRIBUTORS:
View a graphic overview of this section
F denotes chief corporate executive
FF denotes chief executive responsible for promotional products, if other than chief corporate executive.
1. Cyrk Inc.
Gloucester, MA
Promotional Products Sales:
$967.4 million
Workforce: 1,200
Years in Industry: 24
Publicly Held
37 Offices, 10 International Offices
F Patrick Brady, CEO
FF Stephen Paradiso, corporate
promotions group president
Cyrk, a diversified marketing services/promotional products firm, was founded in 1976 as a manufacturer of custom screenprinted apparel and accessories. The company designs, develops, manufactures, sources and distributes products, while creating and implementing promotional programs. Cyrk offers a comprehensive set of products and services, including in-house design (60 designers) manufacturing (proprietary apparel and hard goods), international sourcing (over 300 international employees) in-house embellishment (screenprinting, embroidery, embossing, debossing, laser engraving, electro-etching, hot stamping, pad printing and heat sealing) and fulfillment (400,000 square feet in six locations). The company has over 1,200 employees worldwide. It trades on the NASDAQ system.
Do you see dot.com firms as a positive or negative for the industry? Why?
We view the development of the dot.com firms simply as reality. The incredible breakthroughs in technology have changed the face of many industries, and without a doubt will impact ours. Ultimately the success or failure – and there will be both – will be determined by each company and tied directly to the “promise” they make their customers. Great promotions are all about building brand equity through the design, development and delivery of relevant products that change behavior. Internet or Intranet sites for corporations are outstanding, cost-effective communication and delivery vehicles for promotional products. It is our opinion that the “drag-and-drop” sites that offer essentially an all-technology solution for our industry will disappoint. They are difficult to navigate, therefore simply take too long to even place an order, let alone receive it, and hopefully with what you think they ordered. This process not only removes the tactile sense for those who have a passion for products, but also the person-to-person relationship. The well-trained account executive who
really knows the business as well as the client, must be involved to optimize the opportunity and leave a lasting impression on the ultimate consumer.
2. HA-LO Industries, Inc.
Niles, IL
Promotional Products Sales:
$493.2 million
Workforce: 4,900
Years in Industry: 29
Publicly Held
60 branch offices (worldwide)
F Lou Weisbach, chairman
FF John Kelley, CEO
Founded by Weisbach in 1972, HA-LO is a brand marketing firm through its two business units – HA-LO Promotional Products and Upshot Marketing Group. In May 2000, HA-LO completed the acquisition of Starbelly, a business-to-business e-commerce marketer of custom branded merchandise. Upshot is comprised of Upshot, a brand marketing agency; LAGA, a brand identity and packaging firm; and Market USA, a teleservices agency. HA-LO’s client roster includes Abbot Laboratories, Absolute Vodka, Coca-Cola Co., Discover Financial Services, Ford Motor Company, General Electric, Glaxo Wellcome, Mirage Resorts, Inc., Newell Rubbermaid, Proctor & Gamble, J.E. Seagram & Son and SBC Communications, Inc. The firm, which acquired 21 companies between 1994 and 1999, went public in 1992.
Do you see dot.com firms as a positive or negative for the industry? Why?
The future of the promotional products industry is a click-and-mortar world.
HA-LO’s acquisition of Starbelly represents this ideal by combining both offline and online business to create enhanced productivity and new operating efficiencies.
3. Aspen Marketing Group Inc.
Evergreen, CO
Promotional Products Sales:
$216 million
Workforce: 315
Years in Industry: 20
Privately Held
F Neil P. Cannon, chairman
FF Neal Vitale, president/CEO
A fully integrated promotional marketing firm with buying offices throughout Asia, Aspen was formed in 1996 as the parent company of Schmidt-Cannon International, a major sales promotion agency specializing in promotional products. Schmidt-Cannon is headquartered in Southern California and has been in business since 1980. Hanig & Co., in the Chicago area, joined Aspen in 1997; it had over 20 years of experience in the direct marketing arena. Both divisions offer a full array of promotional services to a broad client base. In 1997, the firm acquired Map Promotions, JG Promotions and Ashen Product Line Inc. to augment its product/service offerings. Last year, Aspen added Premium Source (a specialist in children’s marketing), Creative Marketing International (full-service direct-mail/event marketing agency), and Phoneworks (interactive media developers, emphasizing loyalty, continuity and incentive programs). Aspen attributes its success to a strong commitment to three core values: “Doing it right,” “total client convenience,” and “providing what you expect, when you expect it, with no surprises.”
Do you see dot.com firms as a positive or negative for the industry? Why?
We see dot.coms as a positive force to the industry. If we’re talking about the world of dot.com companies, they’re all new prospects. If we’re talking about the Web-enabled industry companies, they’re establishing new standards of interaction with costumers and with suppliers, in terms of speed, price and customer service. These new criteria for success force all firms in the industry to improve how they operate and what they provide in order to stay
competitive.
4. American Identity
Kansas City, MO
Promotional Products Sales:
$185 million
Workforce: 2,400
Years in Industry: 31
Privately Held
F Roger P. Henry, president/CEO
In 1998, Top 25 distributors Swingster and K-Products merged, bringing together two major companies operating corporate logoed merchandise fulfillment programs. The resulting entity, American Identity, manages over 300 catalog programs. From 53 offices, the sales force of more than 160 covers the promotional merchandise needs of over 16,000 accounts nationwide. American Identity is a vertically inte-
grated marketing services resource, leveraging its position as a major domestic producer of premium apparel and headgear to provide its customers with the cost-effective promotional merchandise programs. In-house facilities include screenprinting, embroidery, photography, offset printing and Website production to cover all client merchandise program needs.
Do you see dot.com firms as a positive or negative for the industry? Why?
While the emergence of the dot.com purveyors of promotional products with all their attendant advertising and publicity may appear to be a short-term threat to the traditional distributor, our view is that these initiatives represent a long-term boon to the industry. There is no stopping the e-commerce train. It’s in motion and gathering speed. But like the first transcontinental railroads that opened the country and spurred growth and commerce nationwide, the e-commerce activities in the area are going to heighten the awareness of our products as cost-effective ad vehicles and bring millions of small businesses the opportunity to buy these products, just as their large counterparts and competitors have done for years. Ours is a consultive, creative selling environment and there will never be an adequate substitute for face-to-face problem-solving collaboration. However, the Web can provide a tremendous tool for premeeting research and discussion. Ultimately there will be solutions and orders that can be created and sold without physical meetings, but not without voice or electronic collaboration. Distributors who aren’t comfortable with electronic media, sourcing and researching techniques will be in trouble. Those who embrace technology and use it to their selling advantage will expand their opportunities and reduce their “windshield time.”
5. Corporate Express Promotional Marketing
St. Louis, Missouri
Promotional Product Sales: $166 million
Workforce: 450
Years in Industry: 40
50 branch offices
Corporate Express Promotional Marketing is the promotional merchandise division of Corporate Express. Core services include both print and Web-based corporate and brand identity catalog programs,
strategic merchandise sourcing, creative services, and custom-designed performance incentive programs.
Client programs are supported by inside account management and specialists. The division's services are marketed through a direct sales force throughout the United States, Canada, Europe and Australia.
Corporate Express Promotional Marketing is ISO 9002 certified as part of an extensive CORE Quality program.
Do you see dot.com firms as a positive or negative for the industry? Why?
They can only have a positive impact, most notably on the way the industry engages small businesses. Most of what they offer, however,
already joins us and our clients. Our technological infrastructure is very strong, so we're already providing our client base with custom
e-commerce solutions that offer speed, cost-control, efficiency, accuracy and complete flexibility in operational processes. We'll
continue to watch the dot.com firms closely, to see how they evolve.
6. Geiger
Lewiston, ME
Promotional Products Sales:
$114.3 million
Workforce: 550
Years in Industry: 122
Privately Held
21 branch offices
F Eugene G. Geiger, president
Andrew and Jacob Geiger established Geiger Bros., the firm’s original name,
in 1878 as a small print shop in Newark, NJ. Through the years, it has remained
a family business and is now in its fourth generation. It sells a full range of promotional products. Geiger manufactures an exclusive line of commercial calendars, address books, diaries and time planners and the world-famous Farmers’ Almanac. A national firm, Geiger operates under a number of names, including Geiger Bros./West, Geiger International and William A. Lynch Associates.
Do you see dot.com firms as a positive or negative for the industry? Why?
The dot.com firms will have an impact on our industry, but not exclusively
negatively or positively. To the extent that dot.com companies offer an efficient way to bring product to consumers has to be considered a plus. Efficiency is always good for any industry. However, dot.com companies by themselves deal with transactions only.
Consumers will still need beneficial work done by creative, talented people who offer value in the services they provide. Dot.com companies will broaden the reach of the industry, but those companies that offer a true value to consumers will see the positive effects of a more technological world.
7. 4Imprint
Oshkosh, WI
Promotional Products Sales:
$114 million
Workforce: 760
Years in Industry: 16
Privately Held
F Dick Nelson, president/CEO
4Imprint began as Nelson Marketing in Logansport, IN in 1985. The majority interest was sold to the Miles Kimball Co. in 1988. It moved to Oshkosh in 1989. In 1990, Miles Kimball’s shares were sold to Alberta Kimball and Ted Leyhe. Nelson’s owners sold the company to UK-based Bemrose Corp. plc in 1996. Dick Nelson was named to Bemrose’s main board in 1996. In 1999, Bemrose sold its U.S. suppliers. Nelson Marketing became 4Imprint in January 2000. The com-
pany is a full-service provider of
promotional products and corporate
programs, with locations domestically as well as in Canada, the UK, Spain, France, Germany and Hong Kong.
Do you see dot.com firms as a positive or negative for the industry? Why?
I feel dot.coms are a positive. They
help clients/customers by giving them another channel from which to order promotional products. This has the potential to expand the market by reaching customers not served by traditional sales channels such as field sales, direct marketing and telemarketing.
8. Bensussen-Deutsch &
Associates Inc.
Woodinville, WA
Promotional Products Sales:
$110 million
Workforce: 275
Years in Industry: 16
Privately Held
F Jay Deutsch, president/CEO
FF Eric Bensussen,
vice president/COO
Founded in 1984 by Deutsch and Bensussen, BD&A has grown into a creative agency that develops successful promotional solutions for its clients. Its goal is to develop strategies that strengthen clients’ branding efforts and enhance their corporate identity. BD&A is a full-service organization, offering sales promotions, distribution/fulfillment, catalog marketing, e-commerce sales channels, company store programs and licensed merchandise. Its success is a direct result of the mutually beneficial relationships it grows with employees, clients and suppliers.
Do you see dot.com firms as a positive or negative for the industry? Why?
The introduction of electronic commerce has had an inherent effect on the promotional industry as a whole. Dot.com companies have employed tremendous marketing efforts in their quest to develop name recognition, allowing for greater overall industry recognition. The corporate world now has a greater understanding of the wide variety of promotional services available to them. As a result, clients have begun seeking a broader range of services and solutions, and are discovering the benefits of agency accommodations. We do not believe dot.com firms pose a threat to the promotional industry.
9. Boise Marketing Services
Maumee, OH
Promotional Products Sales:
$100 million
Workforce: 420
Years in Industry: 41
Majority-owned subsidiary of
Boise-Cascade Office Products
20 branch offices
F John Garrity, president
Established by the merging of Osterman API and Ownco Marketing in 1997, BMS, a Boise Cascade company, specializes in the development, implementation and management of promotional products programs for global corporate clientele. Its service offerings includes corporate catalog programs, strategic sources for custom and special order requests through domestic and international resources, custom e-commerce applications, and turnkey management of retail company stores.
Do you see dot.com firms as a positive or negative for the industry? Why?
BMS believes strongly in technology and its ability to maximize the impact of promotional products as part of an overall marketing strategy. Web site offerings provide customers with easy access to product ideas and provide greater exposure to our industry which can only be regarded as a positive. We feel, however, that the differences between the traditional promotional products suppliers and the dot.com companies will fade as both realize the need to combine technology with direct account management support to ensure success in our highly competitive industry.
10. Summit Marketing Group
St. Louis, MO
Promotional Products Sales:
$90 million
Workforce: 240
Years in Industry: 4
Privately Held
F Daniel J. Renz, CEO
FF Ruhol Gupta, COO
FF Art Nevins, vice-president/
industry and vendor relations
Summit was founded in 1996 as a holding company of promotional products distributors. It currently operates six subsidiaries: Barkley House, FM Marketing, Nevins Marketing Group, Gardner & Geldmacher, Harper & Co. and Phoenix Marketing. Summit offers clients a wide range of services for clients, including corporate identity, catalog fulfillment, sales promotion, event marketing, licensing management, graphic design and sourcing of proprietary promotional products domestically and internationally. Through its direct marketing segment, Summit offers clients strategic and creative business-to-consumer and business-to-business direct marketing and database services.
Do you see dot.com firms as a positive or negative for the industry? Why?
The dot.com competitors are simply another element of change and avenue of distribution of our industry’s products. These firms will continue to challenge our thinking internally and how we add value to our customers. We fully intend to
surpass this challenge, learn from the dot.coms and continue to grow. To that extent, we consider their presence a
positive.
11. Case-Dunlap Enterprises Inc.
Dallas, TX
Promotional Products Sales:
$79.2 million
Workforce: 145
Years in Industry: 26
Privately Held
F Bill Dunlap, CEO
FF Kevin Lippincott, president
Founded in 1974, Case-Dunlap is a promotional products and marketing resource company. It develops, sources and distributes a variety of promotional products, including premiums, advertising specialties, imprinted apparel, point-of-sale displays, collateral, business gifts, direct-mail premiums, trade show giveaways and packaging. Promotional services are
a major part of the firm’s integrated marketing services, which include creative concepts, art direction, design/graphic arts, sales-incentive programs, consumer sweepstakes, games, contests, kids’ marketing, recognition programs, knitting and assembly, promotional fulfillment, warehousing and drop-shipping.
Do you see dot.com firms as a positive or negative for the industry? Why?
Positive. They are challenging all of us to develop technology solutions for our business. Our clients are demanding better value. The increased operating efficiencies associated with using new technology will allow us to meet our clients’ needs.
12. Brown & Bigelow Inc.
St. Paul, MN
Promotional Products Sales:
$72.8 million (E)
Workforce: 900
Years in Industry: 104
Privately Held
F William D. Smith,
president/CEO
Founded in 1896, Brown & Bigelow, Inc. operates three distinct divisions under one corporate entity. Hoyle Products, the company’s retail division, manufactures playing cards, jigsaw puzzles and calendars which it markets through mass merchandisers, chain drug stores and gift stores. Hoyle ASI, the company’s supplier division, manufactures the Hotline and Classicline calendar lines through distributors. The company’s distributor division and company namesake supports 350 career promotional product sales professionals in their local markets through a network of full service regional support centers.
Do you see dot.com firms as a positive or negative for the industry? Why?
We see the dot.com firms on the distributor side of the industry pursuing a strategy to replace the sales rep. We believe this strategy will not succeed with its
current approach because it devalues the thousands of talented salespeople in the industry. We are integrating an Internet strategy into our mission of supporting career promotional product sales professionals by setting-up e-commerce relationships between their existing customers and B&B. This strategy seeks to capitalize on the strengths the Internet offers to make our salespeople more productive and to increase their earnings. The dot.com companies who market themselves as suppliers seek to bypass both the distributor and distributor salesperson. By cutting out the entire
distributor mark-up, these companies certainly have a price advantage. However, they will have to reach prospective buyers and prove that they also have quality products and good service. Without distributors and distributor salespeople working on their behalf, they may find the job more difficult than originally anticipated.
13. Vernon Co.
Newton, IA
Promotional Products Sales:
$72.4 million
Workforce: 990
Years in Industry: 98
Privately Held
11 branch offices
F William F. Vernon, chairman/CEO
FF Chris Vernon, president/COO
Frederick L. Vernon founded the Economy Record Book Co., the predecessor to Vernon Co., in Newton, Iowa, in 1902. His first products were imprinted farm-record books and, later, metal advertising specialties such as kitchen match-holders. The company was publicly held from 1958-1986, but has always been controlled by the Vernon family. Vernon markets sales-incentive, corporate identity, anniversary and safety programs, and manufactures pressure-sensitive signs, wearables, cutlery, gift merchandise and advertising specialties. The company has two Missouri-based subsidiary companies:
Dun-Lap Manufacturing Co., a screen processor specialization in product identification applications and Vernon/SAL,
a New Jersey-based screen processor, specializing in point-of-sale programs. It is now under the management of the third and fourth generations of the Vernon family.
Do you see dot.com firms as a positive or negative for the industry? Why?
The emergence of Internet-related companies brings a new level of competition and sophistication to the promotional products industry. We believe the Internet has become a powerful medium to improve the relationships we have developed with our account representatives and our 5,000 clients. ASP technology now exists to streamline the communication process and reduce administrative burdens that have traditionally challenged all of the players in the promotional products distribution channel, too. Up to now, we believe that most Internet firms which have emerged in our industry are companies that are looking for quick market entry, and whose real intentions are to gain enough market acceptance to warrant an initial public offering which will allow the venture capitalists, investment bankers and founders a chance to get rich quickly.
14. JII/Sales Promotion
Associates Inc.
Coshocton, OH; Red Oak, IA;
Columbus, OH
Promotional Products Sales:
$61 million
Workforce: 525
Years in Industry: 111
Privately Held
8 branch offices
F Rick Prather, president
JII/Sales Promotion Associates Inc. is a distributor of promotional products, including a line of stock calendars it produces, sold exclusively by its own sales force of 900 reps throughout the country. JII/SPAI also manufactures custom calendars to customers’ specifications.
It approaches the market with a multi-tiered sales organization working in product-driven, dropship selling; full service programs that require cataloging and fulfillment services; and custom calendar programs. JII/SPAI’s Coshocton facility is the corporate headquarters and primary manufacturing plant for calendars. The Red Oak facility focuses on customer service and program administration for promotional products and related fulfillment services. In addition, Red Oak decorates various products, primarily textiles.
Do you see dot.com firms as a positive or negative for the industry? Why?
We view the Internet as an important tool for business today and a critical tool in the future. We don’t believe the Internet, on its own, will provide the necessary service and support that distributors require from suppliers or end-users demand from distributors. Future success in our industry will be based on full service infrastructure supported by well-trained sales representatives using the Internet as a communication tool. A dot.com firm without full-service infrastructure will be no more successful than a traditional industry company without dot.com capabilities.
15. Wood Associates
Santa Clara, CA
Promotional Products Sales:
$59.6 million
Workforce: 196
Years in Industry: 15
Privately Held
F Monte D. Wood, president
Wood is a team organization chartered specifically to sell promotional programs and merchandise. The company is privately held by its two founders and employees. Growth has been steady and has averaged nearly 15% to 45% per year.
Do you see dot.com firms as a positive or negative for the industry? Why?
The promotional products industry is just beginning the dot.com technology evolution. Dot.com firms provide another avenue for clients to purchase promotional products. This business continues to be built on relationships, and most corporate clients will require a blend
of technology and human interface. The ability to provide this blend will only strengthen the relationship of the distributor and their clients.
16. Jack Nadel Inc.
Culver City, CA
Promotional Products Sales:
$55.5 million
Workforce: 170
Years in Industry: 47
Privately Held
F Marty Nadel, president
JNI was founded in 1953 by Jack Nadel. It continues to be a leading-edge company merchandising promotional products and developing full-scale promotional campaigns for the areas of distribution channels, trade shows, sales incentives, company store programs, and more. Graphic art personnel and studios are maintained in many offices. Additionally, each JNI office also includes account coordinators to maintain communication with vendors and clients and to assist the account executives in all areas of program development, product research and lead development. In 1994 JNI introduced an employee stock-ownership program, allowing the employees to own 33% of the company’s stock.
Do you see dot.com firms as a positive or negative for the industry? Why?
We see dot.coms as a negative. Promotional products have come a long way in the last 10 years in providing creative solutions to branded merchandise, trade show marketing, traffic building and other marketing/sales opportunities. Sales promotion is today an accepted medium within the marketing environment. The dot.coms reduce our contribution, and others, to no more than a catalog and a price. This simplification disrespects the reality of the person-to-person relationship,
consisting of promotional consulting and creative services that most clients depend on from companies like us.
17. Kaeser & Blair Inc.
Batavia, OH
Promotional Products Sales:
$55 million
Workforce: 125
Years in Industry: 106
Privately Held
F Dick Kaeser, chairman
FF Kurt R. Kaeser, president/CEO
Kaeser & Blair originally opened its doors as the Cincinnati Printing and Paper Products Co. in 1894. Dutch Kaeser & Bill Blair purchased the company in 1923 and expanded sales by launching a revolutionary marketing concept of selling its products through a national network of independent salespeople. More and more promotional products have been added over the years. Blair retired and sold his interests to Kaeser who instilled, through his 47 years of service, a sense of responsibility, reliability, integrity, and dedication that are still the cornerstones of the company today. Kaeser & Blair prides itself on providing its dealers with exceptional programs and outstanding service. Today the company is led by second-generation Chairman Dick Kaeser, third generation President /CEO Kurt Kaeser, and Bob Lewellen, executive vice president.
Do you see dot.com firms as a positive or negative for the industry? Why?
The dot.com is simply another way of going to market. The introduction of dot.coms introduces yet another way to reach buyers of promotional products. It certainly has its place in the total mix in our industry as does direct mail and the traditional face-to-face sales. Success depends on the right strategic mixture of all approaches.
18. Newton Manufacturing Co.
Newton, IA
Promotional Products Sales:
$52 million
Workforce: 170
Years in Industry: 91
Privately Held
F Clayton C. Case, president
FF Bill Wilder, vice president/sales
Newton was established in 1909 by George Newton as a promotional products manufacturer before becoming an exclusive industry distributor in the early 1940s. The company currently supports an independent sales force of approximately 800 representatives selling throughout the continental United States, Alaska, Hawaii, Puerto Rico and the Virgin Islands. Newton handles all types of promotional advertising orders, including co-op and corporate fulfillment programs. It also owns a subsidiary company in Pella, IA.
Do you see dot.com firms as a positive or negative for the industry? Why?
Dot.coms, like any other firms in our business, are positive or negative depending on their commitment to their customers and their level of professionalism. As
it has always been, competition has the ability to further everyone’s business by effectively demonstrating to a broader base of prospects the value and benefits of promotional products in the advertising mix.
19. Group II Communications Inc.
Hales Corner, WI
Promotional Products Sales:
$50.8 million
Workforce: 150
Years in Industry: 15
Privately Held
F William McKenna, president/CEO
Group II, founded in 1985, provides marketing support services for global corporations with highly visible trademarks and properties. Through state-of-the-art facilities in both the U.S. and Europe, Group II offers complete turnkey merchandising services, including program conception, execution and fulfillment.
Do you see dot.com firms as a positive or negative for the industry? Why?
(declined to respond)
20. AdGap Group
San Diego, CA
Promotional Products Sales:
$35 million
Workforce: 120
Years in Industry: 11
Privately Held
F Macyl A. Burke, president/CEO
AdGap was purchased by Burke & Carder Associates Inc. in 1990. It soon formed an Employee Stock Ownership Plan, which currently owns 49% of the company, with 51% ownership planned within the next few years. Adgap has evolved into an integrated Marketing Solutions provider. Our core capabilities include e-commerce, world market, sourcing, custom apparel, graphic design, direct marketing, actionable research, branded merchandise management, custom audio, incentives, and promotional products.
Do you see dot.com firms as a positive or negative for the industry? Why?
Our perception is that the traditional promotional products economic model is changing. It’s too soon to tell how it will be influenced by e-commerce. The impact of e-commerce, according to Peter Drucker, is a change on the scale of the Industrial Revolution or the Reformation. While people aren’t clear on the form and shape of e-commerce as an event, it is clear to most that the essence of the change will be a large order of magnitude. There are many strategies and configurations in the business-to-business economic models that are being put up on the Internet. Some are “exchange hubs” that will be targeted at a number of specific customers. Part of that targeted market will be the traditional distributor customer base. The “exchange hubs” aggregate buyers and sellers that interact through a generic hub. We are proposing a different e-commerce strategy, which would be a “vertical hub.” Conventional wisdom is that exchange hubs work best for near-commodity type items that are easy to specify, and vertical hubs work best where knowledge of the supply chain is important and necessary. Exchange hubs are also thought to work well with high fixed-cost assets and volatile markets. Vertical hubs are thought to be better where there is a fragmented
supplier base, per-planned purchases or for MRO products. We have a strong advocacy position that knowledge of
the supply chain is the critical factor
in reducing cost and creating value
for the customer, but only time will tell.
21. American Business Forms, Inc.
Glenwood, MN
Promotional Product Sales:
$33 million
Workforce: 320
Years in Industry: 19
Privately Held
F Larry Zavadil, president
American Business Forms began operation in 1981, operating from its current headquarters. Since its inception, it has focused on several key market segments including medical services, financial services, insurance, government/education, retail/wholesale distributors, and commercial/industrial.
Do you see dot.com firms as a positive or negative for the industry? Why?
If the dot.com offering is from a supplier direct to the traditional end-user, then we view them as negative to the industry. As a marketing company, we see the offering as a way to eliminate the traditional channel of marketing through face-to-face contact and decreasing the level of customer service and support. Dot.com offerings are also limited to what they have available on their Web site. Without the personal interaction, there is less of an opportunity for the end-user to search for additional items. If the dot.com offering is through a marketing company similar to ACES (American Customer-Driven Electronic Solution) system, we feel the offering is positive for the industry. We view the electronic offering as a tool to better facilitate communication with the end-user and assist the face-to-face sales associate in transacting business in a more efficient and economical way with the
end-user. Rather than replacing the sales associate and the service that he provides, we view technology as an enhancement or tool for the sales associate to leverage her time in order to sell even more business.
22. Renaissance Promotions
Delran, NJ
Promotional Products Sales: $32.3
Workforce: 25
Years in Industry: 25
Privately Held
F Lora Dunnigan, president
Renaissance, originally Action Calen-dars, began in 1997. The company is a full service distributor providing graphic arts, Web development, warehousing and fulfillment programs.
Do you see dot.com firms as a positive or negative for the industry? Why?
Positive for some, negative for others. Those of us who partner with our customers to offer a value added marketing service are not going to be threatened by the dot.com companies. Those who are simply order-takers will feel the largest impact.
23. Tharpe Co. Inc.
Statesville, NC
Promotional Products Sales:
$32 million
Workforce: 100+
Years in the industry: 19
Privately Held
F John Tharpe, CEO
FF Jim March, president
FF Christopher Cheney,
vice president
Founded in 1981 by Tharpe to address the changing recognition needs of corporate America, the firm specializes in the development/support of innovative choice service award programs. Its programs are designed to be effective yet flexible, addressing areas within organizations where recognition can stimulate achievement, resulting in an increase in overall productivity and increased satisfaction levels. Tharpe’s capabilities include computer engraving, framing/mat cutting and glass/marble etching. It occupies 63,000- square-feet at its headquarters; 23,000 is executive/general offices, the remainder production and warehousing/distribution.
Do you see dot.com firms as a positive or negative for the industry? Why?
Dot.coms will not adversely effect the industry, nor will they change it dramatically.
24. Artcraft & Foremost
Moorestown, NJ
Promotional Products Sales:
$29.7 million
Workforce: 40
Years in Industry: 53
Privately Held
F Judith E. Zimmerman, president
Artcraft Calendar Co. was founded in 1947 by Dave Muchnik and merged with Foremost Advertising Co. in 1966, when the two companies became Artcraft & Foremost.
Do you see dot.com firms as a positive or negative for the industry? Why?
We think the dot.com firms are a positive for the industry. However, at first glance, the dot.coms would appear to be a negative influence as private investors and venture capitalists throw money at the fragmented promotional products industry with the intent of controlling or revolutionizing the industry. This goal will prove to be far more elusive than thought and I think we will see the majority of these start-ups fold within 12 months. At second glance and upon further analysis, the euphoria and pie-in-the-sky business plans of most of the dot.coms have forced both the distributors and suppliers to rethink and re-engineer their business to not only deal with the technical revolution, but to capitalize on it. So, the dot.coms have provided the catalyst for the best to get better. Our guess and hope is that versatile distributors will adapt and provide continuing and increasing value to their clients.
25. Caliendo-Savio Enterprises
New Berlin, WI
Promotional Products Sales:
$28.9 million
Workforce: 110
Years in Industry: 19
Privately Held
F Tom Savio, CEO
FF Mark Ziskind,
general manager
CSE is a totally integrated promotional merchandising company specializing in catalog programs, customized wearables, ad specialties, embroidery, screen printing, and off-shore production. Its in-house production facilities feature digitizing, embroidery, and silk screening. Its integrated structure allows it to control the entire process, ensuring superior quality and service. Its production capabilities, combined with an in-house creative department and database management center, allow it to be a full-service resource for clients. CSE earned the “Partners in Excellence” award from Miller Brewing Co., being one of 17 suppliers out of a possible 19,000 contestants.
Do you see dot.com firms as a positive or negative for the industry? Why?
We think the dot.com firms will benefit the industry in several ways. First off, the marketing support behind these endeavors will help promote promotional products as a whole, not just the specific company. Secondly, the dot.com firms will raise the technological expectations and standards of the industries.
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