F denotes chief corporate executive
FF denotes chief executive responsible for promotional products, if other than chief corporate executive.

1. Norwood Promotional Products Inc.
Austin, TX
Promotional Products Sales: $431.5 million
Workforce: 3,400
Years in Industry: 24
Privately Held
F Frank Krasovec, chairman/president/CEO

Norwood is the holding company of Air-Tex Corp. (Des Moines, IA); ArtMold Products Corp. (Cranston, RI); Barlow Promotional Products Inc. (Los Angeles); BTS/Salm Group (Reno, NV); Key Industries, Inc. (East Peoria, IL); Radio Cap Company (San Antonio, TX); Tee Off/Wesburn (New London, WI); Renaissance Publishing Co. Inc. (Auburn, IN); Duratec Corp. (Woobury, MN); Janesville Group Ltd. (Janesville, WI); McCleery-Cummings Co. Inc. (Wash- ington, IA); Souvenir Group (Cedar Rapids, IA); Gerber Industries (Phoenix, AZ); and Advertising Unlimited Inc. (AUI, Sleepy Eye, MN), consisting of Featherstone; Fordan Line; Kingcraft; Pillowline; Sentry Pack; Style Rite; Superior Gift Calendars; and Triumph Line. Norwood’s 13 business units are divided into six operating groups – The ArtMold Barlow Key Industries, Huffer Group produces key holders, pocket knives, tools, calculators, watches, electronics daily essentials, personal products, golf products, office paper products, writing instruments, plastic items, memo boards and drinkware. The RCC Group, consisting of Radio Cap, and Air-Tex offers bags, luggage, travel accessories, ball caps, golf caps, mugs/glassware, insulated drink coolers and plastic insulated drinkware. The TeeOff/Wesburn Group produces golf balls and golf tournament packs. The BTS/Salm, Jaffa, Duratec Group markets leather and vinyl portfolios and binders, cutlery, business gifts/award and crystal. The Souvenir Group markets writing instruments. The Renaissance/McCleery Group produces a full line of wall calendars. The current Norwood Group of companies covers products in approximately 70% of the main groupings found in the industry. Norwood acquired Bemrose USA’s supplier entities in 1999 and AUI in 2000.

Do you see dot.com firms as a positive or negative for the industry? Why?

There are many types of dot.com companies that have entered the promotional products industry in the last 18 months. The most common entries have been distributors either adding a dot.com to their name or creating an entirely new business model. Examples of these would be 4Imprint, Starbelly.com, Madetoorder.com, Branders.com and others. Another type of dot.com entry includes ASPs (Application Services Providers) such as Promonium.com, Signeta.com, Corporate Gear.com, PromoOrder.com, Inaquest.com and others. These entries are trying to provide the technology services many distributors feel they will need in the future. The addition of these new dot.com firms represents a period of significant change in our industry. A natural tendency is to resist change, or at least be a little skeptical, which many distributors and suppliers are. Nonetheless, our industry will not be able to resist this change, since the end-buyer will ultimately demand the most efficient delivery system for ideas and the fruit of those ideas – promotional products. Suppliers and distributors who embrace technology will learn to use it as a tool to augment their current business. The negatives that result from an increase in technology in our industry are few, if any.

2. 3M Promotional Markets Dept.
St. Paul, MN
Promotional Products Sales: $128.7 million (E)
Workforce: 74,000
Years in Industry: 17
Publicly Held
F L.D. DeSimone, CEO
FF Mary Ellen Walker, business director/promotional markets
FF James Halverson, national sales manager
FF Bart Christenson, international manager

3M Promotional Markets Department is a business unit of Minnesota Mining & Manufacturing Co, a $16 billion international corporation. 3M was founded in 1902 by five businessmen to sell corundum for grinding wheels. This soon expanded to sandpaper, and in 1926, 3M introduced world-famous Scotch tape. Today it still produces many varieties of its two original product lines, in addition to cleaning pads, bandages, adhesive-backed surgical drapes, fabric protectors, computer discs, sponges, and hundreds of other patented products. One of these, the well-known Post-it Note, became the genesis of the promotional markets division. It began in 1983, with the concept of custom-printing the notes to promote brands, products and corporate identities. The division and its products are identified as the 3M Line. Post-it Notes and cubes remain the core of the line, offered in a wide selection of sizes, shapes, styles and packaging. However, the range of product price points is broadened each year. 3M is committed to rapid global expansion of its promotional markets department business, with operations in more than 60 countries worldwide.

Do you see dot.com firms as a positive or negative for the industry? Why?

3M sees dot.com firms as both a challenge and an opportunity for accelerating profitable sales growth. Learning the subtleties of what is entailed in doing business in the era of new economy may be expensive, but those business entities who truly add value will not only survive, but prosper over time.

3. Bic Graphic USA
Clearwater, FL
Promotional Products Sales: $121.3 million
Workforce: 600
Years in Industry: 31
Publicly Held (French Stock Exchange) F Bruno Bich, chairman/CEO, Societe BIC
FF Raymond F. Winter, president/COO, BIC Corp.
FF Jack Teague, president, BIC Graphic North America

Bic Graphic USA was established in 1969 at Bic’s Milford, CT, headquarters and was relocated to Florida in 1979. The company is a manufacturer/supplier of several categories of writing instruments, disposable lighters, shavers and correction fluid, with manufacturing facilities in Milford, Clearwater, and Spartenburg, SC. Bic is also the industry’s exclusive provider of Eveready flashlights and accessories. Additionally, Bic Corp. acquired Shaeffer Pen, which has manufacturing facilities in Fort Madison, IA, in 1997.

Do you see dot.com firms as a positive or negative for the industry? Why?

It’s an evolution that is part of this business just like any other business. It’s not a negative, however. It’s expanding the market and that’s a positive thing. But only time will tell.

4. Corvest Promotional Products
St. Petersburg, FL
Promotional Products Sales: $97 million
Workforce: unknown
Years in the Industry: 2
Privately Held
F Keith Olivet, CEO/President
FF Tom Oddo, senior vice president

Corvest was formed by the management of Adva-Lite and its financial partner, Trivest, Inc. in 1996, to specifically concentrate on acquisitions in the promotional products industry. In 1999, Corvest acquired Toppers, a Top 25 supplier of sport bags, tote bags, luggage, briefcases, portfolios, caps, golf accessories, towels, aprons and umbrellas, and Gootnick Enterprises, Inc. dba/It’s All Greek To Me, a leading and award-winning supplier of plush products. These three companies now form the Corvest corporate umbrella.

Do you see dot.com firms as a positive or negative for the industry? Why?

Neither. Too much is being made of the fact that these companies are emerging with a different business model built around e-commerce. The question is: Can they drive the business? If these firms enter the market as a distributor, and prove to be able to drive business, then Corvest wants to be their supplier, and we will apply the resources necessary to do so. If they come online as a service provider who can deliver a critical mass of distributors, then Corvest will pay to play if the cost is reasonable. If they enter the market as a supplier, then we’ll do what we have to do to compete. How is that different from the way it was 10, 20 or even 50 years ago? We’ll always be looking for the most effective way to go to market. Changes occur every day in business and we have to be poised to address those changes proactively. If there is truly a positive, it will show up later in the form of a larger pie. Should these new firms ultimately help bring more buyers to the industry’s table, we all win. If, however, distribution merely shifts from one channel to another without expanding the market, the ones who win are those guys. As a supplier, Corvest might derive a little value by reducing transaction costs, but without more opportunity the extra margin would be incremental.

5. Dunbrooke Promotional Group
Independence, MO Promotional Products Sales: $78 million
Workforce: 496
Years in Industry: 18
Privately Held
F Steve McMullen, president
FF David W. Bandy, vice president/promotional products group

Dunbrooke began in 1939 as the Dunhill Shirt Co., a manufacturer of men’s dress shirts based in Lexington, MO. The company introduced sport and bowling shirts in the early 1950s and by 1954, was producing nylon jackets. In 1971, the name was changed to Dunbrooke, and the company was purchased by American Marketing Industries Inc. (AMI) in 1985. Today, Dunbrooke is a full-line supplier of outerwear, shirts and sweaters for the promotional products industry. It acquired Westark Garment Manufacturing in 1997 and in 2000, Legend Marketing Group.

Do you see dot.com firms as a positive or negative for the industry? Why?

The dot.coms represent another dimension to our industry. These new companies are comprised of young creative talent interested in exploring new horizons of technology which will shorten the order process while reducing cost. They will help distributors to develop company stores worldwide to better facilitate the process of servicing fulfillment programs. They will not replace the need for creativity, as strong personal relationships are needed to consummate program business. This is an exciting time where we can benefit from the development of the electronic technology which enables the dot.com companies to compete in our industry.

6. Vantage Custom Classics
Avenel, NJ
Promotional Products Sales: $76.8 million
Workforce: 1,050
Years in Industry: 23
Privately Held
F Ira Neaman, president

Vantage manufactures and embroiders quality apparel including knit shirts, woven shirts, sweaters, jackets, windshirts and fleece. The company’s corporate offices, manufacturing and embroidery operations are headquartered in Avenel, NJ. In addition, Vantage maintains 15 sales offices in serving the 50 states and Canada, and sales and contract embroidery operations in Northern and Southern California, Georgia, Illinois, Missouri, Texas, and Michigan, making Vantage the only embroiderer in the industry with a national presence. Vantage was awarded the Gold award for embroidery in PPAI’s Supplier Achievement Awards seven of the last eight years. In 1996, 1997, and 1998, Vantage was awarded the Technovator of the Year Award from ASI, which recognized its technological advancements and improvements in manufacturing, embroidery, product quality and customer service.

Do you see dot.com firms as a positive or negative for the industry? Why?

Dot.coms are a positive and inevitable addition to the industry. We’re experiencing the beginning of the Web revolution, maybe year five in a 20-year process and business transformation. Eventually, dot.coms will cease to exist as pure players. However, they will be part of an overall marketing mix for the dissemination of product information and distribution of promotional products.

7. Magnet LLC
Washington, MO
Promotional Products Sales: $73.5 million
Workforce: 500
Years in Industry: 17
Privately Held
F Bill Korowitz, president/CEO

Magnet was established in 1983 with a modest offering of promotional magnets. Today, it is recognized as the innovative leader in magnetic promotional products. With over 500 employees developing everything from magnetic car signs to direct-marketing programs, Magnet’s account list has grown to nearly 80,000 distributors. The firm has received numerous Supplier Achievement Awards from PPAI. It acquired Benchmark Industries in 1997, and in 1998, acquired McArthur Towels, Perfect Promotional Products and PhoneCard Express.

Do you see dot.com firms as a positive or negative for the industry? Why?

Positive by all means. It has allowed us to be more responsive to our customer’s needs, increased our product awareness and made it easier for our distributors to do business with us. It has become a major means as to how we communicate within our industry and will continue to be an important part of how we do business in the future.

8. Hazel Promotional Products
Washington, MO
Promotional Products Sales: $62 million (E)
Workforce: 600+
Years in Industry: 43
Privately Held
FF Doug Lenger, marketing director

Founded in St. Louis in 1957 by the Hazel family, Hazel relocated to Washington, MO, in 1961. It remains a leading manufacturer of leather and vinyl personal/business accessories, sports/leisure bags, marketing its products through a select distributor network. In 1999, the company was bought by Eagle OPG Inc., a major manufacturer of office supplies. Eagle’s extensive product line, which is marketed worldwide, includes consumer-recognized brand names such as Hazel, Cardinal, Globe-Weis and Steelmaster.

Do you see dot.com firms as a positive or negative for the industry? Why?

We welcome the influx of Internet players in the industry and the efforts of many of the long-established key distributors in the industry to add e-commerce initiatives to their offer to end-user customers. Whenever change begins to take place, it’s a challenge to established paradigms, but this change is being driven by the need of the end-user to drive down transaction costs, lead time and errors, thus reducing the overall cost of business. As suppliers and distributors, we should welcome the change, because it gives us the opportunity to also reduce costs of doing business, becoming more competitive in the marketplace. The overall influence will be very positive. Initially, all of us are having to absorb significant development costs to make our companies Internet ready, but that’s investment for the long term upon which we can continue to build for changes in how business will be done in the business-to-business arena.

9. PremiumWear
Hopkins, MN
Promotional Products Sales: $60.7 million (E)
Workforce: Unknown
Years in Industry: 9
Privately Held
F Tim Klouda, CEO
FF Dennis Lenz, CFO

Klouda-Lenz Inc., as the firm was first known, was started in 1990 by Tim Klouda and Dennis Lenz, by bringing California Outerwear and Burks Bay Leathers into the promotional products market. The Munsingwear brand was introduced in 1993 and American Dry Goods headgear in 1996. In 1998, Klouda-Lenz added Page & Tuttle; an upscale golf-influenced sportswear collection. It also expanded all of its product lines and continued to expand its customer service and systems areas. In 1999, Klouda-Lenz was acquired by PremiumWear. Inc. and became a division of PremiumWear, maintaining the Klouda-Lenz management.

Do you see dot.com firms as a positive or negative for the industry? Why?

It’s too early to tell, but if the Internet helps promote the use of promotional products and makes it easier for consumers to access promotional products, it will be a positive for the industry. The Internet and dot.com companies are bound to cause consolidation in our industry. Not until after this consolidation takes place will we see the positive effects.

10. Leed’s
New Kensington, PA
Promotional Products Sales: $59.3 million
Workforce: 205
Years in Industry: 13
Privately Held
F Sam DiBiase, corporate vice president

Incorporated in 1986, Leed’s is a supplier of custom-imprinted business and travel accessories. Leed’s promise to its customers is simple: To create a hassle-free buying experience through superior products, service and support. This philosophy has resulted in the impressive growth Leed’s has experienced over the last six years. As a leading manufacturer of canvas, vinyl, leather and ballistic bags and business accessories, Leed’s product line will meet most any price point. Leed’s puts a special focus on travel and leather products, business and computer cases, sports and leisure duffels as well as pads and planners.

Do you see dot.com firms as a positive or negative for the industry? Why?

We see the emergence of dot.com companies as a positive, for several reasons. First and foremost, the dot.coms promise a value proposition that has been missing in our industry for some time – efficiency in the process. Second, competition in any form is good. Competition keeps all of us focused on what needs to be done to maintain a competitive advantage.

11. Sun Coast Merchandise Corp.
Commerce, CA
Promotional Products Sales: $52.3 million
Workforce: 63
Years in Industry: 57
Privately Held
F Kumar Bhavani, CEO

Sun Coast was established in 1943 and acquired by the Laltex Group of Companies, an international conglomerate, in 1982. As the U.S. division of Laltex, Sun Coast specializes in producing a wide range of premium and promotional merchandise in its factories around the world. With the knowledge and realization of the competitive promotional industry, Sun Coast strives to create new proprietary products designed to have a high perceived value and a low cost. Sun Coast has experienced rapid growth in the promotional products industry, and recently moved into a new 120,000 square foot facility with a state-of-the-art in-house printing department, enabling it to turn around large productions of imprinted products quickly and efficiently.

Do you see dot.com firms as a positive or negative for the industry? Why?

Dot.com firms are an interesting new aspect to the industry. Technology has made many great changes to the industry and will continue to do so. Through the new wave of dot.com firms, product information, order processing and price comparisons should be made easier for the end-user, distributor and supplier who participate in this new way of doing business. Needless to say, many suppliers and distributors will not participate in the dot.com world and the industry may become further fragmented. Another strong problem we may encounter with dot.com distributors is their lack of knowledge and marketing experience within the industry. The promotional product industry has been a close-knit economy where relationships have been developed, created and nurtured over many years. Will a dot.com firm be able to provide the personal sales assistance and customer support that many end-users have grown to respect? Technology has shown in many other industries that it can overcome almost any hurdle. Time will show whether this new technology can impact our industry which has been created on the old system of a face-to-face meeting and handshake.

12. Gemline
Lawrence, MA
Promotional Products Sales: $50.1 million
Workforce: 250
Years in Industry: 42
Privately Held
F Jonathan Isaacson, president
FF Robert Leavitt, vice president/sales and marketing

Founded by Samuel Issacson in 1958 as an importer/distributor of specialty advertising products, Gemline today is one of the premier suppliers in the industry, combining fashionable product design with cutting-edge technology to provide distributors with complete marketing solutions. Gemline’s products span the range from basic coolers and totes, through classic portfolios and sport bags, padfolios, writing pads and organizers, to contemporary courier bags, and a complete line of leather business gifts and accessories. Gemline has combined these products with industry-leading technology. Gemline’s service is designed to match distributors’ needs for quick turnaround. Gemline has won over 14 industry awards for screenprinting excellence.

Do you see dot.com firms as a positive or negative for the industry? Why?

The dot.coms that are entering the industry are creating flux and change in the marketplace. That is disruptive for some but it also enhances choice for others. Ultimately, they will succeed or fail depending on whether their business model adds value in the marketplace. If their business model serves some of the market better than some of existing members, they will carve out a niche. If not, they will be driven out of the market ruthlessly. In the short term though, they can help accelerate the pace of technological change in our industry, making the industry more cost efficient and better competitive choice for the spending of promotional and advertising dollars by our customers. That is good for our industry as a whole.

13. Gill Studios Inc.
Shawnee Mission, KS
Promotional Products Sales: $48.3 million
Workforce: 500
Years in Industry: 50
Privately Held
F Mark S. Gilman, president

In a basement in 1934, Forest P. Gill set up a one-man silkscreening studio where he printed signs, banners, tire covers, decals and other products on a job-by-job basis. Today, Gill Studios specializes in flexography, letterpress printing and screenprinting on products such as decals, bumper stickers and posters. Gill has won the PPAI Supplier Star Award for industry excellence in its category numerous times since 1975. During election years, its sales grow significantly because its products are used heavily in the political market.

Do you see dot.com firms as a positive or negative for the industry? Why?

Overall, the dot.com revolution will have a positive effect on the promotional products industry. It is, however, change of the deepest kind, and realizing all of its benefits will not come easily. Several dot.com firms will sell direct. However, there will be several ASP firms on the Web facilitating normal transactions between end-users, distributors, and suppliers. Our industry is behind the curve in e-commerce. Everyone now seems to realize that the distance is great between envisioning Web-based operations and actually getting on the Web in a truly effective way. To do the job right requires time and money. Many in the industry are in a hurry to get on the Web but are frustrated in their attempts to move quickly by the sobering lack of available expertise. The financial investment required in building the right site also gives pause to those trying to decide what is best for their e-business. However, the industry will find its way. Two or three years from now, several dot.com companies will be prospering, and many suppliers and distributors will have productive Web sites. The big question seems to be whether or not we can maintain the traditional supplier-distributor relationship which undergirds our industry. It is becoming more clear everyday that we can, indeed, use e-commerce technology effectively to strengthen that historic relationship, thus continuing the growth of the industry.

14. Sweda Co. LLC
Los Angeles, CA
Promotional Products Sales: $47.5 million
Workforce: 2,700
Years in Industry: 24
Privately Held
F Marvin Ruwin, president
FF Mark Soffa, executive vice-president

Established in 1976 by Ruwin, Sweda is a manufacturer/supplier of watches, clocks, calculators, pens, portfolios and other personal electronics for the promotional products industry. In 1994, it received ISO9001 quality assurance certification, the international standard for quality manufacturing. Sweda is a fully-integrated manufacturer with two mold injection facilities, employing over 2,700 people. In addition, Sweda has 15 branch offices throughout the world including Hong Kong, United Kingdom, Brazil, Mainland China, Germany, Guatemala, Japan, Australia, Canada, Argentina, Italy, Peru and Israel. Ruwin received ASI’s International Person of the Year Award in 1996.

Do you see dot.com firms as a positive or negative for the industry? Why?

As a supplier, any additional types of new markets or areas that can be penetrated are especially important to Sweda. E-commerce is just another marketing tool with the ability for a distributor or end-user to view our product lines in nanoseconds. In marketing, you, your company or your product lines, the number-one rule is exposure; the more you have, the more you get. Or as the famous saying goes, “Out of sight, out of mind.”

15. Hartwell Sports Inc.
Hartwell, GA
Promotional Products Sales: $46.4 million
Workforce: 500
Years in the Industry: 6
Privately Held
F Tom Horsley, CEO
FF Steve LeFleur, president

Founded in 1939 as a manufacturer of men’s work clothes and uniforms, Hartwell designs, manufactures, and distributes a broad range of wearables to the advertising specialty, uniform, leisure, and sports markets through its wholly-owned subsidiaries. Brand names include Hartwell Sports, ViaSport, Auburn, Sae Palms, Merrygarden, Southport, and Oarsman. The Hartwell Sports division was founded in 1977 to manufacture and distribute shirts and jackets. In 1996, the company acquired Auburn Sportswear, Embroidery Services the following year and Southport Apparel in 1998.

Do you see dot.com firms as a positive or negative for the industry? Why?

Positive. It helps potential customers find out about Hartwell who may otherwise may not be familiar with our name or brands.

16. A.T. Cross Co./Special Markets Division
Lincoln, RI
Promotional Products Sales: $43.1 million (E)
Workforce: 1,000
Years in Industry: 41
Publicly Held
F Bradford R. Boss, chairman of the board
F Russell Boss, president/CEO
FF Lisa Bennet, national sales manager, special markets

Started by the Cross family in 1846, the company was acquired by the Boss family in 1916. Cross has been publicly held since 1971. It has eight subsidiaries worldwide and is primarily a manufacturer of high-end writing pens, desk sets and time- pieces.

Do you see dot.com firms as a positive or negative for the industry? Why?

The dot.com firms that have emerged over the last year to two years are a natural outgrowth of this industry, which is driven by customer service. Distributors who are using e-commerce as a value-added service to end-users and coupling that with traditional brick and mortar operations will undoubtedly be more successful than those whose business is strictly Web-based.

17. King Louie Inc.
Grandview, MO
Promotional products sales: $43 million
Workforce: 600
Years in industry: 26
Privately held
F Robert Palan, president
FF Gary Grey, vice president/sales

Founded in 1937, King Louie opened its doors as Lerner Brothers Manufacturing Co., making uniforms for the armed forces. Over the years, it changed its name to King Louie and its focus to manufacturing bowling shirts, and owning and operating bowling centers throughout the country. In the mid-’70s, it became a supplier to the promotional products industry, which remains its primary distribution market today. King Louie established itself as a reliable supplier of basic apparel. Within the last decade, it began to emphasize fashion jackets, shirts and caps and have included a broad selection of activewear from its TimeOut brand, which is sold at retail. With the addition of its fashion styles, King Louie offers one of the broadest overall selections of apparel and headgear in the industry.

Do you see dot.com firms as a positive or negative for the industry? Why?

First you have to qualify dot.com firms. There are several different business models. One is the pure distributor, one the “clicks-and-bricks” distributor and of course, the last being the b-to-b model, which unites distributors with suppliers. It is the latter we feel is extremely positive for the industry. It takes cost out of the equation. Any time you can take cost out of the back-end processing of economic transactions, it’s a good thing. Those b-to-b Web sites that unite a supplier with a promotional products distributor and allow them to transact business on the Web in real time are very positive for the industry. They will be producing efficiencies for both the supplier and distributor, giving quicker, better, and more accurate information, which in the end will benefit the end-user in the form of a faster turnaround and more value per transaction.

18. Gillette Stationery Products Special Markets Division
Janesville, WI
Promotional Products Sales: $41.6 million (E)
Workforce: 125
Years in Industry: 28
Publicly Held
F Vern Desbien, vice president/ special markets division

The firm’s parent company, the Gillette Co., was founded in 1901 by King C. Gillette. Primarily a razor-blade manufacturer, Gillette’s Stationery Products division was established in 1955 with its acquisition of Paper Mate Pen Co. Paper Mate’s specialty advertising activities were eventually separated from Gillette in 1984 as GPA Associates Inc./Paper Mate, which operated as a completely independent division. Gillette acquired the France-based Waterman Pen Co. in 1987, and in 1993, purchased Parker Pen USA Ltd. In 1994, Gillette incorporated all promotional products dealings of GPA, Parker and Waterman back under the Gillette Stationery Products Special Markets Division umbrella at Parker’s Janesville, WI facility.

Do you see dot.com firms as a positive or negative for the industry? Why?

Dot.coms are a reality of today’s business world. Whether they’re a positive or negative will depend upon how the participants of our industry respond. Suppliers who develop business relationships with the e-commerce exclusive distributors or the more traditional distributors developing e-commerce sites will see, at best, incremental business and, at worst, a shift from some of their traditional business to e-commerce business. Distributors who choose not to become involved in e-commerce will forfeit the opportunity to compete in the growing market niche and will continually have to demonstrate that they add value to the process. The need for creative solutions to business problems will not disappear in the e-commerce world. Relationship selling will still be important. Trust, reliability and after sales service will remain critical factors in the business process. It’s still nice to talk to real people.

19. Taylor Corp.
North Mankato, MN
Promotional Products Sales: $41.2 million (E)
Workforce: 14,000
Years in Industry: Unknown
Privately Held
F Glen Taylor, chairman/CEO
F Gary Zellmer, vice president/ promotional products division

A management group of approximately 80 independently operated divisions, Taylor was founded in 1948 by William Carlson. The organization has five supplier firms within the promotional products industry: Birch Lake Promotional Group (St. Paul, MN), Carlson Craft (North Mankato), Galaxy (Minneapolis), Embassy Master-piece Studio (North Mankato, MN), Thayer Publishing (Mankato, MN) and Windmill Press Inc. (Hagaman, NY). The bulk of the other divisions and related firms are, for the most part, comprised of social and business-to-business commercial printing (thermography, engraving, foil-embossing), promotional products and prom/banquet/party supplies sold on a wholesale basis. The company’s total sales are estimated at $1.2 billion. Taylor occupies 40,000 square feet at its headquarters location.

Do you see dot.com firms as a positive or negative for the industry? Why?

As a supplier, we’re excited that the dot.com firms are potentially increasing the size of the market. As more buyers use the Internet for shipping/information gathering, the potential is there for a new channel to sell ad specialty products. We would anticipate that face-to-face sales will continue to be the preferred method of sales and dot.com firms will provide an enhancement.

20. Hilton Corporate Casuals
Lincolnwood, IL
Promotional Products Sales: $40.1 million
Workforce: 478
Years in Industry: 45
Publicly Held
F Tim Cronin, president
FF Phil Cook, national sales manager

Hilton was founded in 1953. It began as a distributor of shirts and started manufacturing shirts in 1954 in Thomasville, AL. In 1974, it shifted gears and became a major manufacturer of sporting goods. At the beginning of the 1980s, Hilton was acquired by Simplex Manufacturing, which was later acquired by Anthony Industries, now K2 Industries Inc., a major manufacturer/marketer of branded sporting-goods products. In 1993, Hilton began the process of reengineering, reinventing and relaunching its product line, repositioning itself in the marketplace and achieving explosive growth. It now offers shirts, jackets, vests, fleecewear, warm-up suits, bags caps and golfwear, as well as in-house embroidery capabilities.

Do you see dot.com firms as a positive or negative for the industry? Why?

We think there’s a need and a place for dot.com companies. Many have risen up in the past year and some have been more viable than others. We think suppliers and distributors must make careful, informed decisions when it comes to affiliating with one over the other. We believe the Internet is an undeniable force to be assimilated and embraced. The value will be deciding and maintaining the balance between “brick” and “click.” In addition, we must take a proactive effort to redefine the value-added by supplier and distributor alike. As we automate the transaction function, we will have to develop stronger relationships, problem-solving skills and process innovations in order to remain strong and viable in a global environment. The key will be deciding with whom and deciding how.

21. Swiss Army Brands Inc.
Shelton, CT
Promotional Products Sales: $37.5 million
Workforce: 210
Years in Industry: 22
Publicly Held
F Rick Taggart, president
FF Doug Rumbough, vice president

Swiss Army was founded under the name of R.H. Forschner in 1855 in Bristol, CT, as a manufacturer of butcher scales. In 1937, Forschner gained the rights to distribute Swiss-made Victorinox cutlery and pocketknives in the United States. In 1974, the firm came under its current management and secured the exclusive rights to all Victorinox products. In 1983, it went public, changing its name to Forschner Group Inc. and in 1996, changed its name again to Swiss Army Brands Inc. to better describe its offered lines. Its stock is traded on the NASDAQ system and the company remains the exclusive marketer of Victorinox Original Swiss Army Knives, Swiss Army Brand watches and sunglasses, Simmons binoculars and Cuisine de France Sabatier cutlery.

Do you see dot.com firms as a positive or negative for the industry? Why?

The dot.coms will be extremely positive as the impact-productive communication between distributors and suppliers – the logistics element. As part of the sales mix, the Internet offers a powerful tool from which to leverage marketing goals.

22. Barton Nelson Inc.
Kansas City, MO
Promotional Products Sales: $35.3 million
Workforce: 327
Years in Industry: 26
Privately Held
F J. Nelson II, chairman
FF Chuck Nelson, president sales promotion division
FF Raymond V. Morgan, vice president sales and marketing

A manufacturer of a diversified paper and vinyl products line, the firm began in 1961 as an advertising agency and in 1974, switched over to promotional products. Barton Nelson offers stock and custom shaped removable self-adhesive pads and cubes, repositionable paper products, write-on-wipe-off boards, advertising pads and desk pads and a variety of cubes and cubes in a box. It produces a line of vinyl products including pads, document holders, clip folders and ring binders. Primary printing methods include web press, silkscreening, hot-stamping, pad printing and other proprietary methods. It introduced paper products made from 15% consumer waste as well as custom-printed pads in vinyl folders. The three-generation, family-owned firm operates in a 106,000 square foot facility in Kansas City; 70,000 square feet in Nogales, Mexico; and 75,000 square feet in Tegelen, Netherlands.

Do you see dot.com firms as a positive or negative for the industry? Why?

This is a wonderful opportunity for the sales promotion industry. Any time a medium introduces to, or creates a demand for, product – or in this case, an entire means of promotion – everyone in that industry gains. For example, we are certainly glad that we have competitors who make a similar product to us. With all of us telling the story, the demand increases, and we’re all winners.

23. Noteworthy Co.
Amsterdam, NY
Promotional Products Sales: $32.9 million
Workforce: 376
Years in the Industry: 46
Privately Held
F Carol L. Constantino, President
FF Blaine D. Wiltey, national sales manager

Noteworthy was founded in 1954 by the late Thomas B. Constantino. Its initial product offerings of car litter bags and tissue visor packs served as the growth mechanism for the company. Today, Noteworthy offers a full line of plastic & paper bags, desk and note pads, Halloween trick-or-treat bags, coloring books, litter bags and growth charts. In 1998, Noteworthy acquired the Filmkote line of presentation products and Crystal Awards USA, a provider of prestigious deep-etched crystal.

Do you see dot.com firms as a positive or negative for the industry? Why?

The dot.com firms provide a new channel to the customer that should bring additional recognition to our industry. However, let’s not forget the value-added service our distributor sales network provides on a daily basis with a face-to-face contact.

24. Prime Resources Corp.
Bridgeport, CT
Promotional Product Sales: $28.5 million
Workforce: 250
Years in the Industry: 19
Privately Held
F Bob Lederer, president

A manufacturer, decorator, importer, and assembler of a wide range of products, Prime Resources was founded by Lederer in 1980, and grew on the strength of one innovative product – the “Telenote,” a device that attached to the back of a desk phone to hold notes, which was its first exclusive item. Prime purchased the Lipette line in 1980, which was the first of five acquisitions in the coming years, and the firm was called Prime/Lipette until renamed Prime Resources a few years later. The company has steadily grown as a result of four main elements: 1) acquisitions 2) hiring professionals 3) the deliberate choice to go to the “department store” route – extending a diverse selection of products that currently covers 35% of the industry’s offerings, a practice not common in the industry but pioneered by Prime; and 4) establishing and maintaining a reputation for introducing innovative, unique products to the industry, many of which eventually became industry standards.

Do you see dot.com firms as a positive or negative for the industry? Why?

Dot.com firms are a welcome change and create some terrific exposure for the industry. The efficiencies the Internet and e-commerce can bring to our highly fragmented industry are amazing. E-distributors and various Middleware platforms are being created with the thought of streamlining the redundant order procurement process, consolidating purchasing and leveraging technology to drive sales. The new dichotomy emerging in the promotional products industry is helping to drive many traditional supplier and distributor companies to move even quicker with their e-commerce initiative and implementation. This will ultimately have an extremely positive effect on all companies, especially if we can all embrace and accept change.

25. Senator Pen Co.
Greensboro, NC
Promotional Product Sales: $31.8 million
Workforce: 235
Privately Held
Years in Industry: 10
F John Delaney, president/CEO

Senator specializes in the distribution of German writing instruments in the US and Canada through distributors and OEM sales. Established in 1989 in Essex, CT, the company relocated to Greensboro, NC, in 1991. The German parent company, Senator-Germany/dba Merz & Krell, was founded in 1920 and sells writing instruments in 80 countries worldwide, maintaining a 60% share in the German writing instrument market. Senator currently produces writing instruments models domestically using German technology.

Do you see dot.com firms as a positive or negative for the industry? Why?

The promotional products industry continues to experience explosive growth. The dot.com phenomenon as it applies to us can create “plus” business for suppliers, especially in the short term. As the traditional distributor base of sales grows, the dot.com contingent should grow in parallel fashion. In the long term, the Internet will become a price-driven buying platform for commodity purchases, domestic and international sourcing, reorder purchasing, corporate catalog programs, and the like. However, the personalized sale is critical to the big deal. The face-to-face creative input offered by the distributor is the continued key to industry growth. The off-line distributor sells creativity, not commodities.