Sales Program Primer                                                        (Provided by U.S. Licensee Time Expressions LLC)

In the U.S., the promotional products industry has a distributor base of over 15,000 companies with over
150,000 sales people ranging from part-timer sales people to multi million dollar producers.

With such a broad range of customers, all selling to Corporate America, you can only imagine the many
different types of programs in the market and the thousands of uses of promotional products, ranging
from trade show giveaways and recognition incentives to major product launches and corporate catalog
programs. This section briefly outlines the top programs used daily by our customers and what they
typically expect from us as a supplier to systematically and loyally present our products for consideration.


Private Label

Europa's extensive model selection and customization options, combined with our low minimums, provide a one stop solution for companies that want to quickly expand their brand into watches.

Company Store or Corporate Catalog Program

A company store or corporate catalog program is one that a distributor sets up with a large corporation (usually 3000 or more employees). Infiniti car dealerships may sign a contract with one of our distributors to pick product, design and produce a catalog, stock inventory etc. All catalogs will have multiple product categories i.e., wearables, mugs, key chains, pens, portfolio, watches, executive desk accessories etc., Usually all with the same logo. The idea behind the program is we do all the legwork up front and then the program runs for 12-24 months with multiple reorders.

In order to be considered for placement, our customers expect the following: End quantity price or better regardless of the order size, contributions for being in the program usually $150 per item (even though there is no guarantee that there will ever be an order), no repeat set-up charges for any imprint method.

Business to Business Catalog or Distributor Direct Web Site

A business-to-business catalog or distributor direct web site differs from a company store in one crucial way; it is used to solicit business to all of corporate American instead on one company. Since this type of program is not isolated to one company, we will get very few reorders with the exact same logo, but hopefully will get a lot of orders in general.

A distributor or group of distributors may partner together to create a catalog that covers all the major product categories using key supplier partners to supply to products. This enables the distributor to carry one condensed catalog to start the sales cycle and brainstorm with their client. From there if the customer needs a more detailed supplier catalog the distributor will get them one. The web site works exactly the same. Our customers will promote the companies that support them with service and of course financial considerations.

In order to be considered for placement, our customers expect the following: End quantity price or better regardless of the order size, contributions for being in the program usually $150 per item (even though there is no guarantee that there will ever be an order), no repeat set-up charges for any imprint method. In the case of the Peernet Catalog we had to Contribute US $2,500 for a full page, 7-product layout.

See
www.brandvia.com or www.branders.com for a distributor web site solution.

Gift With Purchase/On-Pack Promotion

A gift with purchase program is where a company offers an incentive to a potential buyer to choose their product over the competition. You see a great deal of these promotions in the cosmetic/perfume industry. If you as a consumer are drawn to a specific gift that an unfamiliar fragrance company may be giving away with a purchase, it may entice you to at least try the product. (Other examples are magazine subscriptions or renewal gifts)

An On-Pack promotion is similar except that the incentive product is heat sealed or attached in some other manner directly to the product itself. You may have seen the Marlboro cigarette promotion where you buy a 3 pack of cigarettes and a tee shirt is shrink-wrapped to the special promotional package.

In both of these programs, it is usually a one shot order and the quantity is very large. Now more than every price is crucial as it is part of the overall marketing budget of the corporation. These are usually items that the distributor can purchase for under $2.00 - $3.00 in bulk quantities.

Redemption Program

A redemption program rewards a consumer for frequent purchases. Cereal food companies are notorious for redemption programs. If you send in 3 proofs of purchase seals, for only $9.95 plus S&H, you can have this $30 value. Am example might be the Kellogg’s Rice Crispies sports watch.

The food company is looking to sell more products and recoup their advertising costs but not necessarily make a profit on the product itself. This type of program is usually a one time, large order.

Dealer Loader Program

A dealer loader program is designed to give purchasing mangers an incentive to “load up” on a specific product. The entertainment industry is notorious for dealer loaders. For example, Universal Studios is ready to launch the video release of Mission Impossible II. The studio wants to move an extra 200,000 copies of the video worldwide so they put an incentive together for Blockbuster Video Stores to purchase additional copies at reduced cost. Blockbuster can then use these products as employee incentives, customer gifts etc.

Distributor Self Promotion

A distributor self-promotion is where our customer purchases our product and puts their corporate logo on it. They use these products to keep their name in front of their clients as well as promote a supplier’s products, which hopefully turns into sale. Mastermark, Europa’s licensee for Finland, used 2,500 self promotion watches to great effect in early 2001.

Distributors look for a major price discount on self-promotion items, as most sales people have to purchase these items and pay for them out of their own pocket. Most distributors are looking for 25% off the End Quantity Price.