Every July, Advertising Specialty Institute (ASI) publishes the annual State Of The Industry Report. The 2018 survey results reveal some very interesting and, quite frankly, disturbing facts about the state of product safety in the promotional products industry: It’s almost nonexistent.
Let’s look at the numbers. According to the research, suppliers spent the following amounts on product safety in 2018:
30% spent $0
17% spent $1,000 dollars or less
25% spent $1,000 to $5,000
14% spent $5,000 – $25,000
14% spent $25,000+
And that’s not all. Looking ahead, the vast majority of suppliers don’t plan to boost product safety spending in 2019—even though 90 percent of their distributor customers feel a personal obligation to ensure the items they sell are safe.
If the vast majority of distributors recognize the importance of product safety, then why aren’t they demanding that suppliers get in the game? Why don’t these distributors move their business to suppliers that have compliance programs? Why isn’t anyone putting money where their mouth is?
In my Promo Marketing Magazine article “Are Promo Industry Firms So Desperate For Short-Term Gains That They’re Willing To Gamble Their Future?,” I examine the issues and show how brand safety and responsible sourcing are selling tools that can be used to increase loyalty with existing customers as well as to convert prospects into clients.
Bottom line: If you want to land greater, more lucrative opportunities by working with larger companies, then you must not only understand and address the issues surrounding product safety and responsible sourcing, but also have third-party verification of the processes and documentation necessary to meet buyers’ demands. Otherwise, you don’t even get a seat at the table.
Want a winning hand? Stop being the joker and learn what it takes to get a straight flush (social responsibility, product safety, product quality, environmental stewardship and supply chain security).
Stack the deck in your favor by reading the story here.
