How to Increase Profit Margins Part 1

The ideal gross profit margin for an ad specality distributor is in the range of 38-40% and you have to have that margin to grow your business and sustain your growth. Despite the current economic situation there are distributors that are succeeding and are able to maintain those kinds of margins.

But how do you get to, and maintain that level of profitability in the face of an increaingly price concious cleints?

1. Remember that attitude is everything.

You are not selling yourself or the cheapest item out there, you have to beleive in the product. You have to beleive that the product you are showing, because then the client will believe in the product as well. You have to add value to the transaction.

2. Provide top notch customer service.

One important way to add value is by offering your clients exceptional customer service during each step of the selling process. Price means nothing, as long as you are accessable and the order is completed and delivered without any issues. Keeping profit margins high mean keeping clients happy.

Stay tuned for more ways to increase your profit margins.

Neckwear- who knew?

With the ever changing economy it's more important than ever to look the part and look professional and nothing says professional like a necktie sporting your corporate logo or corporate colors. Ties give the wearer the ability to be fashionable, professional with subtle branding. Sometimes a T-shirt or a polo shirt is not enough- sometimes you need something with an impact that says fine clothing and class. Unlike tradition garments neck wear decoration is not limited to one small location. Instead neck wear can feature logos and corporate colors in a beautiful subtle pattern. These patterns can emulate famous brands turning logos into attractive pattens that end users are excited about wearing. For a winning co-ed corporation promotion, I would suggest a branded silk tie for men and a silk scarf for women. Neck wear allows employees to be uniform without wearing standardized uniforms. Neck wear is easy to wear in the summer or the winter and is convenient and comfortable for all.

Small Business's, who normally have a small budget for advertising, ofter resort to unconventional methods to promote themselves. There are two most common types of advertising that small business's use and I will discuss them both.

The first is cross promotion. This is leveraging the success or popularity of another business for your own good. In a cross promotion you work with another business to increase sales for both companies. For example, you may offer free print work to any customer who buys a monthly subscription of your product. Or you could offer a free movie ticket to someone who purchases your product. Either way you are working with another company to promote sales. Associating with a business that is already popular and successful is the best way to go, because this can successfully raise the reputation of your company. It can be difficult to establish a rapport as a new business, but by working with someone who is already well known can do a great deal for your business. Had anyone ever heard of Dr. Phil or Dr. Oz until they started working with Oprah, heck no! So find the Oprah of businesses and work with them, your business should skyrocket!

Wear it loud and proud!

We have all seen them, pinned to lapels at work, on the back of cars, ironed to backpacks of college students- the universal red ribbon. In it's infancy stage the red ribbon was a symbol of the continuing fight against AIDS. Now that idea of increasing awareness and support through the use of promotional product has spread to include several other important causes across the nation. Why? Because when executed correctly, it works and it works well.

When connected to an important cause, like AIDS or Breast Cancer awareness promotional products boost awareness and support while also helping to raise money. Take the yellow LIVESTRONG bracelet from Lance Armstrong,'s organization. Once that yellow rubber band appeared on the market not only did almost everyone in the world own one, but it represented a knowledge and support of cancer research. Proceeds from the sales of the bracelets went directly to the foundation with the dual purpose of raising awareness and raising funds.

Promotional products such as, bracelets, bandannas, key chains, magnets, and stickers spread the word around in the simple, fun, yet effective way. They produce a lasting relationship between the target, cause and brand. Sometimes even the color of a product can have a lasting effect on some one's memory. Take the color pink, it is commonly known to symbolize breast cancer. Reusability and durability are very important when picking out a promotional products- its got be be useful and last so the owner holds onto it.

An effective promotional product turns the user into a walking billboard for the cause- it communicates the brand's message in an alternative way. It shows that the consumer care about and support the cause enough to display it proudly.

How to recruit top sales people to your firm?

Want to recruit the top salespeople to your business? Follow these simple steps and you will not be disappointed.

1. Look outside the industry- Some of the best places to find salespeople are the alternate avenues that have nothing to do with the ad speciality industry- business magazines, other selling environments.

2. Payment and Perks- Companies who want to attract top notch sales people are doing so with not only good commission plans, but top of the line perks, such as annual incentive trips, sliding commissions rates and pre-paid commissions.

3. Cut the Strings- Plenty of sellers love their freedom, and that means the freedom to walk away from a deal whenever they want- even if that means leaving the company they work for. Some top 40 distributors say their strongest recruiting took is a contract that has no strings attached, allowing reps to walk away without a non-complete agreement any time they want. Don't be too territorial with a new hire- it will give them a negative view of your company.

4. Get Creative- Job applicants respond to creative recruitment tools. That's why companies are using YouTube, Facebook, Craigslist and Twitter. Sometimes you can find the best people in the most unusual places. Recruiting should be constant- even when you're out for dinner. That waitress could be your nest top rep.

Bags meet high fashion

Bags are trendier in 2009 then ever before, with high end retail brands such as Coach, Louis Vuitton, Gucci, and Prada appearing as a style statement on the arms of everyone from toddlers, like Suri Cruise, tweens, like Miley Cyrus, teens like Selena Gomez, and high paid actresses, like Jennifer Aniston and Cameron Diaz they are clearly making a statement.

When a woman is carring a fashion forward bag it sets a tone, it mean's look at me, I am a force to be recokened with. Remember the more fashionable and trendy the bag is, the longer a person will hold onto it.

Fashionable bags are available in a range of price points. From affordable hand woven and non woven bags to high end leather products, bags used as a fashion accessory can can fit a multiple of promotions.

Bags are the number two promotional product (next to shirts) and represent about 12% of the promotional industries revenue. Bags are great because people use and reuse them over a long period of time and they offer a large space in which a logo or brand name that has constant visability.

The most important thing about bags is to offer diversity in your promotional bags. Think about your audience, think about weather a reusable grocery bag will be best or will a leather bag that screams trendy be better. Decorating techniques are very important when selling bags for promotions. When you have a nice looking bag, it's important to decorate it in a subtle, trendy, yet sharp looking way that the user will want to use it over and over again.