Promotional products, corporate gifts and giveaways are still prominent in business marketing and branding efforts. Unfortunately, it’s not easy to start a small business in this industry.
Indeed, the market is huge: It’s a $19 billion market with virtually no barrier to entry, which means everyone can jump into the promo products and giveaways market literally overnight.
The tools are there; the market is there; unfortunately, a mature, low barrier to entry means fierce competition – over 25,000 U.S.-based distributors out there to compete with; many have failed.
Pride Products one of the companies that defy gravity; 16 years into the business, the company is still thriving.
So, how does the company thrive? Andrew Nadel, the Founder, and Wendy Ferber, the CEO of Pride Products, can explain how.
1. Be the middle man
Instead of producing your own products, Pride Products position themselves as the middle man, matching up clients with suppliers. They address customers’ need – the type of promo products, the design, and so on – and take the design and artwork to the factories.
2. Differentiate with your customer service
The only way to compete in a tough competition is by differentiating yourself from the crowd. Pride Products does this by focusing on customer service: Quick response in addressing customers’ needs.
3. Quick turnaround time
Another competitive advantage Pride Products has is the quick turnaround time. According to Ms. Ferber, it only takes 4 hours to produce a client’s first round of ideas.
4. Focus on existing customers and repeat orders
Want success in this industry? Focus your effort on addressing existing customers’ needs. Indeed, instead of spending a fortune on acquiring new clients, you can allocate your budget on customer retention.
In the past 18 months, 89% of orders are coming from existing client base. Moreover, the top 50 clients are with Pride Products for more than 10 years. Customer relationship is the key here.
Takeaway
It’s certainly not easy, but your can-do and will-do-it-fast attitude will eventually make your promo products company stands out.
