FEATURE ARTICLE July 2007

Distributors sell apparel to offset declines in their traditional forms sales. They have discovered that apparel sales not only offer significant margins, but also opportunities to sell more print. The reason: Marketing departments often make buying decisions for apparel, while purchasing departments buy forms. Once distributors have a relationship with the marketing department, they’re more likely to sell company-wide solutions involving marketing collateral, promotional products and forms than if they deal solely with the purchasing agent. So how do distributors get started selling apparel, and what do they need to know?

The first step for distributors is to find reputable partners. “Part of selling apparel profitably is knowing who not to go to,” says Cliff Quicksell, president of Cliff Quicksell & Associates, Frederick, Md. “Distributors try to partner with certain embellishers and don’t make sure it’s the right type of company.” For instance, it’s necessary to run canvas bags through a dryer before printing on them, but some companies will skip this step. A key to protecting yourself is clarifying how disputes will be resolved with your vendor before releasing a job, says Quicksell.

Apparel sales will likely involve a network of various vendors. Some companies supply blank apparel products, such as Anaheim, Calif.-based Alstyle Apparel, a division of Ennis Inc., and Preston, Wash.-based SanMar Inc. Other companies, such as Vantage Apparel, Avenel, N.J., are decorators that offer screenprinting and embroidery services. As with any print order, the vendors you choose for a particular job will depend on their specialization and equipment.

Apparel used to be sold on price, but the industry has shifted. End users appreciate the difference between products, and they’re more willing than ever to pay for quality. “We’ve found that end buyers are most concerned with value and are often willing to spend the appropriate amount of money as long as the brand delivers what it promises,” says Penny Koch, vice president of sales and marketing at Vantage Apparel. “For example, if they spend a few dollars more on a garment that’s marketed as a performance polo, they expect the piece to hold true to the company’s claims and wear better, wash better or control body temperature.”

Distributors who frame apparel purchases in marketing terms are more likely to convince clients of the need for quality. The ultimate goal is to extend the client’s marketing message, and that’s accomplished only if people continue to wear the apparel. “Distributors are teaching their clients that putting slightly more funding into a promotion will benefit them in the long run.” says Lee Strom, senior marketing manager at SanMar. “It depends on the promotion—some really are tailored to a one-shot wear—but choosing an item that will get worn repeatedly is usually worth the extra dollars.”

Another reason apparel is so profitable are the opportunities to up-sell customers. “You have the ability to drive incredible margins,” says Quicksell. “The embellishment techniques are where you can make serious money, and knowing their limitations and capabilities is key.” For example, the thread count necessary to embroider a large design on a cap or jacket can cause the product to be quite expensive. However, appliqué techniques may produce the same result or better, and they will reduce costs.

Another opportunity for distributors to increase sales is to offer packaging. Quicksell recommends always asking customers how they want their apparel packaged. “If you’re not offering packages, you’re losing thousands of dollars,” he says. At the very least, if customers mail shirts to prospects, you can supply envelopes or boxes, and possibly the fulfillment. Other custom packaging options include tubes and polybags, belly bands, hang tags, hangers, garment bags and custom garment hooks.

Trends and Opportunities
Quicksell identifies appliqué as one of several hot trends in the apparel industry, including direct embroidery, photochromatic and other unique threads, textured emblems and novelty inks.

Strom notes that performance wear is in demand, and points to innovative fabrics as an indicator that it will stay that way: “Cotton polyester blends make it possible to create performance fabrics that don’t lose their technical qualities the way chemically treated cotton might,” he says. “Moisture wicking, UV protection and heat-sensing sport shirts are all very popular right now, particularly in golf apparel and active work environments.” For Koch’s comments on trends, read “The Scoop on Apparel” above.

As with the advertising market in general, promotional product sales are tied closely with the economy. When the economy slows, end users typically reign in their budgets, and promotional products are some of the first expenses to be cut.

However, apparel has some advantages over other types of promotional products. “The state of the apparel industry is strong and gaining even more ground,” says Strom. “It’s an industry that is tied to the overall economy but also has many segments that are fairly recession-proof. Community, school and sporting events regularly call for decorated apparel and rarely go away when the economy hits a rough patch.”

For now, apparel is one of the fastest-growing segments in the promotional products industry, says Koch, and suppliers and manufacturers across the board agree that the category’s outlook is good. “As long as suppliers continue bringing out innovative and unique products, and distributors continue to be creative, the industry will thrive,” says Koch.

The Scoop on Apparel

Penny Koch, vice president of marketing and sales for manufacturer Vantage Apparel, Avenel, N.J., details current apparel trends:

COLOR: “Bold, bright colors that had taken over the fashion scene are now being replaced by more traditional and sophisticated colors. Red is back, often paired with black and white, and classic navy is considered new again. Neutral shades of gray and beige take color in a very different direction. Greens remain important in shades from military olives to intense grass and kelly greens. Brown will be evident on its own as well as being an influence on orange and yellow, resulting in darker hues of burnt orange and mustard.”

FABRIC: “Performance remains the most important trend in fabrics. Advancements in fiber and fabric technology continue to make garments that are ‘easy-wear’ and ‘easy-care.’ The first offers protection from the elements—rain, heat, sun, bacteria, wind, cold, snow. The latter resist stains, wrinkles, color fading, pilling and shrinking. Some ultra-performance garments combine both to offer the ultimate high-tech apparel.”

DECORATION: “Embellishment techniques continue to be an integral part of today’s fashion trends. However, look for decoration to become less gaudy and overpowering. Metallics are still important with more matte looks. Embellishments that offer surface interest like flocking, textural inks, appliqués, cut-outs and studded designs are especially important in the younger markets. New technology is continuously changing decoration options with exciting embellishments like digital printing, laser cutting and unique transfers.”

Andy Brown is managing editor of Print Solutions magazine. Email comments to abrown@PSDA.org.

Note: Some of the reporting for this story was conducted at the 2006 Print Solutions Conference & Expo.

If the Sale Fits, Wear It