November/December 2007

BUSINESS OF WEARABLES

Get Excited

The wearables industry's come a long way in the last decade, but it looks like things are only just starting to heat up.

By Nowell C. Wisch, MAS

Wow, 10 years. Time sure flies when you’re having fun, as they say. I didn’t realize a decade had passed since the day I spent six hours telling the founders of this magazine everything I knew about the advertising specialty business in general and specifically, wearables. I’m so happy I’ve been allowed to share my thoughts with you.

"An increase in women's apparel in all sizes, textures and fashion is the biggest and best change in our industry now."

 Marijo, distributor

The changes in our industry have been numerous – specifically in wearables sales. The most visible has been the huge shift in focus on customers buying just pens, for example, to a focus on fabrics. We’ve grown to be identified as an industry that’s built on the logoed garment, as wearables have become the dominant product group.

If this column is successful, it’s because for more than 100 months, I’ve asked my distributor friends in the business what they think is important to being successful in selling wearables. When I asked them to help me assess the changes that have taken place in the last decade – and what we can look forward to – they responded with answers that are interesting and thought provoking.

I’ve identified seven areas of change that are important to distributors in the wearables sector.

Since this industry’s not just about the ubiquitous white T-shirt anymore, the change topping everyone’s list is the wonderful availability of styles across the board for men, women, kids and even babies. Fabric technology has evolved; we’ve got a huge color palette; and the size range available from most suppliers has expanded to accommodate the very petite to plus size and big and tall. Of course, with all these great new products come other issues, such as dealing with inventory, product life cycles and an extra dose of competition. Read on to see what your colleagues are saying.

"Eco-friendly products and high-performance fabric
technology are becoming more important to our clients."

 Marvin, distributor

1. Fashion’s in. Almost everyone I talked to agreed that this is the biggest change we’ve seen in the industry during the last decade. “Really, the most significant change has been the influence of brand names and fashion-forward styles on wearables,” Paul says.

“The fact that formerly promo-only lines have become ‘brand names’ indicates how important branding is to our market,” Jerry says. “Who would have thought SanMar’s Port Authority collection would become a label to choose off the rack? My customers offer promotional label garments side by side with retail brand names without any problem.”

2. Women’s wear is a must. The rise in women’s fashion is among the most significant changes in our industry in the last decade. “The growth of women’s product has been simply fantastic,” Jim says. “Not only are suppliers coming up with retail-looking product, but they’re bringing in many more styles and colors than five years ago.”

Marijo says that an increase in women’s apparel in all sizes, textures and fashion is the biggest and best change in our industry now.

3. Brand names rule. Distributors I talked to said they had a lot of success showing brand names along with promotional lines. “I’ve increased both the number of orders and the size of my orders by showing a brand name along with a promo line,” Barry says. “Many times I can find an industry source that has the cut, color and style at an affordable price when my customer can’t afford the retail product.”

4. Inventory’s key. What’s nice is that more suppliers are stocking product in men’s and women’s companion pieces, as well as stocking deep and in a large size run, Jim says. “This helps us put items in programs where we’re confident that the supplier source will be there over the long haul,” he says.

I was also interested in what might help a distributor sell more wearables and make more money. My colleagues’ answers covered topics that can guide both distributors and suppliers.

5. We need samples. “Give me samples at a good price and give me samples without grommets,” Marijo says. “If suppliers really want to help me sell more, they could also attach a hang tag that shows the sizes and colors available on every item.”

One supplier, whose identity I’ll withhold, says his company is aware of the problem. “It’s unfortunate that some of us fail to focus on the big picture. Too often our sample policies are focused on keeping the few who abuse the policy in line,” he says. “We’d be better served by ignoring the exceptions and concentrate on how to help distributors sell more orders by using fresh samples.”

6. We need longer product life cycles. Distributors say a longer brand name product life cycle would help sell even more brands into programs. “It seems that the rise in brand name suppliers is accompanied by a rise in supplier stupidity,” Jerry says. “If I’m going to put more brand names in my long-term programs, I need to know that the polo, sweater and blouse I pick today will still be available in forest green two years from now. Many of my corporate store programs are running for three to five years, and supply issues drive the selection process.”

7. Competition’s a cause for concern. And, it’s increasing from every direction. More embroiderers are originating more wearables sales than they did previously. Overseas suppliers are selling directly into our traditional channels. The only key to success is simply doing the job we’ve always done. “Successful wearables sellers focus on creating value by suggesting styles, colors and most importantly, tasteful logo placements,” Paul says.

A look ahead
When I asked my colleagues what they think the future holds for our industry, almost everyone cited the rise in Internet-based competition. The Internet brings both boon and blight to our selling. In the hands of a competent professional, the Internet’s a formidable marketing and selling tool. Distributors who are afraid or unwilling to learn its not-so-simple tricks will suffer real sales erosion. Our customers are enthusiastically embracing the Internet to keep a competitive edge in their own businesses.

The most common fear among distributors I talked to is an increase in direct sales to end-users. Hank says, “I believe wholesalers and many brands are going to start selling decorated wearables directly to end-users.” I’ve heard this from a lot of distributors.

“We’ll see more and more direct-to-consumer marketing of decorated wearables,” Isa says. “With the availability of inexpensive artwork services such as digitizing and the technical advances that allow direct to garment printing, we’ll also see more and more Internet-based services, especially from overseas.” 

Even among the concerned, there’s a sense of optimism about the future. While most agree our jobs will be more difficult, most think wearables will continue to drive ad specialty sales in the future. A couple niche markets Marvin identified as important also provide a way for distributors to stay relevant and increase sales. “Eco-friendly products and high-performance fabric technology are becoming more important to our clients,” he says. “Education and product knowledge will help us continue to thrive. Learning more about eco-friendly products and how they help the environment will give us some valuable sales paths for products that our clients want.”

Jim sums it up best: “Having quality fabrics and products available will help us continue to grow. While the $3 T-shirt sale will always be part of the business, adding value to a product will become most important. We’ll continue to see new decorating methods – our clients love to see new embellishment options such as digital color, rhinestones and tackle twill. Also, adding unique packing and labeling to the mix will continue to be a growth area in the future.”

Every distributor I talked to is very optimistic about the next decade in selling wearables. Regardless of their areas of concern, distributors are still enthusiastic about our business. And that’s reason enough for …

Happy Selling!