Another Knock On Swag

Two years ago, Fast Company published an unflattering article on the promotional products industry, and apparently sensing that the industry might actually be coming back from a pandemic-induced slump, has delivered another stomach punch. Judging from the conversations I’ve been a part of recently, you’ve probably heard about “can we finally kill off cheap, disposable conference swag,” too.

While Fast Company understates the industry as being just over $60 billion annually, the article does make some valid points regarding the waste that is created when less scrupulous distributors provide items like single-use plastic, poorly manufactured writing instruments, or non-sustainably sourced soft goods. The article reduces the motivation to end-users simply being cost-averse, and the promo suppliers stooping to doing little more than filling a need. Nothing new to see here.

While I would say we still have a long way to go with the industry’s focus on product safety and ethical sourcing, both of the larger trade industry groups have made significant strides in making available resources to share with your clients. For example, while ASI’s 2020 Ad Impressions study was primarily just trying to justify PPE as an advertising opportunity in the pandemic, it still included information to support nearly 50 percent of consumers had a more favorable opinion of a promo item they perceived as environmentally friendly.

We’ve talked before about having the end-of-life cycle conversation with a client BEFORE you sell a product, and both PPAI and ASI have content to share regarding sustainability that starts with the suppliers at manufacturing. There’s more on what constitutes truly recyclable products, and those simply made with recyclable materials that can’t be upcycled, as well.

I’ve suggested many times that it’s a great strategy to lead client conversations with sustainability, rather than waiting to be challenged at the time when you’re defending your right to a fair margin. A focus on doing the right thing — for your clients, their end users, and the planet — as a foundational premise of a pitch is, I think, a smart move. Your client may well have read content negative towards BAD SWAG, and we’ve had conversations within the industry suggesting changing the terminology altogether- an idea well past when it should have already been done. The Fast Company article suggests that “while swag is cheap, it exacts an enormous toll on our planet. Manufacturing these goods requires extracting raw materials and spewing warming greenhouse gases into the atmosphere. And since most of these items cannot be recycled, they will ultimately be incinerated or clog up landfills. All so that a brand can fleetingly flash its logo at you.” Are you ready to respond to that, and especially to turn it into a positive reason for working with you? Perhaps your client knows that everything you bring to the table already has that taken into consideration? Well, bonus points scored!

Just in case you’ve been too busy selling to read Fast Company, the article quotes the CEO of Givsly, that has made some inroads by giving end-users a choice between traditional promotional products and making a charitable donation instead. “Giving out swag has become an industry norm,” Chad Hickey, the founder of Givsly told FC. “If a competing company is giving out swag, they feel the need to do the same, even if it’s not clear what the return on investment might be.” It’s the same reason I began to consider gift cards an alternative as an end-user when I was too concerned about the risks of certain categories with poor product safety records. I wasn’t sure the risk was worth the investment.

If your presentations already have a focus on transparency, sustainability, and the future of corporate merchandise, then you don’t have to worry about Merchery. While not that big in the States yet, Merchery did get a mention by FC, and told the Courier that was exactly what their focus was two years ago. “Disruption” is such an IN term now, but Merchery founders Simon Polet and Benoit Fortpied do have some chops in marketing that strategy — they invented Drink Big, a carbon-neutral reusable water bottle. “An unexpected new channel of revenue came with companies wanting to brand the bottles,” Polet told the Courier. “At first, there were small orders of 10 to 50 bottles, followed closely by deals of hundreds and thousands.” Sounds like the beginning stories of countless other companies, founders seeing a need and filling it.

Echoing recent criticism of the fast fashion industry, Merchery’s marketing materials are saying the right things, too. “With 79% of consumers now looking for utility and practicality in merchandise, Merchery brings deliberate awareness back to the products we use daily. Consumption now is ‘short-termist’: you get something, you like it for a week, then you throw it away. Crafting a story around the product increases its emotional value and the consumer is less likely to think of it as disposable.”

Your competitors are selling on price — you get called on the carpet for simply expecting a reasonable margin. Perhaps your clients are challenging you on both price AND quality. Are you prepared to use that to your advantage now? Do you see that leading with quality, safety and responsibility isn’t a bad idea at all?