As we grow older, there are many signs of mental degeneration. We forget where we left our glasses (pro tip…start on top of your head), we repeat things, as Leonard Cohen sang in “Tower of Song”, “I ache in the places where I used to play”, and we tend to repeat things. We also tend to ramble until we get to a point.
Yeah, I know…with me, that last sentence isn’t a recent occurrence.
Nevertheless, I do find myself repeating (okay…let’s go with “revisiting” instead), as one of the Promotional Products industry’s biggest bugaboos has crossed my radar yet again. Yes, some miscreant supplier has *gasp*…sold directly to an end-buyer.
And whenever this happens, a call to arms is sounded. We must ban this company from ever working in our industry. The word “boycott” is tossed around…dangerously*. We’ve got to call PPAI and ASI and get them kicked out.
Here’s a news flash:
NOT
GONNA
HAPPEN
Having just introduced a new company to the North American market, I know that there are, in fact, guidelines to participating in our industry. This goes beyond just paying for the privilege…you have to provide certain backup and proof of a legitimate business. You do not, however, have to state how you do business.
Ain’t that America? You can run your business just how you please. You want to sell to penguins who can provide credit card information? Be our guest. You can sell to whomever the hell you want.
If you want to survive in the promotional products arena, you have to be prepared for fast (and occasionally misguided) backlash should you opt to cross that line and sell directly to an end-user. As news cycles have proven over the last couple of years, Winston Churchill was right when he said, “A lie gets halfway around the world before truth puts on its boots”. The same holds true for offending suppliers: if you seem to be selling direct, word will spread fast…even as you're crafting your legitimate reasons for justifying to whom you sold. Oh…and no one’s going to read that justification anyway.
Does any of this make it right…or even true? Of course not. File this under “It is what it is”. All the protests and chest thumping ain’t gonna do a damn bit of good. It all circles back around to what I’ve said before (don’t you people ever listen?): caveat emptor. Know with whom you’re working. Vet your vendors. Never assume.
But now, let’s take this one step further. Here we are, assuming that all vendors are evil, and all distributors are poor helpless victims. Nope. For every vendor that does sell directly to end-buyers, I’ll bet you there’s an equal number of distributors who have found their own source overseas for solar powered left handed fidget spinners, and they have opted to buy directly from that factory instead of going through the traditional channels of working with trusted suppliers.
Believe me when I write this: I see it nearly every day. It happens to my own company, and to those of friends as well. Do you see us carrying signs at shows, saying that suppliers need to boycott this distributor or that? No…primarily because we’re too busy trying to sell, but I think, more importantly, our concern is for our reputation.
Please don’t get me wrong (I know…it’s easy with me): I’m not saying everyone is guilty except for me. Trust me: I was raised on guilt. I don’t scare easily. My point is that there are many…mostly…reputable companies and people out there. Just make a little effort to find them.
And then you can put down your pitchforks and maybe try to do some business.
*According to the Federal Trade Commission’s website, “Any company may, on its own, refuse to do business with another firm, but an agreement among competitors not to do business with targeted individuals or businesses may be an illegal boycott, especially if the group of competitors working together has market power. For instance, a group boycott may be used to implement an illegal price-fixing agreement. In this scenario, the competitors agree not to do business with others except on agreed-upon terms, typically with the result of raising prices. An independent decision not to offer services at prevailing prices does not raise antitrust concerns, but an agreement among competitors not to offer services at prevailing prices as a means of achieving an agreed-upon (and typically higher) price does raise antitrust concerns.”
Having said (or copied and pasted) that, I’ll remind you that I’m no lawyer, nor do I play one on television. Just be wary before calling for such action.
Oh…and don’t mention my name.
Mike Schenker, MAS, is “all that” at Mike Schenker, Consulting, where he assists businesses entering the promotional products industry, mentors professionals, and offers association management. He is a promotional industry veteran and member of the Specialty Advertising Association of Greater New York (SAAGNY) Hall of Fame. He can be reached at mike@mikeschenker.com.