Sep 1, 2004 12:00 PM, By Kim Mitchell

It's hard to believe that less than a decade ago promotional product distributors had virtually no access to brand-name golf apparel. Labels known only to decorators and promotional product distributors were the standard for any promotional or premium wearable, including corporate golf outings. Boy, have things changed.

Over the past seven years, a flood of green grass brands (brands sold in pro shops) — have marched onto the corporate market. From PING to Nike Golf, from Arnold Palmer to Greg Norman Collection, from Ashworth to Cutter & Buck, few major golf brands have left the premium stone unturned.

“The corporate arena is the last frontier for retail brands to see a more profitable end to a means,” says Kellie Claudio, corporate national sales manager for Carlsbad, CA-based golf titan Ashworth, which also offers the Callaway Golf apparel line. “A green grass-only line would love to be a player in this market,” she says. “Who wouldn't love to get the 500 and 1,000 piece corporate orders versus the 12 and 36 piece pro-shop orders?”

Indeed, brand companies' entry into the imprintable wearables market is a study in strategic synchronicity. The move first started in the late 1990s, when the retail golf apparel channel became overcrowded. In the midst of the retail slugfest, some brand players noted they were receiving calls directly from corporate buyers seeking to buy brand apparel for identity programs and incentives.

At the same time, they noticed the promotional products industry was enjoying double-digit growth, with industry label apparel leading the way thanks to a trend toward the corporate casual office and a boom in the popularity of golf.

With few brand names in the promotional apparel channel, one green grass label after another began going after the corporate market via promotional products distributors.

When it comes to golf gear, brand names deliver a lot of punch. Aggressive advertising builds brand recognition, creating familiarity, which in turn breeds customer loyalty.

In comparison, an ad specialty-only label typically touts value over name, catering to a price-sensitive marketplace rather than an image-conscious shopper.

Still, they don't want those painstakingly developed brands falling into just any hands. Some brand names in the promotional marketplace, lines such as Greg Norman, Cutter & Buck, Ashworth and Gear for Sports, allow limited-sales in the promotional arena, sometimes called a “franchise sales” technique. In these programs, only a select few promotional product distributors in a market can purchase goods, and often must meet minimum annual sales.

Lee Strom, senior marketing manager for Seattle-based SanMar Corp., a leading wholesale apparel supplier of such brands as Nautica and PING, says getting into the ad specialty market is a no-brainer for most brands.

“It's about business,” Strom says. “We're in a B-to-B industry and a lot of business is conducted on the course. We brought the PING line into the market four years ago and haven't looked back.”

Another example: For the past several years, Vantage was licensed to design the corporate/promotional Greg Norman Collection. This year Greg Norman, a division of Reebok International Ltd., re-launched in the marketplace from a new, in-house corporate sales division, ending its relationship with Vantage.

As a result, the collection now is drawn from the existing line available at green-grass golf shops and retail, says David Capano, who jumped from Vantage to take the reins as director of corporate sales at Greg Norman.

“Many of our purchasers/users in the green-grass market tend to be business executives,” Capano says. “They often want the same branded product they buy at green grass to be available in the corporate promotional market.” What's more, golf events and sponsorships are a big part of corporate, thereby creating end-user demand for true golf brands.

This isn't lost on other golf brand names, such as Nike, which is nudging into the ad specialty market as well.

“The corporate market has been responding particularly well to golf brands, and Nike Golf appeals to a broad audience because we have great brand recognition that stretches outside of golf,” says Scotland Thede, corporate sales director for Nike Golf. The brand is marketed for promotions exclusively through Broder Bros.

“Selling brands in this channel is about image and perceived value, not price. It's also about how the end-user values their own brand,” Thede says. “When end users select branded apparel they receive the brand promise for that brand. With Nike Golf it is quality, performance and authentic products designed for the world's best athletes.

“This channel has a positive impact on our retail or green grass business,” he adds. “It is a great way to get exposure for our brand and have consumers wear the product who may not be golfers.”

And that point is doubly important in the promotional/corporate marketplace where golfers and non-golfers alike embrace the golf shirt as a fashion statement, whether they are playing golf, working or out to dinner with friends.

Straddling ad specialty and retail, many green-grass suppliers are aiming to hit that elusive happy medium that balances familiarity and value. It has been a calculated risk.

One key advantage for golf manufacturers and suppliers is that products in their corporate catalogs already have been subjected to the rigors of the green grass market, in essence being market-tested and advertised in one fell swoop.

Keeping a brand alive and vibrant is a challenge. Ask golf apparel distributors, and they'll tell you: The built-in loyalty of green-grass brand fans is evergreen.

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