PFI Newsletter: March 2002

The Value Of Brand Name Merchandise...continued.

Among the major trends recognized in research conducted by Promo Magazine is a continued push toward awards with greater perceived value. Also noted was an increase in the use of "lifestyle" merchandise.

Lifestyle merchandise includes popular categories such as sporting equipment, watches, luggage, and electronics. According to Promo Magazine’s study, this is the second year in a row they have seen more of a move toward higher-quality incentives.

The magazine also noted that brand-name manufacturers, as well as clients using performance programs, have also noted the trend. "Everybody decided to offer more quality. Chintzy wasn’t going to cut it anymore." PFI’s professional merchandise buyers have also recognized and responded to these trends.

Each year they add to the already impressive list of name brand manufacturers featured in the eight unique stock "lifestyle" award catalogs produced by PFI. Here is an example of what’s new in our 2002 collections:

• Bulova ® Watches

• The popular new Emerilware™ and VilaWare®

• Wildwood® lamps and Baldwin ®Brass Products

• Fritz & Floyd Porcelain Wilton Armetale® Pewter

The PFI Award Collections

You frequently see or hear references to PFI’s collection of eight stock award vehicles. Here is a brief description of each award vehicle, its expiration date and the most frequent way it is used in incentive applications:

1.) Deluxe Catalog of Awards

The Deluxe Catalog features 1138 award selections on 112 full color pages. This is a point-based catalog. Approximately half of the awards are valued between $100 and $500. This is a great catalog for participants who have a high point earning potential or for ongoing programs where participants can accrue a large bank of points. Expiration date: 12/31/02 with redemption through 3/31/03.

2.) Deluxe-Lite Catalog Of Awards

The Deluxe Lite Catalog features 730 award selections on 60 colorful pages. This is a point-based catalog. Unlike the Deluxe catalog, nearly 50% of the items in the Deluxe-Lite Catalog are valued under $100 and only 10% are over $500. This book can and has been effectively used with a variety of incentive program applications. Expiration date: 12/31/02 with redemption through 3/31/03

3.) Plateau Award Collection

The Plateau Award Collection features 1093 award selections presented in 13 individual award value levels ranging from $17.50 to $1,000. The Plateau Collection can be presented with all 13 levels bound as a single catalog, used as individual award level catalogs or any combination of the 13 award value levels.

Each plateau level features between 37 to over 100 items. All items in a plateau level carry the same award value. Although the Plateau Collection is designed with step-up or plateau levels, it can also be presented as a point award catalog. Combined, this catalog can be effectively used with most any incentive application. When used as individual plateau brochures, this collection is perfect for gift award programs, employee recognition, and any application where benchmark or step-up goal achievement is the award criteria. Expiration date: 12/31/03 with redemption through 3/31/04

4.) Junior Mini-Module

The Junior Mini-Module is a six-panel brochure featuring a limited selection of the most popular awards from Plateau award levels 1-5 ($17.50 - $75.00). This brochure features 73 award selections and is best used in programs where participants have performance plateaus or goals to achieve and a limited earning potential. Expiration date: 12/31/03 with redemption through 3/31/04

5) Senior Mini Module

The Senior Mini-Module is a six-panel brochure featuring a limited selection of the most popular awards from Plateau award levels 6,8,9,10 and 11 ($100, $200, $300 $400 and $500). This brochure features 75 award selections and is best used in programs where participants have performance plateaus or goals to achieve and a substantial earning potential. Expiration date: 12/31/03 with redemption through 3/31/04

6.) Mini-Max Award Brochure

The Mini-Max Award Brochure is the Junior Mini-Module and Senior Mini-Module combined into a 12-page brochure. Although it is a plateau catalog, the number of popular brand-name awards in a wide range of values makes this a great award collection for all incentive applications. Many clients have used the Mini-Max with points. The Mini-Max brochure features 148 award selections. Expiration date: 12/31/03 with redemption through 3/31/04

7.) Canadian Award Catalog

The PFI Canadian Catalog features 355 awards on 40 pages. The award selections are divided into 10 award level ranges. This catalog can be used for programs that are operated exclusively in Canada or can be used in conjunction with any other catalog when there are program participants located in Canada. Also important to note is that the Canadian Catalog is bi-lingual, presenting award descriptions in both English and French.

8.) Reflections Service Award Collection

This is the newest addition to the PFI award Collection. The Reflections Award Sheets feature "lifestyle" award selections chosen for their gift and/or commemorative value. Although the award collection is packaged as a Service Awards product, it makes a perfect offering for employee gift, recognition or kudos programs. The Reflections Award Collection features 13 award value levels ($25 -$1,500) and a total of 451 gift selections including lifestyle awards, artwork and jewelry.

Catalog Presentation and Marketing Techniques

Incentive program participants will be more effectively motivated by the award selection when they truly become familiar with the catalog presented at the launch of their program. To accomplish this you need to encourage participants to actively browse, shop and search their program award catalog. The more a participant becomes familiar with their award selection, the greater the impact it will have on their ultimate performance. Here are successful techniques for raising awareness of the catalogs and the award opportunities at hand.

Awards Wish List

Encourage participants to formalize a personal award goal by sending them a personal award commitment card (or e-mail form) where they can list their top 10 award selections along with the points required to earn them. As an added incentive, you can conduct a sweepstakes drawing for all participants who make a personal award commitment and submit it for a special award or point bonus drawing.

Catalog Quiz

Familiarize participants with a catalog by presenting them with a quiz that asks simple questions about the contents of the catalog. A catalog quiz is sort of like a scavenger hunt that motivates participants to thumb through the pages. Answers to the questions should lead participants through all major merchandise categories as well as feature some of the most popular brand names. Here are ten sample questions that could be asked about the PFI 2002 Deluxe Catalog:

1. What is the largest TV screen size featured on Page 5?

2. On what page could you find the perfect way to improve your drive with an EZ-Go Gas Golf Cart?

3. The Sharp Shooter Electronic Dartboard on page 96 allows you to hit the mark with how many different games and options?

4. How many different Minolta® Camera choices are there on pages 16-17?

5. Which product on page 13 keeps you on time with the national atomic clock as well as up-to-date on the weather?

6. Nakamichi® Music System, Sony® Wega XBR TV, Bose®Wave Radio are all top-line products featured on which page?

7. Participants can get cooking with how many different Charbroil® and Weber® Grills pictured on pages 66-67?

8. What name did Mikasa® give to the exquisite vase featured on page 60? Coach® products figure prominently on which page of the catalog?

9. How many diamonds set the Men’s Wittenaur® diamond watch on page 5 apart from all other in the catalog?

Answers: 1.) 61" RCA 2.) P. 80 3.) 22 games, 115 options 4.) 17 5.) Oregon Scientific Cable-free Barometer 6.) Page 1. 7.) 14 8.) Curtain Call 9.) P. 49 10.)10 diamonds

This quiz, or one that you make up, could be sent as a teaser mailer (print or e-mail) with a bounce-back. Responses could be entered into a sweepstakes drawing for a special award or bonus points.

Starter Check

Start program participants off on their road to rewards with a starter check or point balance. Starter points could be presented as part of the announcement for the program or in response to a program goal commitment or enrollment bonus. Typical starter checks are valued at $5.00 or 1,000 points.

Fast Facts About Incentives

The preceding are helpful facts about the uses and applications of incentive programs and incentive rewards as reported by the Incentive Federation.

For even more information about Incentive Federation Research you can log on to www.incentivecentral.org. Here you will find a tab identified as "Resources". Click on the tab and then select one of several Incentive Federation Study links.