My Buddy and Me
Got an idea for a cool promotional product? Read how this entrepreneur turned her simple idea into a successful business.
URL:
http://www.entrepreneur.com/magazine/entrepreneursstartupsmagazine/2000/september/31232.html
Inspiration can strike at the oddest times. For 35-year-old
Cindy Jones of Oklahoma City, it happened on Halloween back in
1996, when her husband came home with a Mr. Potato Head on his car
antenna. Jones thought it was cute, so she took the idea one step
further: She cut up a plastic pumpkin, put it over her antenna,
played with the wiring, and voila, she had a lighted pumpkin
on her car. "People were coming up to me, wanting to know
where I bought it," Jones recalls.
Since then, Jones has had her product, dubbed Antenna
Buddies—currently available as an eight ball, a pair of dice,
a banana man and a happy face—featured for two years on
MTV's Road Rules, has signed a licensing agreement with
a major neon light manufacturer, and has received orders from the
J.C. Whitney catalog and auto electronic stores. What's
propelled her success? For starters, Jones worked through a
manufacturer to introduce her product since she lacked the funds to
introduce it herself. More important, though, she's got the
perfect promotional product—one that's proved capable of
landing accounts with major companies.
Jones wasn't in a position to spend a lot of money on a
product that wouldn't sell. So she created 15 Antenna Buddies
at home and put the product up for sale at David's Electronics,
a car stereo store in Oklahoma City. When the 15 units sold out in
less than two weeks, Jones got an investor and applied for a
patent. Problem was, Jones had no manufacturer. "I didn't
have any idea how I was going to make the product," she
admits. And even though major retailer RadioShack helped out by
providing her with three solid leads to manufacturers of novelty
automotive lighting products, she wanted to be sure to get the best
deal.
Gaining Publicity
Jones' next move proved ingenious. Rather than try to raise
money and manufacture her product all on her own, she decided to
try to land a major publicity story to verify Antenna Buddies'
potential in a lucrative market. That's where MTV came in and
helped out.
Oh, it was by no means a simple task to get her product on the
Road Rules show—think major hemming and hawing and a
lukewarm reception to the first samples she presented to them when
she flew out to the West Coast to show them her product. With
persistence, though, she discovered what they wanted: something
Southwestern. Enter a cow skull that finally made it onto the grill
of the Road Rules trailer, which, by the way, gets quite a
bit of airtime. "Rather than walk away," says Jones,
"I just kept asking what they wanted to see."
What was probably most important for Jones was that her target
customers, teens and young adults, also constitute the bulk of
MTV's audience, a fact that was certainly not lost on the
manufacturers she later approached for help with her product.
Jones pursued all three manufacturers suggested by
RadioShack-and all three made offers. The winner was It's Real
Stuff in New York City. Jones' main concern was that "the
manufacturer just wouldn't work hard enough for the product to
really succeed." So she insisted in her contract that she
would receive a commission on any promotional product sales. Now
Jones, who is closing in on a deal with Disney, gets royalties on
all product sales and a commission on the sales she completes. Best
of all, she doesn't have to worry about manufacturing, billing,
collecting, financing and all those other pesky tasks.
The potential for a major promotional product sale proved to be
the key in attracting manufacturers, Jones learned. The risk to the
manufacturer is greatly minimized, and all parties involved stand
to benefit. Promotional products need to be able to display a
company's name in a dramatically visual way. Remember to check
out the promotional product potential on any product—it may
be the jumpstart you need for your product.
The Antenna Buddies had a red-hot launch, but Cindy Jones will
soon face competitors. Protecting her patent could cost a lot. One
option she can pursue is patent insurance, which can help mitigate
the cost for patent infringement suits:
Advertising specialties is another term used for promotional
products, and it generally refers to products that businesses buy
to give away or to sell at a low price. For instance, Wal-Mart,
which uses the yellow happy face in its advertising campaigns,
might decide to buy the happy face Antenna Buddy to sell to its
customers. Or MTV might offer the cow skull to its viewers.
Promotional items are typically sold through advertising
specialty companies that will put a company's name on a product
for promotional purposes. Advertising specialty houses sell water
bottles, golf balls, Frisbees and virtually any other imprintable
item.
In Cindy Jones' case, the Antenna Buddies promotional
product possibilities were a point of leverage when approaching
manufacturers for a licensing agreement. Jones' product is an
outstanding promotional item because it goes where everyone can see
it: on the base of a car antenna. That makes it a great tool for
any company to advertise its product or service.
Don Debelak is a
new-business marketing consultant who has been introducing new
products for more than 20 years. He is the author of Bringing
Your Product to Market (John Wiley & Sons, $19.95,
800-225-5945).
Contact Source
Antenna Buddies Inc., (800) 964-0080, www.itsrealstuff.com.
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