The distributor executive was emphatic.

Go, he implored his sales team, to your clients now and start proactively planning for the holiday gifting season. Stress to them, he said, the wisdom of ordering their year-end branded merchandise in as far advance as possible. That, he explained, will give those customers the best chance of securing the products they desire when they want them.

It may seem an odd exhortation given that summer hasn’t even officially started, but in fact the executive’s directive should be followed by every distributor in the North American promotional products industry – starting immediately.

Why? Because the supply chain issues that have triggered rising prices, inventory shortfalls, longer production times and related fiascos within promo appear here to stay for 2021 – and potentially into 2022.

The supply chain challenges, which are affecting virtually every industry and which in general are beyond the control of promo suppliers, have potential to worsen amid the Q4 sales crush, possibly exacerbating stock scarcity and delays in order fulfillment. 

Indeed, the autumn run up to year’s end is traditionally promo’s busiest time as clients order items to gift to employees and their own customers, which means demand on already stressed industry stock levels could intensify, making it harder to find first-choice products and alternatives when those are depleted.

If you want answers about why there are inventory shortfalls, rising product prices, service issues etc. in the #promoproducts industry, plus info on where things are headed, give this a look. https://t.co/xkpA21H12a @asicentral @Melissa_ASI @Tim_Andrews_ASI @ASI_MBell

— Chris Ruvo (@ChrisR_ASI) June 4, 2021

Check out this article for in-depth details on the supply chain issues that are affecting promo.

Because many suppliers, like companies across industries, are struggling to establish adequate staffing levels given the economy’s current jobs glut, delays in getting orders decorated and shipped could possibly lengthen. Add to that the fact that domestic transport carriers are stretched and could be further so given all the late-year shopping activity…and in promo the reality is that last-minute orders just might not make it on time as they have in the past during the fourth quarter.

Of course, no one has a crystal ball. Things may turn out far better. More shipping containers may suddenly become available, more space on cargo ships/planes may magically open up, and port congestion and domestic transport problems that hold up deliveries may alleviate, all of which would make it more feasible for suppliers to import necessary inventory and restock quickly to satisfaction. Job market dynamics could switch too: Employers could again be in the driver’s seat with a wealth of eager workers to choose from, helping them to hire in full and fulfill orders faster.

But those sunny-day scenarios don’t seem likely to happen – at least not all of them at once. Do you really want to rely on things “just working out”?

Better to hope for the best and plan for the worst. And in this case, that means proactively planning now with clients for Q4 and getting orders in early wherever possible. Listen, I live in the real world too. I know some clients just aren’t going to want to hear it and are going to put off ordering until the last minute. There’ll also be unforeseen opportunities and complications that arise in the fourth quarter and you’ll just have to react and adapt. Still, every order you can get in early – especially those bigger ones with key clients – is one less you have to handle when the Q4 frenzy is in full swing.

Do yourselves and your clients a favor: Act now.