Canadian promo distributors face more days sales outstanding when compared to their American counterparts.

Just-released data from ASI Research focusing on the Canadian market found that the average days sales outstanding for distributors in Canada stands at 38 days, compared to 29 in the U.S. Meanwhile, more Canadian distributors offer company stores, warehousing/fulfillment and kitting, while American distributors are more likely to offer printing services. In addition, Canadian distributors feel less threatened by Amazon.com potentially encroaching on their business.

Steve Levschuk, president and CEO of Talbot Promo (asi/341500) and Counselor’s 2021 Lifetime Achievement honoree, says his company’s average days sales outstanding is close to 40 at the moment. He says the difference between Canada and the U.S. could be attributed to a slower pandemic rebound in Canada. “It’s one of the lingering effects of the shutdowns in Canada,” he says.

When it comes to Amazon, he’s not worried. “It just isn’t on the radar in Canada as far as being a competitor,” he says. “We’ve never run into them and never had a client talk about them. As a test, we tried to order some product from them. It was very difficult and cumbersome, and we gave up.”

Warren Gencher, president of Brymark Promotions (asi/149287), agrees that Amazon is no match for distributors. “Amazon can’t do a proper client needs analysis,” he says, “and it can’t come up with ideas and custom products for marketing campaigns, trade shows and product launches.”

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