546,000
The estimated additional construction workers needed to meet labor demand in 2023.
(Associated Builders and Contractors)
For distributors and the markets they sell to, it’s a delicate dance. On one hand, distributors are expected to know a market inside and out to provide the absolute best solutions. And on the other, they need to actively diversify their client base – the wisdom of which has once again been proven by the events of the last few years. Distributors must broaden their knowledge and go deep when it matters most.
So let our annual Big Markets guide help. We take a look at five of the biggest markets for promo, and offer the top-down view as well as surefire strategies from distributors and winning product picks. If you’re looking to get into a new market or drive your success in a current one, we have you covered.
When home prices skyrocketed in 2020, construction companies jumped into residential building, while nonresidential building stalled out due to lack of demand. Now the tables have turned. Residential builders are proceeding more cautiously, while nonresidential builders are expecting a push in 2023, in part due to a pair of federal laws that will encourage spending on infrastructure and U.S. microprocessor manufacturing facilities.
No matter the area of construction, fragile supply chains, exorbitant material costs and extended lead times have caused notable difficulties. Still, the biggest issue continues to be labor: both finding skilled workers, and avoiding burnout for the workers who are on site. “Pre-pandemic labor was already a growing concern,” noted David DeSilva, head of construction for The Hartford in a fall 2022 report. “There were more workers leaving the field than entering it. The pandemic really accelerated this shift of workers retiring or changing careers.” Despite those issues, ResearchandMarkets.com is forecasting compound annual growth of 5.5% through 2026 – pointing to bankable projects and realistic possibilities to spend on marketing and engagement.
Product Pick
WITH THE POWER OF A BRAND NAME and high-end functionally like full insulation and water-repellent fabric, this Carhartt four can lunch cooler (CIO373) will find plenty of use on the job site – and on weekends as well.
Product Pick
AN ATTRACTIVELY DESIGNED NOTEBOOK, like this translucent poly front cover version with a pen port (CV-170X), is a great gift for prospects and clients, as well as an exclusive high-end giveaway when construction companies exhibit at local trade shows.
4 Distributor Tips
Jessica Joyce, owner of Fully Promoted Towson (asi/384705), works with a variety of home builders, electricians, roofers and HVAC companies. These are her top ideas for the promo construction market.
1 Make employees feel appreciated. Joyce has heard stories of workers being stolen for double pay or candidates shopping for the highest bidder. “There’s no loyalty in that, and you’re not going to be able to build your brand or your company based on that. Employees want to be recognized and appreciated,” she says. Company webstores are a great option, with the choice of a top item when the team reaches a goal.
2 Prioritize function, quality and looks. The products that construction workers want are the ones “they’ll use in their everyday life outside of work, and will be proud to show it because it has their company logo on it,” Joyce notes. High-quality cooler bags, top-of-the line drinkware and durable apparel are all winners.
3 Get involved in the community. While Joyce is big on referrals, proactive networking is crucial. “Show up to every chamber breakfast and ribbon cuttings,” she says. “The more they see your face, the more they’ll remember you, and then you build that relationship with them.”
4 Find the right point person. Once the connection is made, look to HR and managers as your primary buyers. “The hiring manager is a key person, because you can come to them with a solution like a new hire kit. Who doesn’t love starting a new position and feeling welcome.” In the instances when Joyce is walking into a business for the first time, she’s sure to have something to give the gatekeeper to win them over. “They’re never going to let you pass if they don’t feel comfortable with you.”