Imprint Canada January/February 2014

48
E42C>A 10B43 4<1A>834AH Pulse Mircosystem's Alex Papaioannou explains how to simply your digitizing process 6 6;>10; 42>=><82 >DC;>>: Imprint Canada highlights economic indicators for 2014 in developed and emerging markets 12 B>280; <4380 BCA0C4684B Author and social media influencer Neil Shaffer breaks down the essential components of social media strategies for organizations of all sizes 16 34B86= C> 501A82 4BB4=C80;B "Embroidery Dinosaur" Fran McAvity breaks down the essentials for quality embroidery 20 WHAT'S INSIDE =ZMVL[ KWV\QV]ML WV 9IOM ! <]JTQUI\QWV ,WV\QV]ML WV 9IOM Pricing for Sublimation Profi ts By Jimmy Lamb, Sawgrass Technologies Trends for 2014 What to look for this coming year By Adriano Aldini, Imprint Canada Pricing is one of the most challenging subjects in the world of sublimation, as there are no real standards to go by. Everyone does it differently and no two shops have the same approach. As such, there is a wide disparity across the industry in terms of what to charge. But that is okay, as long as you are actually making a profit. e sad truth is that too many business owners don’t have a scientific approach that takes into account operational and production costs such that appropriate margins can be calcu- lated and applied. For example, in the world of sublimation there is a lot of emphasis placed on ink costs; yet in reality, ink accounts for a very small percentage of overall production costs. It's understandable that when faced with spending several hundred dollars at a time on replacement inks, the costs may seem significant, but it needs to noted that inventory costs are quite different from production costs, as sublimation ink aver- ages $0.01 per square inch. us in terms of its affect on actual selling price, it’s really insignificant. e reality is that the cost to produce something is based on how many units you can produce in a given time period versus the operational costs assigned to that same period of time plus the cost of the blank substrate. e material cost (not the cost of the blank) is just a percent- age of your operational costs. Time is the key, as all of your overhead can be equated into a cost per hour figure which will then assign a portion of your operational costs to every product that is produced. For example, assume you are a full-time sublimation shop (this concepts can be applied to heat transfers and DTG printing) and you have calculated your hourly cost of operation to be $30. If it takes two minutes on average to print and press some- thing, you could theoretically produce 30 items per hour, which works out to $1 each. But that is not realistic. A Tristan Communications Ltd. Publication Volume 21, Issue 1 -DQXDU\)HEUXDU\ IMPRINT CANADA THE MARKETING AND INFORMATION SOURCE FOR IMPRINTABLE PRODUCTS THE POWER OF DECORATION UNLIMITED POSSIBILITIES 30 + Decoration techniques available Experience it all online at www.fersten.com C74 =4F4BC BCH;4B 0=3 CA4=3B C> 9D<?BC0AC H>DA !# 0??0A4; 20<?086=B B44 C74 =4F4BC 8==>E0C8>=B 8= BD??;84B 4@D8?<4=C 3$*( 3$*( **Registration opens at 9 am each day** Toronto Congress Centre, North Building # cW 0]]dP[ C^a^]c^ 8\_aX]c 2P]PSP BW^f C^a^]c^ 8\_aX]c 2P]PSP BW^f Friday January 10, 2014 10 am - 5 pm Saturday January 11, 2014 10 am - 4 pm Friday January 10, 2014 10 am - 5 pm Saturday January 11, 2014 10 am - 4 pm DON’T MISS OUT!!! THE PREMIER INDUSTRY EVENT OF THE YEAR IS BACK! Every new year, brings with it a fresh start, new hope and a general feeling of optimism. As we get set to foray into another new year, we look forward and try to pinpoint some of the trends that will make an impact in our industry over the next 12 months. BRIGHTEN UP! If you haven't noticed the mass proliferation of bright colours at the retail level, then you may very well need to open you eyes and look around. From apparel to accessories, vibrant shades and tones are being featured in many product categories. ese bright colours will continue their foray into the corporate and promotional marketplace throughout the coming year. +ZQOP\ [PILM[ IVL KWTW]Z JTWKSQVO _QTT KWV\QV]M \W JM ^MZa XWX]TIZ QV IXXIZMT KI\ITWO]M[ NWZ

description

Volume 21 Issue 1

Transcript of Imprint Canada January/February 2014

Pulse Mircosystem's Alex Papaioannou explains

how to simply your digitizing process 6

Imprint Canada highlights economic indicators

for 2014 in developed and emerging markets 12

Author and social media infl uencer Neil Shaff er

breaks down the essential components of social

media strategies for organizations of all sizes 16

"Embroidery Dinosaur" Fran McAvity breaks

down the essentials for quality embroidery 20

WHAT'S INSIDE

Pricing for Sublimation Profi tsBy Jimmy Lamb, Sawgrass Technologies

Trends for 2014 What to look for this coming yearBy Adriano Aldini, Imprint Canada

Pricing is one of the most challenging subjects in the world of

sublimation, as there are no real standards to go by. Everyone

does it diff erently and no two shops have the same approach.

As such, there is a wide disparity across the industry in terms

of what to charge. But that is okay, as long as you are actually

making a profi t.

Th e sad truth is that too many business owners don’t have

a scientifi c approach that takes into account operational and

production costs such that appropriate margins can be calcu-

lated and applied.

For example, in the world of sublimation there is a lot of

emphasis placed on ink costs; yet in reality, ink accounts for a

very small percentage of overall production costs.

It's understandable that when faced with spending several

hundred dollars at a time on replacement inks, the costs may

seem signifi cant, but it needs to noted that inventory costs are

quite diff erent from production costs, as sublimation ink aver-

ages $0.01 per square inch. Th us in terms of its aff ect on actual

selling price, it’s really insignifi cant.

Th e reality is that the cost to produce something is based on

how many units you can produce in a given time period versus

the operational costs assigned to that same period of time plus

the cost of the blank substrate.

Th e material cost (not the cost of the blank) is just a percent-

age of your operational costs. Time is the key, as all of your

overhead can be equated into a cost per hour fi gure which

will then assign a portion of your operational costs to every

product that is produced.

For example, assume you are a full-time sublimation shop

(this concepts can be applied to heat transfers and DTG printing)

and you have calculated your hourly cost of operation to be $30.

If it takes two minutes on average to print and press some-

thing, you could theoretically produce 30 items per hour, which

works out to $1 each. But that is not realistic.

A Tristan Communications Ltd. Publication Volume 21, Issue 1

IMPRINT CANADATHE MARKETING AND INFORMATION SOURCE FOR IMPRINTABLE PRODUCTS

THE POWER OF DECORATION

UNLIMITED POSSIBILITIES

30 + Decoration techniques available

Experience it all online at www.fersten.com

**Registration opens at 9 am each day**

Toronto Congress Centre, North Building

Friday January 10, 201410 am - 5 pm

Saturday January 11, 201410 am - 4 pm

Friday January 10, 201410 am - 5 pm

Saturday January 11, 201410 am - 4 pm

DON’T MISS OUT!!! THE PREMIER INDUSTRY EVENT

OF THE YEAR IS BACK!

Every new year, brings with it a fresh start, new hope and a general feeling of optimism.

As we get set to foray into another new year, we

look forward and try to pinpoint some of the

trends that will make an impact in our industry

over the next 12 months.

BRIGHTEN UP!If you haven't noticed the mass proliferation

of bright colours at the retail level, then you

may very well need to open you eyes and look

around. From apparel to accessories, vibrant

shades and tones are being featured in many

product categories.

Th ese bright colours will continue their foray

into the corporate and promotional marketplace

throughout the coming year.

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& TECHNOLOGY

Jobs For LifeLast month, the Canada Post Corporation (CPC) announced it will stop delivering regular mail door-to-door to homes in urban centres countrywide, as part of sweeping cost-cutting measures aimed at improving its bottom line. 

Th e increase in digital communication and huge reduc-tion in letter mail volume had put the CPC on track to lose $1 billion annually by the end of this decade (based on the fi ndings of a think tank commissioned by CPC early 2013).

Approximately one-third of Canadian households cur-rently receive door mail delivery of their mail. Transition to community mail boxes for theses households will begin to be implemented in the second half of 2014. 

Coinciding with this change was the CPC's announce-ment that, eff ective March 31, 2014, consumers will have to pay $0.85 for stamps purchased in booklets or

coils, and $1 each when purchased individually (up from the current price of a $0.63 cents a stamp for a standard letter).

CPC also announced it is planning to cut between 6,000 and 8,000 jobs over the next few years, but noted that most of this workforce reduction should come natur-ally through attrition as nearly 15,000 employees are expected to retire or leave the company within the next fi ve years. 

Of these three impending changes, I fi nd the state of their workforce announcement as the one which is most troubling. As I understand it, the CPC is stating that its labour cost structure of its long-tenured employees has led to higher than normal salaries aft er years of pay increases that were indexed to infl ation (whereas private sector competitors have been able to deal and negotiate with employees with free market adaptability).

A government job should not mean a job for life, nor should it be one where remuneration is completely out of line with similar jobs preformed in the free market.

So now, we, the tax payers, are being told that services are being scaled back, prices are going up and staffi ng will be diminished over time. Can you imagine what would happen if any publicly or privately-owned com-pany came out with similar announcements?

Ugh is right!I can't help but wonder how long ago the decision makers at the CPC realized that they had a recipe for disaster on their hands. And did they e-mail or mail each

other with their obser-vations? What other kind of cost cutting and effi ciency increas-ing discussions were held? Did anyone think about using bikes in the summer instead of gas-powered vehicles? How are foreign postal services managing their businesses. Go public and fl oat shares?

To accompany these announcements, the CPC should have had their detailed business plan on hand and let it be known to the public. As a Crown Corporation, the CPC should have gone public with this plan immediately; instead it decided to deal with  a 'do as I say attitude', leaving thousands of tax paying Canadians with a bad taste in their mouth, and eventually no mail at the door.

JANUARY/FEBRUARY 2014Follow us: twitter.com/imprint_canada

1 2014 TRENDS CONTINUED PG 8

1 PRICING SUBLIMATION CONTINUED PG 22

4 INDUSTRY NEWS

6 VECTOR BASED EMBROIDERY

10 SCREEN PRINTING Q+A12 2014 GLOBAL ECONOMIC OUTLOOK

16 SOCIAL MEDIA STRATEGIES

20 DESIGN TO FABRIC ESSENTIALS

46 BY THE NUMBERS

28 WEARABLES SHOWCASE

40 AD SPECIALTY SHOWCASE

42 SUPPLIES & EQUIPMENT SHOWCASE

Imprint Canada is published six times per year by Tristan

Communications Ltd. Th e contents of this publication may

not be reproduced either in part or in whole without the

consent of the copyright owner. Th e views expressed in this

publication are not necessarily those of the publisher. Request

for missing issues are not accepted aft er three months from the

date of publication.

TRISTAN COMMUNICATIONS LTD.Publications mail agreement no. 40025740Return undeliverable mail to:

190 Marycroft Avenue, Unit 16,

Woodbridge, Ontario, L4L 5Y2

Email: [email protected]

ISSN: 1480-1884 GST Registration #: RT892913294

IMPRINT CANADA

PUBLISHER Tony Muccilli : [email protected]

PRODUCTION MANAGEMENTAdriano Aldini : [email protected]

CONTRIBUTING WRITERSJimmy Lamb, Fran McAvity, Neil Shaff er, Mike Hishon, Alex Papaioannou

MARKETING COORDINATORSteve Silva: [email protected]

OFFICE ADMINISTRATORMaria Natale: [email protected]

GENERAL [email protected], (905)856-2600

ADVERTISING SALESTony Muccilli (Toronto)

Tel: (905) 856-2600 Fax: (905) 856-2667

January/February 2014 - Volume 21, Number 1

IMPRINT CANADA

TM

GEO-KNIGHT

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IMPRINT CANADA

Industry News

Tajima Industries and Rubenstein RB Digital Inc. announces Twiga

Industries Inc. as an Authorized Tajima Sales and Service Representative

Fersten Worldwide announces new Director of Sales

WS & Co. announces moving date for factory expansion

Rubenstein RB Digital Inc., a 150 year old Canadian

company that has been selling and servicing Tajima

Embroidery Machines across Canada for almost 40 years has

announced that Mississauga, Ontario's Twiga Industries

Inc. has been appointed as an Authorized Tajima Sales

and Service sub-distributor for Ontario and the Maritime

provinces.

Alnoor Remtullah, president of Twiga Industries, is well

known in the industry with more than 20 years of sales and

service experience. He brings a wealth of knowledge to the

task having been trained by Tajima.

"Th ose customers who already know Alnoor are confi dent

that he can service all their embroidery machine needs,"

says Kevin Price, president of RB Digital.

"I have known and worked with Alnoor for over 20 years

and am very excited to have him as part of our Canadian

solutions team. His addition to our traditional sales channel

will ensure that Tajima will have the most complete cover-

age in Canada of any brand," added Price.

Fersten Worldwide (FW) is excited to announce the

promotion of Jonathan Epstein to Director of Sales. Jonathan

will be responsible for all internal and external sales staff

for FW/ FILA across North America.

"His vast experience and knowledge within the company

as well as his years of building outside relationships and

success stories with our valued distributors made this a

natural fi t for our growing team. We are excited to have

Jonathan lead our strong and dynamic sales force in the

marketplace," said Mitchell Fersten, President of FW/FILA.

Jonathan Epstein has been with Fersten Worldwide since

2005 where he started as a Senior Account Executive build-

ing sales through solutions and relationships with dedicated

customers. In 2009, he was promoted to Customer Service

Manager and soon aft er took on the role of Sales Manager.

"I am very excited to take on this new challenge and will

work hard with our sales and service teams to continue our

goal of providing the Ultimate Customer Experience. We

have such a young, creative, knowledgeable and enthusiastic

team and believe that we are now built to bring our ideas

and vision to the forefront of the industry. FW is a team

and culture that is a pleasure to work with and an honor

to be part of," said Epstein.

WS & Co., parent company of Redwood Classics

Apparel, has announced that as of December 20th, 2013,

the factory will relocate to its new headquarters to a space

which nearly double the size of the prior space.

"Having endured in an oft en-volatile North American

industry, we are thrilled and humbled by this move," said

Chak Cheng, Founder & CEO, WS & Co. "Our thanks

and appreciation go out to our craft speople as well as the

designers, wholesalers and retail brands who have remained

faithful to the North American textile trade."

As a result of the move, offi ce and factory operations will

cease operation on December 20th, 2013 and will resume

immediately in the New Year on January 2nd, 2014.

As such, in-house dye and special-wash services will be

disrupted. Please contact your respective Merchandiser to

make arrangements for upcoming sampling or bulk pro-

duction needs. WS & Co. asks for your patience should any

minor disruptions arise during the transition.

WS & Co.’s new address: 138 Nugget Ave., Scarborough,

ON, M1S 3A7. All other forms of communication (phone,

fax, email) will remain status quo.

WS & Co. would like to thank all stakeholders for their

patience throughout this expansion process. "Being one of

the few full-serviced garment manufacturers still producing

on North American soil, we are faced with fi erce competition

in the way of lower prices on off -shore produced products,"

added Chak. "We are so grateful to all those who continue

to contribute to building our country’s economy by buying

local and creating jobs."

Ash City's "The Tom & Ang Show"

to be broadcast live at the 2014

Toronto Imprint Canada ShowImprint Canada is very pleased to announce that

Ash City's popular webinar series, Th e Tom & Ang Show,

will present a special live broadcast from the 2014 Toronto

Imprint Canada Show on Friday January 10th from 1-2 p.m.

Th is broadcast will focus on the best selling approaches

for distributors; what’s trending in technology; e-mail

marketing, social media, and much more.

Hosted by Tom Alavi, Inside Sales Supervisor for Ash City

and Angelo Morra, Trade Marketing Manager for Ash City,

the series off ers a new way to approach and tackle today's

promotional products hot button topics. See them live at

the Toronto Imprint Canada Show as they shed light on

topics such as branding, decoration, corporate responsibil-

ity, icons & technology, matchables.

Th e Tom & Ang show has had some high profi le guests

from Ash City to help elaborate on the topics and to give a

closer look from an experienced angel. Along with the many

other segments that they will host; the Hot Seat discussion

is quickly becoming a fan favorite! Other segments include;

#hashitout, the scenarios, over/under, break that beat, tag

you’re it, the discussion and much more!

Check back to ImprintCanada.com oft en for details on

an exciting contest to be announced shortly. Register today

to attend the 2014 Toronto Imprint Canada Show to watch

the live broadcast and see Ash City and over 100 other

exhibitors displaying the newest promotional wearables,

ad specialty products, embroidery and printing technolo-

gies and equipment, and so much more.

To register for the webinar, please go to

https://www1.gotomeeting.com/register/577570017.

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IMPRINT CANADA

News

Digitizing can be a frustrating process for all embroid-

erers regardless of expertise. Adjusting and recreating

each and every stitch, corner and outline with traditional

embroidery can seem overwhelming and becomes quite

cumbersome.

Some professional digitizers continue to employ this

tried and true method, but many have adopted the

technological advantages and innovations of Vector

Based Embroidery. Vector Based Embroidery (VBE) is a

technology that simplifi es the process of turning artwork

into embroidery by reducing the num-

ber of nodes a user must manage and

easing the transition from artwork to

embroidery.

VBE eliminates the need to draw,

trace or digitize design segments indi-

vidually. Th e entire conversion process

from artwork to embroidery consists

of selecting the desired segments and

simply applying a stitch type.

In addition to saving you time, VBE also provides many

advantages in terms of design and stitch quality.

For example, it has the ability to support Beizer Curves,

which allow for the creation of outlines with the least number

of control points possible. Th is results in quicker and more

precise embroidery creation. Simply put, you are editing the

shape instead of completely recreating it from scratch.

A great addition to VBE soft ware is the ability to have

a fusion feature included in your soft ware. Fusion fea-

tures work by taking vector artwork from popular design

programs and turning them into top quality embroidery.

Fusion features can import vector fi les while preserv-

ing the original vector points and colours, aiding in the

VBE process of turning the artwork into embroidery with

speed, precision and ease.

Th e editing process with fusion features updates fi les

dynamically, meaning any changes made to the artwork

will be automatically refl ected in the embroidery fi le.

Changing stitch types is easy as well, simply convert the

satin to a complex fi ll or vice versa, or

choose from any of the other available

stitch types. A fusion feature will also

match the colours in your design to

the actual threads that connect to your

embroidery machine.

As the apparel decoration busi-

ness grows, digital print companies

are becoming more involved in the

embroidery sector and vice versa. Th is means that graph-

ic designers have begun to enter the digitizing space.

Th ese designers are familiar with tools like Combine,

Off set and Cut. With VBE, these features are included

in your soft ware.

In addition to these tools, your VBE soft ware should also

include an Auto BreakUp feature. Th is type of feature will

increase the productivity of your embroidery business. In a

single automated step, an

Auto BreakUp feature slices

complex satin segments into

simpler segments which are

then combined and branched

appropriately before auto-

matically applying stitch dir-

ection lines. Th is timesaving

tool takes all the guesswork

and grunt work out of creating a beautiful, embroidery design.

Traditionally, digital print companies and their pro-

fessional designers are accustomed to the use of graphic

programs such as CorelDRAW® and Adobe® Illustrator®.

Th e transition from these programs to most embroidery

soft ware is a rough one. Learning to work with new fi le

types and mastering the embroidery technique can be a

headache.

Th e solution to this issue is to install an embroidery

plug-in program to either your CorelDRAW® or Adobe®

Illustrator® program. Once the plug-in is installed, design-

ers do not need to worry about learning new tools. Th e

only learning curve is to understand the basic embroidery

stitch types. Th e plug-in will off er all other features neces-

sary for control over design quality with Corel® or Adobe®.

Organizations that have implemented Vector Based

Embroidery or a plug in to either Corel® or Adobe® are

sure to experience an increase in productivity. Th e end

result is high quality embroidery that will dazzle your cus-

tomers. By employing VBE soft ware, you will eliminate the

hours spent recreating artwork, and instead, spend that

time growing your business.

When choosing your embroidery soft ware, Vector Based

Embroidery and a top rate plug-in to either CorelDRAW®

or Adobe® Illustrator® are essential for best results in terms

of digitizing quality and productivity.

This article was provided courtesy of Alex Papaioannou, Business Development Manager, Pulse

Microsystems. Alex is an expert on embroidery software and will be delivering a presentation

at the Imprint show in Toronto.

Please attend the presentation on Friday, January 10 from 12:30-2:00 pm to learn about

Vector Based Embroidery and how to become faster and more eff ective in your design creation.

Pulse Microsystems is a Canadian company that provides software solutions to organizations

around the world. If you are ready to bring Vector Based Embroidery to your business, or to

learn more, please contact your local Pulse Microsystems distributor or visit www.pulsemicro.

com/embroidery.

Simplify Your Digitizing Process with Vector Based EmbroideryBy Alex Papaioannou, Pulse Microsystems

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IMPRINT CANADA

News

"What I am seeing this spring is a lot of bright, fresh colours - like your oranges and

yellows - which will in turn translate to our industry very well," says Elson Yeung, Product

Line Manager at Ash City Worldwide.

"Colour block styles are also very popular," adds Yeung, "this industry is so used to see-

ing the combination of dark greys, but look for bright pops of vibrant colours which give

a refreshing look to get us ready for the spring."

"One of the things we've focused on this spring is incorporating more colours because

we are seeing that especially in the retail space," says Matt Gosse, Brand Manager at

Whiteridge Inc. "Customers are looking for more vibrant shades in apparel."

Gosse explains that above and beyond the traditional blacks, greys and navy shades

which dominate corporate apparel campaigns, many of the upcoming collections you will

see off ered by leading suppliers in the industry will refl ect and incorporate these brighter

shades, thereby tapping into the current retail trends.

In fact, Pantone - the world-renowned authority on colour and provider of color sys-

tems - recently announced that the 2014 colour of the

year is Radiant Orchid.

"Radiant Orchid is a captivating purple that draws

you in with its beguiling charm. People associate purple

with creativity and originality — and those are very val-

ued today. We see words like that being used to describe

technologies and products that are seen as innovative

and with an approach you haven’t tried before," says

Leatrice Eiseman, Executive Director of the Pantone

Color Institute®.

But not only is apparel becoming more vibrant, even hard

goods and advertising specialty products are brightening up.

"Th ere are so many neons that you see coming into

our market, which are everywhere in retail right

now" explains Alex Morin, Debco's VP, Sales

and Marketing.

While apparel suppliers will

more predominately refl ect

these brighter shades through-

out their upcoming collections,

Morin notes that increasingly

more technology products are now

being off ered in neon oranges and pinks, and

you'll see those colour palettes continue to develop and evolve into 2014 and beyond.

"People want brighter and brighter colours these days, and not just on T-shirts and

apparel but also on ceramics and glassware," explains Windmill Canada National Sales

Manager, Eric Vachon. "Over the past little while, we've invested heavily in new equip-

ment that will allow us to maximize this new demand from the market."

FABRICSTh e innovative use and application of fabrics is another emerging trend developing in

the promotional marketplace for 2014. Yeung points out that the diff erent ways to create

fabric texture - be it through printing, embossing or yarn-dyes - creates an added dimen-

sion to wearable pieces that will continue to evolve in popularity among leading suppliers.

"Mélange, which is a yarn-dyed fabric featuring a textured color pattern that

is visually unique as it is on trend is something were are broadening our existing

selection to include," explains Kathy Cheng, President, Redwood Classics Apparel.

"We're also seeing retailers and designers leaning toward French Terry fabrics."

DECORATING TECHNIQUESOne of the biggest trends that will continue throughout the coming year is the

innovative placement and application of branded logos and designs. "Th e biggest

shift I have witnessed is in the application of decoration," explains Gosse. "People

are looking for more unique logo placement and digital decoration methods lend

well to that."

While the days of the left chest decoration are far from over, a growing num-

ber of customers are becoming increasingly comfortable with idea of breaking the

traditional mold when it comes to branding their corporate apparel.

"We're seeing companies put more thought and care into branding and the dif-

ferent locations of decorated logo placement are becoming more popular to show

off the creativity of a brand," notes Yeung.

Th is creativity is showing up in the form of vertical logos along sleeves or on

upper back shoulders, similar to what some of the more popular outdoor and retail

sport brands are currently showing.

A decorating technique which is sure to be popular in 2014 is laser etching,

which delivers a tone-on-tone eff ect on a garment. Th is technique makes quite

the impression, both on bright colours as well as darks and greys, as the decorated

image essentially takes on the colour of the garment to which it is being applied.

While this method is still relatively new, having debuted only several years ago,

it has experienced quite the surge in popularity over only the past 12 months, as

buyers have gradually become more comfortable and familiar with it.

TECHNOLOGY ACCESSORIESOutside of apparel, an ongoing trend is the continued dependence on technol-

ogy in our day-to-day lives. With this, comes the wave of accessories for each cat-

egory of item, and this grows exponentially with each year.

"Technology is where we are seeing the biggest growth, specifi cally 'screen mar-

keting" explains Morin, which incorporates any device with a screen, be it smart

phones, laptops, GPS units, tablets, thermostats, et cetera.

"Trend wise, anything that revolves around screen marketing has a better shot at

being popular than other accessories," he added.

While cross compatibility for tech products is always an issue due to operating

system idiosyncrasies, one of the emerging trends will be the race to develop uni-

versally functional products that work across all platforms.

"We are developing some products that are universal fi ts for BlackBerry, iPhone

and Android platforms, which we call 'no tech'," says Morin. No tech basically

means that the accessories and devices are not powered and do not require batteries.

While 2014 is sure to feature the trends listed above, it will also undoubtedly be

the spawn of new trends.

So, be sure to keep your head up and an eye out for what's becoming popular.

And most importantly, have a happy, healthy and prosperous year!

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Answer: This is a process called scumming. What is happening is the emulsion around your stencil is seeping in after you have washed it. Wiping down your screen with an old tee and putt ing it in front of a fan will prevent this from happening.

A: Either you need to change a bulb in the exposing unit, or you need to make sure that the vacuum on the unit is working properly. My guess is it’s the bulbs, especially if the problem is in the same location all the time.

A: You can wait awhile if your screen is in the dark. For instance: I have burned out a screen before I left work for the day, and left it in the exposing unit until the morning. I brought it out the next day and it worked fi ne. Once exposed to light, it is best to wash it out right away.

A: What I have done is used Fiverr.com. Fiverr allows you to outsource such things as vector redraws. This is a tool that will only cost you - yup, you guessed it - $5! This allows you to get top notch artwork without ever having to produce it yourself. There is no possible way you can redraw any design for less than what you have to pay with this site.

What you decide to charge the end user is up to your company, but

as far as I’m concerned, $35 - $50 dollars is not out of the question.

A: Yes, you can use a fl ash unit, but I would suggest hitt ing them with a heat press and a Tefl on sheet to make sure your design stays

on the garment.

There is a big diff erence; water-based inks are specialty inks where the ink sinks into the fi bers of shirt, thus becoming part of the fabric.

Water-based inks are comprised of a mixture of water, co-solvents and dye (or pigment). For the print to be cured, the water needs to evaporate completely.

Plastisol is the standard, economical ink made of polyvinyl chloride (PVC) particles and plasticizer which is an additive that keeps the PVC particles from clumping. Once dry, most plastisol prints sit on top of the material of the shirt.

On light-colored or white shirts, water based inks will show up vibrantly. However, on a darker garment water-based inks will infl uenced by the colour of the shirt. Plastisol on the other hand is consistent in hue no matt er the garment colour, provided a under base is used, however the feel of the print is typically heavier.

More Environmentally-friendlier; Softer hand.

Colour of the shirt greatly impacts the print; expensive; time consuming; clogs screens easily when water evoporates.

Inexpensive; great opacity, easy to use; won't clog screens

Thicker hand; can bunch around seamsIn the end, the ink you choose will depend on what your needs are,

and the demands of your customers.

Answers to these questions were provided in part, courtesy of Mike Hishon of Hishons Custom. With over 18 years experience in textile screen printing, Mike is a graphic artist who has amassed such clients as the Stratford Festival (North America's biggest Shakespearean Theatre) for which he designs and prints for their world renowned Theatre Stores. 

For more tips and tricks, please visit www.thescreenprintersguide.com

Stahls.ca • 800.521.5255 • [email protected]

*Excluding TWILL

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Recovery Remains Tepid Amid Global Transitionary Period

What lies ahead

The U.S. & Canada: A modest recovery

is unfolding

Figure 1.1

Figure 1.3

Figure 1.4

Figure 1.2

Key Indicators - U.S.as of Novemeber 22, 2013

GDP (%)

Unemployment Rate (%)

Industrial Production

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Black

White

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Red

Royal

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InteriorExterior

Canadian household indebtedness

Europe - A fl edgling recovery

Asia: A lower growth trajectory

1990 1992 1994 1996 1998 2000 2002 2004 2006 2008 2010 2012

Household credit market debt$trillions

Source: Statistics Canada, RBC Economics Research

1.8

1.6

1.4

1.2

1.0

0.8

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0.2

0.0

Chart 1

1990 1992 1994 1996 1998 2000 2002 2004 2006 2008 2010 2012 2014

160

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90

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70

Household debt-to-income ratioCredit market debt as a % of personal disposable income

Source: Statistics Canada, Federal Reserve Board, RBC Economics Research

US Canada

Chart 2

Key Indicators - Europeas of Novemeber 22, 2013

GDP (%)

Unemployment Rate (%)

Industrial Production

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News

Many company leaders understand that their business requires a social media presence, but to the detriment of many organizations, strategy is lagging behind.

A recent survey by Social Media Examiner showed that creating a social media strategy is still a major concern of 83 per cent of marketers.

Author and social media strategy consultant Neal Schaff er stresses that companies engaging in social media need a strategy because, among other things it: standardizes messaging, determines how resources are used, defi nes which tactics to pursue, serves as a road map, and will carry on its purpose through personnel changes.

When no strategy is present, says Schaff er, here’s what typically happens: individuals from diff erent departments tweet at will, using the company’s offi -cial handle. Some of these 140-character messages will be loaded down with cum-bersome language from the company’s Web copy guidelines; others are peppered with abbreviations like “u,” “r,” and “2.” On Facebook, users who “like” the company’s page fi nd that their news-feeds are bombarded with promotions, surveys, and so called “news.” Meanwhile, clients are posting positive and negative feedback. Sometimes these comments receive responses; sometimes they don’t. (And that’s not even taking into account LinkedIn, Pinterest, the company’s blog, and others!)

“In using such a scattershot approach, organizations are missing major opportunities to engage with poten-tial and current customers, and they may be alienating social media users in the process,” says Schaff er. “Without a social media strategy, how do you know what you’re trying to achieve, what you should be doing, how well you’re doing, what you should be measuring, and what the ROI of your social media program is?”

In his book, Maximize Your Social: A One-Stop Guide to Building a Social Media Strategy for Marketing and Business Success, Schaff er explains how companies can create a strategic social media framework, lever-age opportunities that each social media chan-nel off ers, and implement a data-driven approach to monitor the success or failure of their social media programs.

In the following, Schaff er shares essential compon-ents of a comprehensive social media strategy.

Branding: Be consistent across all channelsBranding is about consistency; most businesses already

have brand guidelines (including naming, color scheme, and imagery), and these should be applied to social media as well. Th e challenge, though, is that most brand-ing guidelines don’t include any guidance for the most important part of your brand in social media conversa-

tions: your voice.“Although your brand guidelines might make mention

of tone and vocabulary for use in Web copy, social media will challenge those guidelines when you need to have a conversation with an average person,” Schaff er points out. “In most instances it’s okay to be less formal on social media channels—just make sure that your updates, statuses, and comments ‘speak’ with a unifi ed voice.”

Content: Engage and share in meaningful

conversationsSocial media is really about

the convergence of com-munication and information.

Content provides the medium to help you engage in conversation—and cre-ating content that is truly resourceful and shareable can have many long-term benefi ts to your company’s social media presence.

“Keep in mind that content isn’t just about blog posts, photos, and videos,” reminds

Schaff er. If you’re just talking about yourself in social media, no one wants to listen (much like regular conver-sation). It’s only when you begin to curate content that is of interest to your followers and promote it, together with your own content, that your social media accounts begin to breathe new life.

“If you work in a business-to-business (B2B) company, this will oft en come down to content that you might already be sharing with your current and prospective clients on sales calls, in newsletters, or during informative webinars,” Schaff er shares. “If you work for a company that sells directly to consumers, it might mean sharing more photos and videos of who is using your product, or stories about your brand that have never been pub-licly discussed.”

Channels: Join the right networks for your company Th ere are currently more than 50 social networks

with more than 10 million members. You can’t—and shouldn’t—have a presence on every single one of them.

Deciding which social networks to engage in,

and creating internal best practices and tactical plans for each of these networks, will form a siz-able part of your social media strategy.

While most compan-ies concentrate on the more established social networks, depending on your industry, the new emerging social net-

works of Google+, Pinterest, and Instagram might be equally important.

Frequency: Post strategically, not constantly No two social networks are alike, and with limited

resources, you’ll need to decide how much time you are going to spend on each platform, as well as what you’ll be doing there.

Is Your Company Posting without a Plan? Essential Components of a Successful Social Media Strategy By Neal Schaff er

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IMPRINT CANADAIMPRINT CANADA

“Believe it or not, frequent posting doesn’t necessarily

make your social media more eff ective,” shares Schaff er.

Research from tracksocial.com, a social media analytics

blog for smart marketing, shows that when a brand posts

on Facebook twice a day, those posts receive only 57 per

cent and 78 per cent of the likes and comments per post,

respectively, that a single post receives.

Listening: Interact meaningfully with your

audience It’s offi cial: Th e customer service desk has gone digital.

From complaints to questions to praise, consumers (67

per cent of them, in fact) are using social media to con-

vey their thoughts, opinions, and queries. But according

to Schaff er, many companies are blowing this golden

opportunity to interact.

“Your company needs to have a listening and

responding strategy in place,” Schaff er confi rms.

Remember that listening means more than mere-

ly being on the lookout

for complaints to defuse.

Every engagement with

a social media user is

a golden opportunity,

because it can give you

real-time feedback on

what your customers are

thinking. You can also

utilize big social data to

help understand poten-

tial future trends for your

products and services.

And lastly, remember that

a meaningful interaction

with a customer—a prob-

lem resolved or a question

answered, for instance—can win you the type of loyalty

that money can’t buy.

Campaign: Regularly introduce new ways to

engage customers Social media campaigns should not be confused with

traditional campaigns that are used in marketing to pro-

mote new products or discounts.

Again, in the social media world, you’re not speak-

ing to or at customers; you’re speaking with them. Th at

being the case, social media campaigns should leverage

the social aspect of social media, combined with its viral

functionality, to create events that trigger engagement

from followers in a new and exciting way.

“Th ink of it less as a promotional marketing campaign

and more of an experiment to better understand—and

more eff ectively engage with—your social media follow-

ers,” Schaff er recommends.

Infl uencers: Take a cue from other users Th ere’s no need to navigate the world of social media

on your own. Use the examples and successes of other

users - called infl uencers - to help shape your own strat-

egy and make it more eff ective.

Infl uencers can consist of individual users, companies,

or media outlets that 1) are a part of, or serve your target

demographic audience; 2) yield online infl uence through

reporting, blogging, and being active on platforms such

as Twitter, Google+, Facebook, and LinkedIn.

“At minimum, infl uencers provide a source for content

curation, and by retweeting their content, you increase

the chances that they will notice you and reciprocate

the favor, thus broadening your reach in social media,”

notes Shaff er.

Beyond merely utilizing infl uencers for content cura-

tion and to broaden social media reach, they should also

be considered as potential collaborators in future social

media campaigns.

Brand Ambassadors: Recruit fans to spread the word Brand ambassadors are current loyal customers and

fans who help spread the word about your brand through

their own social networks. Th ey can also act as an advis-

ory board during a crisis.

“Whether they are current employees, alumni of your

company, or loyal fans to your brand, your social media

strategy should always be looking for ways to engage—

and reward—brand loyalty and amplifi cation in social

media,” he explains.

Crisis Management: Be prepared to handle

problems quickly as they arise Given the speed at which information travels and the

fact that social media is now a primary news source for

consumers and the media, it is inevitable that some sort

of crisis will occur.

“Make sure that your

crisis communications

plan includes messa-

ging for each of the social

media channels you’ll be

investing in,” Schaff er

instructs. Beyond that,

he adds, make sure that

your employees are

profi cient at (or bet-

ter yet, expert users of)

the social media tools

your organization util-

izes so that they won’t

inadvertently make a

crisis worse. Secondly,

you should try to proactively build a community of

goodwill with followers of your brand.

Over time, your word will become more trusted, and

more brand advocates will be born; both of which will

help lessen the potential negative eff ects of any crisis.

Th ese recommendations listed above look primarily

at the elements for creating a robust social media strat-

egy from a marketing perspective, however some of

these components can be easily expanded to help other

internal departments achieve their respective social

media objectives.

“Regardless of your company’s social media goals,

make sure that you address these concepts in a written

document so that everyone in your company—now and

in the future—understands what they are and how they

are meant to work together," stresses Shaff er.

Th e clearer you are in developing your strategy,

the more productive your organization’s social media

presence will be.

News

About the Author: Neal Schaff er is the author of Maximize Your Social: A One-

Stop Guide to Building a Social Media Strategy for Marketing and Business

Success. Named a Forbes Top 50 Social Media Power Infl uencer two years in

a row, Neal is the creator of Advertising Age’s Top 100 Global Marketing Blog,

Windmill Networking (recently rebranded as Maximize Social Business), and a

global speaker on social media who also teaches as part of Rutgers University’s

Mini-MBA™ in Social Media Marketing Program.

As a leading social media strategist, Neal has created social media strategies,

coached implementation, and helped train dozens of companies, from startups

and small businesses to Fortune 500 enterprises and even a Grammy Award-

winning musician. Neal has previously written two award-winning books on

LinkedIn. His work has been recognized by the media, appearing in the Wall

Street Journal, Bloomberg Businessweek, Forbes, Yahoo!, and the American

Express OPEN Forum.

For more information, please visit www.maximizeyoursocial.com.

socialmediamarketing

informationtime

peopleusers

success

money

consistencymessage

links

likes

conversion conversion

globalfollowers

nowcustomers

onlineemployees

ideas

stakeholders

sales

departmentschannels

ambassadorsfeedbackinfluencersreal-time contentcommunication

networking

service

web

analyticslikespinterest

organizationchannels

mobilefacebookyoutubelasting

contentcommunicationvine

twitterweb

instagram

business

audiocompany

monitoringgoogle+

vimeo

engage

engagement brandnetwork

potential

www.technosport.com

100% CANADIAN OWNED COMPANY

more than ever!

In stock

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IMPRINT CANADA

News

Design to fabric, why do we need to understand this concept?

No one just runs an embroidery machine; no one

just digitizes designs; no one just sells or takes orders

for embroidery.

It is crucial that every person involved in the embroid-

ery process clearly understands the design components.

Th is means understanding more about the construction

of the design and how each stitch or group of stitches

aff ects the fabrics to which they are being applied.

It follows that the person who takes the order under-

stands the limitations of design to fabric, and can com-

municate this clearly to the buyer as well as the artist/

digitizer/embroidery programmer and machine operator.

Th e artist/digitizer/embroidery programmer provides tech-

nical skill combined with creative talent, producing effi cient

running designs helping ensure the “wow” for the buyer.

Th e machine operator has the fi nal bow – producing

fi nished projects using embroidery threads and aids

with skill and profi ciency.

Remember that no one makes money until the order

is off the embroidery machine.

THE DESIGN: What is a design? Designs may be looked at from

three perspectives:

1. Keyboard lettering - which you create yourself. (YES, keyboard lettering is creating a “design”)2. Stock designs (Th is is defi nitely the “buyer beware” section!)3. “Original” designs - these can be ones you digitize yourself, or ones that you order from a digitizer.

Key Questions Regarding Design:• Do you know where the design came from?• For which fabric the design was digitized?• Did you watch the new design sew out?

Th e stitch length, density, underlay, stitch direction,

and compensation are the fi ve components of a design.

Density is described as the number of stitches per inch

or per millimeter and can be called the “cover stitch";

underlay is best thought of as the “foundation” stitches;

the stitch angle or "direction" of the stitches provides fabric

control.; Compensation says that embroidery is really the

art of “distortion”; and lastly, stitch lengths, which are the

single most abused factor in the wheel.

THE FABRIC:Fabrics have construction components such as yarn

size, texture, weave, stretch factor, and “other”, and each

fabric requires design attention.

Try to categorize your fabrics. Th e chart below will

help you visualize how a thread of only 0.4mm size will

behave on diff erent structures and which embroidery

aids you will need to overcome fabric challenges.

Note: Can you fi nd the mistake in this chart?

- Did you test the design on the fabric you will use?

MARRYING DESIGN TO FABRIC: EMBROIDERY AIDS Backings, toppings and adhesives are your embroidery

aids. Th ey are designed to assist in stabilizing fabric for

the embroidery process. Th ey will not overcome design

to fabric gross errors such as vertical fi lls on a stretch

fabric, or a design with a density that is far too high for

the fabric to hold (i.e. too many stitches).

In order to provide proper stitch registration, the cor-

rect combination of embroidery aids should be applied.

BACKINGS: should be of high quality and consistency.

If cheap tear aways are tearing before the embroidery

process is fi nished, then they are not providing proper

stabilization for the process. Inappropriate backings will

also look ‘thick and thin’ and provide uneven stability.

TOPPINGS: Stop stitches from getting “lost” in tex-

tured or stretch fabrics. Water-soluble toppings such as

Solvy® is the most common. Toppings can also be a light

tear away backing or a ‘heat away’ material.

ADHESIVES: Temporary and “absorbable” adhesives

are perfect for holding fabrics in their own natural lie and

also for hoopless embroidery. You may get the same eff ect

from a “sticky” sided backing such as Filmoplast®.

FABRICS MUST ALWAYS BE STABILIZED IN THEIR OWN

NATURAL LIECorrect hooping is critical! Th is means that all

fabrics – even seemingly stable ones – MUST NOT be

stretched in the hooping process. Fabrics must be “drum”

tight not “stretch” tight.

• Stabilize stretch fabrics BEFORE hooping. Th is will preserve the natural lie even during the hooping process.• NEVER pull fabrics tight aft er hooping. Th is stretch-ing action will produce waved embroidery on any fabric as well as holes in stretch fabrics – particu-larly in the closed parts of letters such as “B” or “R”.• ALWAYS cover the entire area of the hoop with at least one layer of backing.

Here is a test for a design on a stretch fabric: First, stabilize – meaning STOP the mobility – of the

stretch fabric to one piece of good 2.5oz cutaway back-

ing. Don’t skip this step; stabilizing can be achieved

with temporary adhesive spray or by using a pressure

sensitive sticky backing, or an iron-on backing. Th en,

once the fabric is totally stable, hoop it with a piece of

water-soluble topping and run your design.

If you experience any problems - such as holes in the fi ll

stitches, or fi lls leaking out under your satin stitches, or

“waves” of fabric being pushed out of place, or any other

fl aw that leaves your embroidery or your fabric out of

shape – then you do not have a good design to fabric fi t.

It is time to head back to the “design” table and deter-

mine what is doing the damage.

Remember that if you “technical” and “aid” variables

are controlled and constant, then you only need to focus

on why this design doesn’t work with this fabric.

Always think Design to Fabric and test, test, test before

you run! Embroidery is not rocket science. When your

embroidery is not running well, head back to the design

variables and see if they are appropriate for the fabric.

Design to Fabric EssentialsBy Fran McAvity

This article was provided courtesy of Imprint Canada's resident "Embroidery

Dinosaur." Fran McAvity is the President of Gunold Canada. She has lectured

for Stitches magazine, the Imprinted Sportswear Shows and Imprint Canada

since 1995. She is the developer of the “Embroidery Wheel” seminar and has

written a series of embroidery articles for Imprint Canada. She is also the

Recipient of Imprint Canada's Robert L. Scott Award.

Some rules of thumb:

IMPRINT CANADA

You will have downtime associated with setup and post-

production tasks; thus, if it took you 20 minutes on average

to process something from beginning to end, the total cost

is going to be $10, not $1.

If you want to lower the production cost, the most eff ective

method is to reduce the production time.

In contrast, many shops try to focus on bringing down

their costs by reducing consumables cost such as ink and

paper, though in reality it may have little to no impact on

your margins.

Here is why: Suppose you were using a sublimation printer

that with an average media cost of $0.50 for an 8" x 10" area –

potentially a full front design on a T-shirt. If you were able

to cut your ink costs by 50 per cent, it would save $0.25 in

production costs (hardly a make or break scenario).

On the other hand, if you could improve your effi ciency

in terms of setup and post production time by 50 per cent

(based on the same scenario above) you would save $5.00 in

production costs. Th e end result would be more pieces per

hour and a lower cost per piece.

It should also be noted that for sublimation on smaller

pieces - such as coasters, name badges, dog tags, et cetera - you

can print and press multiple pieces at the same time, which

further increases your effi ciency. And because of the smaller

image size, your ink costs may well drop below $0.15 per piece.

But understanding what things cost is one thing, fi guring

out how to calculate your operational costs and then create

a price structure that makes sense is another thing entirely.

Developing A Profi table Pricing StrategyTh e fi rst element of a profi table price strategy is the most

important: cost; if you don’t know what it costs to operate

your business, then it’s highly unlikely that you can create a

pricing system that works.

Th ere are many costs to running a business, and these expenses

must be factored into your pricing system in order to recoup

them and earn a profi t on top of that. Th us, you must start the

process of pricing with a focused cost analysis strategy.

Step 1 - Determine Operational CostsYour fi rst step is to identify and add up all of the projected

costs for operating your business for one year. Keep in mind

that some costs are fi xed, while others may be changing as

your business grows. Th us, you should put everything in

a spreadsheet so that you can constantly update it as your

business changes.

Also, costs such as merchandise for resale will be recovered

in the sales process, so don’t include it here, unless you are

entering into a payment plan for purchasing such merchandise.

In addition, be sure to include your desired paycheck! Th e

fi nal result will be the total estimated dollars that you need to

pay all of your yearly bills plus your paycheck. But always keep

in mind that there will be unexpected costs and fl uctuations in

some of your costs, so don’t assume this number is carved in

stone. But it is a reasonable starting point for your cost analysis.

Step 2 - Break Down Costs Into Usable IncrementsTaking the information gathered in the initial assessment

phase, you should now have an approximate fi gure for the

annual cost of operation. Suppose that number was $60,000.

What does that tell you? Pretty much nothing at all, so you need

to break this number down into something that

is easier to deal with.

Decide how many weeks you plan to operate

your business per year. Most people go with 48

initially, as this equals two weeks of vacation

and ten business holidays. Divide $60,000 by

48 and you come up with $1250, which is your

weekly cost of operation.

Said another way, you need to bring in at least

this amount of money in net dollars each week,

48 weeks per year, in order to reach your yearly

number. Divide this number by 5 to see what

the daily fi gure is ($250) and by 40 to determine

the hourly fi gure ($31.25).

You can now see quite realistically what it

costs to run your business on a daily basis. Th is

information will make it easier to track the performance as

well, because you essentially have a series of production goals

that must be met in order to generate the required amount of

annual revenue needed to pay the bills and yourself.

Step 3 - Compare Production Against CostsOnce you have usable operating cost fi gures, then it’s time to

compare them against your “logical” production capabilities in

order to see what it really costs to generate sublimated images.

Unlike many other decoration processes, sublimation is

pretty constant in terms of production time. Regardless of the

size of an image, the pressing time remains the same – about

one minute for most applications. Printing time can vary with

the size of the image and with the printer being used, but in

the case of some systems like the Ricoh, printing time rarely

exceeds 40 seconds for anything.

For simplicity, assume that it take 30 seconds to print, 30

seconds to prepare substrate for press and 60 seconds to press

per item. Th at works out to 2 minutes. Th us, within reason

you have a maximum output POTENTIAL of 30 production

cycles per hour. (Depending on the size of the substrate, one

production cycle might yield one piece of several.)

If your hourly cost of operation is $31.25 (calculated earlier)

and your potential maximum production is 30 pieces per hour,

then a quick bit of math reveals your cost per item to produce

is $1.04. Th at includes ink, paper, labour, insurance, utilities,

et cetera. In fact, the only thing it doesn’t include is the cost

of the substrate and of course a sizable markup.

If you play with the fi gures, you will also see that if you

increase your production output per hour against the same

overhead, you will reduce the cost per item. And if you go

the other way, you will of course see the numbers increase. It’s

important to understand this concept, as diff erent variables in

diff erent jobs will aff ect the cost of the item being produced.

For example, if you are sublimating coasters, you can usu-

ally print out 5 images on one sheet of 8 ½” x 11” paper and

press 5 coasters at once as a result. Th us you are producing

5 items per cycle instead of one.

In theory, that would yield: 30 cycles/hour X 5 items/cycle or 150 pieces per hour - now the production cost is $0.21 per

coaster (not including substrate).

But of course these are just numbers on paper. If you think

it through, there will be more prep time for setting up fi ve

coasters to press than for setting up one, because you need

to tape each one into place on the transfer then fl ip it upside

down and place on the press without shift ing - more like a

minute (or more) than 30 seconds for prep time. But if you

take the time to play with numbers and variables, you can

start to generate some pretty decent base fi gures for pricing.

So far your numbers assume you are running your equip-

ment non-stop, all day long, but that will not be the case; every

job requires setup and fi nishing, which means pre and post

production downtime. In fact, these downtimes can be higher

than the actual production time when dealing with small orders.

For example, let’s say you have to produce 12 plaques, each

taking about 2 minutes to print and press for a total production

time of 24 minutes. However, you need to do some logo work

which will take another 15 minutes. And at the end of the

production cycle you will need to wrap and box the plaques,

something that will take about 15 minutes.

Now your total job time is 54 minutes, which can be rounded

off to 60 minutes. So the reality is that you

produced, beginning to end, 12 items in 1

hour. At an hourly cost of $31.25, each

plaque cost $2.60 to produce when you

add in the pre and post production times.

Once you have worked out your pro-

duction costs, you will need to plug-in

diff erent quantities as exlpained earlier

in order to get a handle on being

able to off er discounts for larger

volume production. Th e concept

is to pass along the savings, not

arbitrarily off er reduced prices.

Th e next step beyond that

is to work in the substrate

costs, which will typically

be the most expensive part

of any given job.

For example, a blank poly-performance T-shirt has an aver-

age cost of $5.00 whereas the production cost of sublimation

is in the range of $2.00 (total costs). And of course you have

to account for shipping charges as well on your blanks which

can be done by calculating out average shipping and then

assigning a fi xed cost to every substrate.

So that takes care of the true cost of sublimation produc-

tion which tells you what it costs to produce and hand to the

customer. But what about markups? Obviously you need to

make a profi t with everything you produce.

Setting Prices – Don’t Leave Money On The TableIt’s important to understand your costs, but don’t leave

money on the table. Products decorated with full color, HD

(high defi nition) photographic and personalized images tend

to have a higher perceived value.

For example, full-color sublimated photo awards have a

higher perceived value than engraved ones, though they cost

less to produce. Many award suppliers recognize this and

charge accordingly, thereby enjoying higher margins.

However, others base their pricing on an outdated formula

that is essentially TIME + MATERIALS X 2, thus missing out

on a signifi cant amount of revenue by not realizing the true

value of the product in the eyes of the customer.

Similarly, some mistakenly try to sell a performance T-shirt

with a full color image and a personalized name at the same

price as a one-color screen print or iron-on letters. Certainly

price is the driving factor on many orders, however it’s critical

you don’t fall into the trap of selling a premium product at a

commodity price. More than a few have gone out of business

with this race-to-the-bottom mentality.

To better understand this concept let’s look at a specifi c example

that involves a personalized iPhone cover that has been sublim-

ated with a photo and basic text. Th e blank substrate is $3.25 and

the image is $0.08 (see chart). Add in about $2 for labour and

overhead and your total cost of production is $5.33. With retail

prices averaging $30 for this type of product your gross profi t

will be $24.67. Not bad for two minutes of production time.

However, if you chose to use the “other” method of TIME + MATERIALS X 2, your retail price would have been $10.66 with

a gross profi t of $5.33. By contrast, the perceived value method

generated almost 500% more revenue for the same eff ort.

Th e end result here is that you must be sure you are cover-

ing the true job costs as a starting point in any pricing

scheme you use. Beyond that you must apply market

research and sales creativity to establish the high-

est possible margins based on perceived value, not

some fi xed multiplier.

It takes time, energy and a lot of thought to build

a reasonable price list but you have to start some-

where and then continuously fi ne tune the numbers

in order to avoid leaving any money on the table.

News

This article was written by Sawgrass Technologies' Jimmy Lamb, an Award-

Winning Author and International Speaker who has over 25 years of business and

technology experience. Milestones include owning and operating a successful pro-

duction facility, developing a retail personalization franchise, and production con-

sulting for several Fortune 500 Companies. Consistently ranked as one of the top

Decoration Industry Infl uencers, Mr. Lamb is a regular contributor to Impressions,

Printwear, Awards & Engraving, and ASI / Stitches magazines.

IMPRINT CANADA

PROFILEIn just over fi ve short years, Raised Edge – the Aurora,

Ontario-based specialty decorator – has built quite a reputa-

tion among the industry’s notable promotional houses and

retail manufacturers for delivering on

what others promise: service.

Th e company was founded in 2008

by Th omas Milne who, prior to buying

out the company of former NHLer and

three-time Stanley Cup champion Jeff

Beukeboom, was decorating offi cial

game worn jerseys at the Air Canada

Centre for the Toronto Maple Leafs.

“At that time, I wanted to venture out

on my own and Jeff owned a debossing

company but was looking to get back

into coaching hockey, so I purchased

the equipment as a bulk asset sale, Jeff

trained me on all the equipment and

I started Raised Edge,” recalls Milne.

While Beukeboom remained a minority partner, Marc

Di Schiavi, who cut his teeth in the decorating industry

at Stahls’ Canada, joined on as principle partner in 2011

bringing with him the latest in heat transfer knowledge and

experience. “We are now seen as a industry specialist on the

heat transfer side of the decorating business,” says Di Schiavi.

Only fi ve plus years into the business, Raised Edge has grown

exponentially year over year and its client list is as diverse as

it is impressive, reading like a who’s who of industry players.

In addition to operating as Trimark Sportswear’s third-party

decorator from 2008 through to 2012 for all heat transfers,

embossing, debossing, laser etching and tackle twill decora-

tion projects, the company recently entered into a vendor’s

agreement with Stormtech Performance Apparel in which

they will handle all of the brand’s embossing, debossing,

laser, heat printing and other decorations.

Th e company also decorates for NIKE GOLF, handling all

of the merchandise for the brand’s Club Link Green Grass

Program as well as some of the apparel for the Canadian

Open Golf Championships.

“On behalf of Nike, we also decorate for Hockey Canada,

the World Juniors, and right now we are working with Nike

for some of the Sochi Olympic products,” says Di Schiavi.

In addition to direct manufacturers, Raised Edge does

the majority of its work as a third-party decorator for large

promotional distributors in our industry.

“We do not work with any end-users, and

our customers respect that,” explains Di

Schiavi. “We are here to partner with

them and assist them, not to bite the

hand that feeds.”

Raised Edge also handles all of the

on-ice cresting for the Toronto Marlies

and the Hamilton Bulldogs, in addition

to the on-fi eld cresting for the Toronto

Rock and – up until last year – for the

Toronto FC as well.

“We have a mobile cresting trailer

which was used at every home game,”

says Milne. Fans would buy TFC team

apparel and Raised Edge would decorate

it on-site at BMO Field.

In addition to partnering with

numerous professional sports teams,

Raised Edge also works with a large

number of minor hockey associa-

tions, mainly due to its specialization

in tackle twill - one of their many

strengths that sets them apart from

their competition.

“When you

work with pro

teams, you are

basically on call

24 hours a day,”

explains Milne,

stressing that they

have never missed

a deadline. “We

take on as much

work as we can,

and our work ends up being quality over quantity.”

Quality and service are the top priorities at Raised Edge,

and they are very particular regarding what work comes in

and what leaves the facility. Th is attention to detail is refl ected

in its client base and in the company’s position in the ever

price-competitive decorating marketplace.

“We are not the cheapest out there, (nor do we want to

be), notes Di Schiavi. “You basically get what you pay for,

and if you are paying $100 for a jacket, there is no sense in

nickel and diming the decoration.”

As specialists in embossing, debossing, laser, and heat

transfers, Raised Edge are experts in uniquely decorating

the more complex fabrics which are currently available.

Another area of specialization for the company is laser etch-

ing, which is a decorating method

that has recently caught on in terms

of popularity in the corporate mar-

ket. Having been one of the fi rst to

off er this technique upon it’s release

several years ago, Raised Edge is

well positioned to accommodate

the increasing surge in demand for

this process which

they foresee in the

coming years.

“As fabric tech-

nology changes,

and company’s

logos continue to

evolve and become

more complex –

with more colours

and gradations -

many of the new

decorating technologies we specialize in allow us to achieve

that complexity, “ notes Di Schiavi, who briefl y hints at

something his company is currently developing. “We are

going to be releasing a new type of transfer that, once it is

tested, will revolutionize the industry.”

Constantly evolving and improving one’s craft comes

with its own inherent challenges. For Raised Edge, refi ning

its services to the point of specialization as a third party

decorator has become ever more complex as the company

strives to always stay ahead of the curve when it comes to

handling new fabric compositions which are utilized in the

manufacturing process.

To achieve this competitive advantage, the company

undergoes extensive R&D, comprised of elaborate and

rigorous testing

- something Di

Schiavi refers

to as “our fun

weekends and

late nights.”

Th is unyield-

ing dedication

to service and

specialization is

a critical factor

for the success

Raised Edge has

enjoyed over

such a relatively short time frame. As decorating technology

continues to evolve and fabrics become ever more complex,

Raised Edge has already positioned itself ahead of the next

curve for years to come.

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Wholesale sales up third month in a rowWholesale sales were up for the third month in a row in September, rising 0.2

per cent to $49.8 billion.

Sales increased in four of the

seven subsectors, account-

ing for 45 per cent of total

wholesale sales in Canada.

In terms of overall volume,

wholesale sales were up 0.2

per cent (see Figure 1).

Increases were realized in

the miscellaneous subsector

(+1.3 per cent), the motor

vehicle and parts subsector

(0.6 per cent), and the farm

product subsector (4.8 per

cent). Th e largest decline in dollar terms was in the food, beverage and tobacco sub-

sector (-0.4 per cent). Th is drop was the result of a 0.6 per cent decrease in the food

industry, which accounts for 90 per cent of the subsector’s sales.

In Ontario, sales rose

0.7 per cent which repre-

sents a sixth increase in

seven months (see Figure

2). Wholesale sales were up

in Saskatchewan (4.6 per

cent) as a result of higher

sales in the farm product as

well as the building material

and supplies subsectors.

In September, three of

the four Atlantic prov-

inces reported gains.

Newfoundland and

Labrador was the lone Atlantic province to post lower sales (-3.1 per cent), its

third consecutive decrease.

Following seven gains in eight months,

sales in British Columbia fell 2.5 per

cent in September, mainly attributable

to lower sales in the building material

and supplies subsector; sales in Quebec

decreased 0.6 per cent in September.

Sales and inventories of Textiles, Clothing & Footwear are up Wholesale merchants’ sales of tex-

tile, clothing and footwear rose 9.4

per cent from the same period last

year to just over $1 billion, while inventories also rose in kind, up 10.6 per cent

from last year to $2.04 billion (see Figure 3).

Retail sales increase for third consecutive monthRetailers reported sales increases of 1.0 per cent to $40.7 billion in September,

a third consecutive

monthly increase. Th is

advance was largely

attributable to higher

sales at motor vehicle

and parts dealers.

Gains were observed

in 6 of the 11 sub-

sectors, accounting for

55 per cent of retail

trade, however fol-

lowing gains in July

and August, sales at

clothing and clothing

accessories stores were

down 0.6 per cent in

September.

While this decrease in September was largely attributable to lower sales at

clothing stores (-1.0 per cent), 2013 retail sales of clothing and clothing acces-

sories are up 5.2 per cent and 4.8 per cent, respectively from the same period last

year (see Figure 4).

Sales of Clothing and Clothing Accessories at large retailers drop slightlyIn Statistics Canada’s most recently released survey of Large Canada Retailers,

data reported shows that sales

of men’s clothing and acces-

sories totalled $317.4 million

in September 2013, which was

down slightly from $325.4

million in August 2013 (see

Figure 5).

Sales of women’s

clothing and acces-

sories rose to $691.5

million from $671.7

million in August 2013,

however compared to

the same period last

year, both men’s and

women’s clothing at

large Canadian retail-

ers were down -3.5 per

cent and -1.3 per cent,

respectively.SOURCE: STATISTICS CANADA

500

900

1300

1700

2100

2500

$millons

WHOLESALE MERCHANTS’ SALES

Source: Statistics Canada

Sept 2012 Sept 2013

WHOLESALE MERCHANTS’ INVENTORY

Sept 2012 Sept 2013

Wholesale merchants’ sales & inventory(Textile Clothing & Footwear)

+10.6%

+9.4%

$2,047$1,851

$920 $1,007

Figure 3

52Billions ($)

Canadian Wholesale Sales Increase

Figure1

50

48

46

44

42

40

38

36

34

32S J

20092008 2010 2011 2012 2013J J J J S

Source: Statistics Canada

-4 -3 -2 -1 0 1 2 3 4 5 6 7 8

Provincial Wholesale Sales (% change)

CANADA

NL

PEI

NS

NB

QC

ON

MB

AB

SK

BC

Figure 2

Source: Statistics Canada

0

1

2

3

4

$billons

RETAIL CLOTHING &

CLOTHNING ACCESSORY STORES

Source: Statistics Canada

Sept 2012 Sept 2013

RETAIL CLOTHING STORES

Sept 2012 Sept 2013

Retail sales(Clothing & Clothing Accessory stores)

+5.2%+4.8% $2,047

$2.17billion

$2.27billion

$1.67billion

$1.76billion

Figure 4

100

200

300

400

500

600

700

800

Monthly Sales of Clothing & Accessories

(survey of large Canadian retailers )

($) millions

$691.5

million$671.7

million

$700.6

million

$329

million$325.4

million$317.4

million

Source: Stats Canada

Sept 2012 August 2013

Women’s Clothing and AccessoriesMen’s Clothing and Accessories

Sept 2013

Figure 5

WHOLESALE & RETAIL SALES; SURVEY OF LARGE CANADIAN RETAILERS

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