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  Turn On, Tune In — Buy It!
 
This article is based on presentations developed by Trendlines’ managing partners Todd Dollinger and Steve Rhodes for the Israel Export Institute’s “Retailing Meets TV” seminar.

Shop at Home
jewelryYou’re sitting in the comfort of your living room in your favorite overstuffed chair, feet up on the coffee table, munchies and favorite beverage by your side. You watch intently as the TV host displays just about the prettiest little bangle you’ve ever seen and, in a voice that is soft but compelling, tells you exactly why you must have it. “And for just $29.99 plus shipping and handling, it can be yours!” “Why just think,” the host enticingly says, “You’ll be the first, and maybe the only one, in your neighborhood to have this bangle!”

Without thinking, you pick up the phone, dial the number that scrolls across the screen, place your order, and sit back, smugly thinking that you’ve avoided the rushed hysteria of mall shopping and have purchased something different and special.

This little scenario happens every day in homes throughout the world as the Home Shopping Network (HSN) and QVC make shopping as easy as dialing 1-800... In 1997, QVC shipped more than 56 million packages and recorded sales of more than $2 billion. Not far behind, HSN’s 1998 sales exceeded $1 billion.

The very broad product categories include home, electronics, fashion, jewelry, health and beauty, and collectibles and toys. According to HSN, hardgoods, including electronics, collectibles and home products accounts for 41% of its offerings. QVC is one of the largest purveyors of gold jewelry in the world and its jewelry category accounts for 35% of the network’s air time.

With the camera’s lens focused 24-hours a day on an enormous variety of products, more and more manufacturers are interested in getting their products into the studio but don’t know where to start.

Products making their way to your living room via the broadcasts of HSN and QVC have passed a stringent process. Remembering that television is very much a visual media, these products look good and are easily demonstratable. They may solve a problem or make life easier, appeal to a broad audience and almost always have unique features and benefits. Both QVC and HSN are interested in new product launches and limited distribution products.

What kind of products are we talking about? Well, we guess you’ve watched the programs; you may have even ordered something yourself. There’s everything from computers to jewelry, self-help books to cookbooks, do-it-yourself items and household items that make your work easier, there are unique gifts and collectibles, cosmetics, fashions, and more. Some are hyped by Hollywood stars, others by manufacturers’ representatives who have good studio “presence.” Both QVC and HSN rely on what they refer to as “thematic” programming segments, with each segment featuring products that “fit” together. You won’t find diamonds with do-it-yourself products and so on.

You should be aware of what doesn't sell. Surprisingly, baby products are out, as are, not surprisingly, furs and guns; everyday, easy to find knickknacks, except for collectibles, are out and so are one-of-a-kind items. They don’t lend themselves to the stringent quality control program of either network. The same goes for art, vases or picture frames. You won’t find board games, stationery or paper products because these are generally considered low-end items. This isn’t of course a complete list, but you get the idea.

Take some time and evaluate your product. Go back to what we said earlier: does it show well? Is it unique? Does it solve a problem or make life somehow easier? What’s its mass appeal? If you think your product passes the test, go for it.

Be Prepared — Your Company Needs to Pass the Test Too
Vendors who submit products must be prepared to meet certain requirements as well. In a nutshell, you should —

arrowbe able to ship $15,000–$20,000 worth of product for a test order

arrow have the ability for quick turn-arounds for re-orders, two weeks is ideal

arrow have the capability for high volume production

arrowbe well capitalized

arrowcarry product liability insurance

arrowbe strong in quality assurance as consistency and reliability are essential

arrowoffer a product that has “value,” retailing at $15 or more.


Where You Go From Here
If you think you have a product or products that would be of interest to HSN or QVC, we strongly recommend you visit their websites: www.hsn.com or www.qvc.com. Each site features a page for vendors where you’ll find specific information regarding product submission. Review these pages carefully and follow the steps outlined to submit your product.

Millennium Madness
The coming of the year 2000 has created an amazing onslaught of product advertising and hyperbole. There’s a millennium candy — M&M’s; an official entertainment company for millennium “fun” — Playboy; a millennium air freshener, and even an “intellectual property law firm for the millennium.” There are currently more than 3,500 pending trademark applications for the use of “millennium” or “2000” in the names of new products. Some hospitals are even offering special gifts to the parents whose baby is the first delivery of the new millennium.

Will putting “2000” or “millennium” in your product’s name sell more of that product? That’s unclear. At least one market study indicates people are looking for comfort, not change — that they want something positive and meaningful. It appears that year 2000 saturation is leading to a backlash among many consumers who are seeking a more meaningful, spiritual side of the millennium.

What Does This Mean to You?
Television shopping networks will be looking for the unique among the millennium products offered. It is anticipated that HSN and QVC will devote special programming segments to millennium products but you can bet that the products offered will be tasteful and unique, offering the buyer that “special connection” to the ushering in of the new century.

Products made in Israel, Jordan, and Palestine have a strong advantage over millennium products made elsewhere, as they provide an immediate connection to the Holy Land — bearing in mind that the coming millennium marks two thousand years since the birth of Jesus in Bethlehem. Products produced in Israel offer genuine millennium tie-ins thus adding value for consumers.

The opportunity now exists to use millennium driven interest in Holy Land products to establish credibility and long-term relationships with buyers and gain exposure in major markets. We go back to what we said before: carefully evaluate your product according to the criteria established by the television marketing networks. Be honest with yourself in determining what may or may not be appropriate. Then follow the correct steps for product submission.

Good luck!


The Trendletter team welcomes your comments.


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