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Properly implemented, a branded merchandising strategy can provide a valuable addition to an arts organisation?s revenue streams, claims Catrina Clarke.

The world of merchandising can be hit or miss. Knowing where to start can be as difficult as knowing where you would like to end up. If successful, merchandising can become a very lucrative and profitable enhancement to your promotional activity. If it is done poorly, you could lose a lot of money. In a gallery or museum environment, branded goods are a natural addition to the gift-shop shelf, though choosing goods to stock that are effective and long lasting can be a difficult task.

Locating the source

The power of effective merchandising lies in sourcing the correct materials, coming up with the best idea and carefully considering your own branding. I have worked in the merchandising and sourcing industry for some fifteen years, and I believe I can offer some advice that should help you manage your merchandising more effectively so that it isn?t something that merely sits on the shelf next to the cash register.

It is vitally important that you consider what it is you are trying to achieve through branding. Without this fundamental decision being made, both the type of goods selected and your branding could be sending out the wrong message. Are you raising awareness of the whole organisation or of a specific collection, exhibition or event, or simply attempting to maintain the visitor numbers that you currently have? Pre-deciding a promotional strategy will help you to quickly decide whether merchandising should be undertaken at all. For example, when designing promotional carrier bags for the National Gallery, I ensure the artwork on the carrier bag matches the Gallery?s strategy ? usually to drive visitor numbers to a specific exhibition. If I were to design a generic carrier bag for a museum gift shop, the branding would become more prominent and the artwork slightly less so. But every museum and every strategy is slightly different, which is why a clear vision of the role of the merchandising in the overall promotional strategy is a good place to begin.

On reflection

It is clear then that merchandising should be a priority in the gift shop. Carefully considering the purpose of your branded goods and deciding what will bring in the biggest return on investment are crucial to this decision. Your merchandise should be a reflection of your organisation, so, when deciding what type of goods you want to brand, it is important that you embrace what the company stands for ? be it an ethical stance, political issues or a certain period of art. These considerations will make the decision of what to brand much easier in the long term.

Once you?ve decided what to brand, the next consideration is where to source the goods you need. The Internet is an easy and global solution but when you don?t meet the company you are dealing with, or see the products that you are buying, new problems can arise. Sourcing outside the UK may be a cheaper alternative, but without experience can be a complicated process. Ideally, a UK supplier that can check your credit credentials and offer you thirty-day payment terms or payment on the arrival of goods is more favourable than upfront payment for something that looks nothing like it did on the web.

Quantity and quality

It is possible for most things to be branded, from boats to beer mats. However, the object chosen needs to be realistic to produce the amount of product that you need to market, for instance it would be extremely difficult ? and costly! ? to produce 1,000 branded boats. Consulting with an expert in the field to consider the logistics of your ideas is advisable as this will assist you in developing achievable plans for your merchandise. Whether you order 40,000 plastic bags, with a two-day turnaround (possible, though you?d need an extremely understanding supplier!) or USB storage devices in the shape of your logo or your prime exhibit, an expert should be able to help you manage all areas of your branded-merchandise project to ensure a smooth process.

Positioning of your brand is integral to the usability of your product. Sometimes a blatant logo is required, usually with stationery, wallets and mugs. However, a more subtle logo will send a more prestigious message, and would be welcomed by those who don?t want to wear a T-shirt with your logo splashed across it. There may, of course, be a cost differential between printing a large logo and a small one. Another important consideration regarding branding is that the more colours you want, the more costly the printing. Even headed paper costs more printed in four spot colours, rather than two, and a four-colour process is different yet again!

Selling points

Once you have your finished goods, positioning in the building is crucial to customer recognition. If you have spent time planning and producing your merchandise, it is important that your customers see the goods presented in a way that shows that you are proud of them, sending them positive messages. When selling and pricing your goods, one strategy is to aim for high sales by pricing low. In order to sell many, and to achieve the best profits, it is important to buy as high a volume as possible, therefore you can enjoy better economies of scale. Museum and gallery merchandising has traditionally taken the form of branded stationery, guide books and key rings.

Bearing all these considerations in mind, it is possible to source products to promote a business and, if the process is understood, then the next step is to think creatively and develop the merchandise even further. A little imagination can go a long way, so choose a promotional vehicle where you can have some fun with your brand ? something that will appeal to customers. With the right merchandising you will enhance your museum?s profile instead of weighing it down.

Catrina Clarke is Managing Director of Kan Ltd, a specialist branding and promotional company. t: 023 8045 6611; w: http://www.kan-do-it.com