november 2018 the top 50€¦ · 24 winbrook $21,460,000 scott lattanzio, president billerica, ma...

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50Distributors AnalysisTop

Print+Promo’s 2018 Top 50 DistributorsStats, trends and key takeaways from the data By Elise Hacking Carr

It was a good year to be a distributor in the print and promo space. According to our data, overall revenue for the 2018 Top 50 totaled $3.58 billion for the most recently completed fiscal year, a 2.61 percent increase over our 2017 list’s $3.50 billion tally. That number

would have been even higher if it had included numbers from SI Solu-tions Inc. (now part of The Sourcing Group), thumbprint, DataSource and other leading distributors that declined to report their earnings to us directly.

Of the 47 returning distributors:• 27 had revenue increases.• 17 had revenue decreases.• 3 finished evenly.Those who have been tracking our lists will recognize the familiar

names comprising the top five. With the exception of Proforma, which finished evenly, all enjoyed financial gains—the largest belonging to InnerWorkings Inc. The Chicago-based firm tacked an additional $47.7 million to last year’s totals.

From our vantage point, 2018 proved to be quite the year for InnerWorkings. The billion-dollar-plus firm was no stranger to headlines … not all positive. There was the C-suite shake-up, starting with the resignation of Chief Financial Officer Jeffrey P. Pritchett. As published in a press release, Pritchett’s immediate departure was due to personal reasons unrelated to the company’s “business, operations, financial performance or financial reporting.” In February, it was announced that Rich Stoddart would be succeeding longtime InnerWorkings President and CEO Eric Belcher, the latter of whom was transitioning to the role of executive chairman of the board of directors. Stoddart previously served as global president of Leo Burnett Worldwide, touted as one of the world’s largest and most awarded global advertising agencies.

Then, things got even more interesting. On May 7, InnerWorkings revealed that it would restate its historical financial statements for fis-cal years ending Dec. 31, 2007, 2016 and 2015, along with all interim periods within those time frames, due to accounting errors. In a state-ment, the company maintained that the mistakes related “primarily to recording a portion of costs of goods sold in the wrong period, and have no material impact on InnerWorkings’ cash flow, revenue or liquidity.” As a result, the company also delayed the release of its first quarter 2018 financial results and conference call, prompting NASDAQ to send a noncompliance letter.

Since the news broke, the distributorship announced some major contract expansions, most notably with a major player in the beer, wine and spirits vertical; and another with a leading manufacturer of consumer goods, specializing in cleaning products.

The 2018 list did feature three newcomers: Innovative Print & Media Group, a Safeguard Company (No. 48), Safeguard Solutions, a Safeguard Company (No. 49) and International Printing Solutions (No. 50).

As for individual product sectors, there were increases across the board, thanks in part to InnerWorkings’ breakdown submission. (The firm typically does not disclose that information.) Promotional Products held on to top billing with $984.3 million (2017: $788.5 million). Commer-cial Print, which consists of marketing pieces, catalogs, brochures, pres-entation folders, envelopes, stationery and business cards, skyrocketed to $466.9 million (2017: $298.6 million). Direct Mail accounted for $246.0 million (2017: $69.3 million). Printed Forms continued its upward trend, moving to $161.5 million (2017: $147.8 million). Marketing & Creative Services produced $161.1 million (2017: $116.7 million). Labels & Tags reached $121.3 million (2017: $110.8 million). Plastic Products hit $29.1 million (2017: $15.5 million).

The “Other” category also followed suit with $173.5 million (2017: $59.2 million). Common responses for this sector included office sup-plies, packaging, warehouse/fulfillment and software.

The most substantial jump, however, belonged to Signs/Displays/Wide-Format Printing. Now in its third year, the category finished at $407.8 million—a whopping 505.5 percent increase compared to last year—an assist courtesy of InnerWorkings.

Want to see the complete breakdown? Turn to page 11. In the meantime, here are a few other fun stats we saw in our analysis:

• In addition to InnerWorkings, several other distributors posted notable revenue increases from 2017 to 2018. American Solutions for Business reported a 6.56 percent increase, rising from $267.4 million to $284.9 million; iPROMOTEu increased sales 10.3 percent from $157.8 million to $174.0 million; and HDS Marketing improved numbers by an impressive 34.8 percent from $22.4 million to $30.2 million, jumping six spots in the ranking.

• In all, 22 U.S. states were headquarters to at least one distribu-tor in the Top 50. Ohio led the way with six distributors calling it home, while California and Minnesota each had five. Ohio and Minnesota, respectively, appeared twice within the top 10 alone. Nine other states appeared at least two times on the list, leaving 10 states that had a single distributor.

• This year’s Top 50 distributors employed more than 7,000 workers. InnerWorkings led the way with 2,086, while DiscountMugs.com employed 1,100 and American Solutions for Business employed 1,035. Of the Top 50, the distributor with the smallest staff was International Printing Solutions at 10 employees. Fifteen of the Top 50 distributors had a staff size in the triple digits or greater.

We congratulate each company that made the list and can’t wait to see what the future holds for the industry. Cheers to profitable partnerships in 2019!

(Editor’s note: Factors to consider when interpreting sales figures are

ongoing industry consolidations and responses reporting idiosyncrasies.)

OCTOBER 2017 GOPRINTANDPROMO.COM 2PRINT+PROMO


COMPANY REVENUE PRINCIPAL(S) LOCATION

1 InnerWorkings Inc. $1,138,361,000 Rich Stoddart, CEO Chicago, IL

2 Proforma $492,000,000 Greg Muzzillo, Founder; Cleveland, OH Vera Muzzillo, CEO

3 American Solutions for Business $284,943,420 Larry Zavadil, CEO Glenwood, MN

4 DiscountMugs.com $210,400,000 Sai Koppaka, CEO/President Medley, FL (Parent Company: BEL USA LLC)

5 iPROMOTEu $174,000,000 Ross Silverstein, CEO/President Wayland, MA

6 Smart Source LLC $126,000,000 Thomas D’Agostino Jr., CEO/Founder New York, NY

7 WebbMason Marketing $115,000,000 Warner Mason, CEO/Chairman Hunt Valley, MD

8 Kaeser & Blair Inc. $114,333,435 Kurt Kaeser, CEO Batavia, OH

9 Regency Franchise Group $56,607,775 Eric Beguelin, CEO Raleigh, NC

10 ePromos Promotional Products Inc. $53,010,847 Jason Robbins, CEO St. Cloud, MN

11 Vanguard $52,459,000 Robert T. O’Connell, President New York, NY

12 The Shamrock Companies $45,000,000 Bob Troop, Chairman/CEO Westlake, OH

13 Quality Logo Products Inc. $42,583,777 Bret Bonnet, President/Co-Founder Aurora, IL

14 Touchstone $40,800,000 Derek Block, President/Founder Mason, OH

15 Quality Resource Group $38,931,564 Todd Pottebaum, President Minneapolis, MN

16 Fontis Solutions, a Safeguard Company $36,152,086 Paul Niccum, General Manager Irvine, CA

17 The Image Group $32,200,000 Jon Levine, President Holland, OH

18 HDS Marketing Inc. $30,200,000 Howard Schwartz, CEO/Founder Pittsburgh, PA

18 NPN360 Inc. $30,200,000 Artie Collins, CEO Wheeling, IL

20 American Diversity $29,847,244 Diane Zavadil, CEO Glenwood, MN

21 Tray Inc. $26,651,003 Brian Burlace, President Glen Burnie, MD

22 Image Source $25,000,000 Brian Haner, CEO; Kirkland, WA Thomas Goos, President

23 Meridian $23,100,000 Bob Chanson, President Loves Park, IL

24 Winbrook $21,460,000 Scott Lattanzio, President Billerica, MA

25 Hygrade Business Group $21,337,000 Victor Albetta, CEO Secaucus, NJ

26 USFI, a Safeguard Company $21,151,624 Jennifer Mitchell, Vice President/ Dallas, TX General Manager

27 Brand Advantage Group Inc., $20,189,550 Dave Daoust, CEO Plymouth, MN a Safeguard Company

50 Distributors

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28 Consolidated Graphic Communications, $19,601,213 Jim Rhodes, CEO/President Bridgeville, PA a Safeguard Company

29 Inspired Results, $18,372,259 Amy Tiller, President, Growth; Tigard, OR a Safeguard Company Phil Odella, President, Execution

30 DFI – Solutions in Print $16,950,000 Bryan Miller, President Davenport, IA

31 C&S Sales Inc. $16,476,264 Terry Storms, President Hawthorne, CA

32 City Paper Company $15,139,000 Paul Friedman Jr., Co-Owner; Birmingham, AL Mark Friedman, Co-Owner

33 Piedmont Graphics Inc. $13,649,008 John Rutledge, President Greensboro, NC

34 Midwest Single Source Inc. $12,771,996 John H. Osborne, Chairman Wichita, KS

35 Cooley Group Inc. $12,735,000 Stuart Boyar, CEO/President Rochester, NY

36 Bradley Marketing Group, $11,822,205 Joe DeMeo, President Bohemia, NY a Safeguard Company

37 ADi Group $10,288,485 Doug Freeman, CEO Urbandale, IA

38 Thompson Print & Mailing Solutions $10,127,000 David Thompson, President San Antonio, TX

39 Tabco $9,936,991 Brad Bilyeu, President Terre Haute, IN

40 Voluforms $9,845,799 C.MichaelStewart,President/Owner Jeffersonville,IN

41 Graphic Information Systems Inc. $9,560,000 Walter Theiss, President Cincinnati, OH

42 CTP Solutions $9,500,000 Jack Schachtel, President Agoura Hills, CA

43 St. Louis Business Forms Inc. $9,200,000 Joseph K. Raible, President High Ridge, MO

44 Swag Web and Graphics $8,956,547 David Sutherland, CEO Sparks, NV

45 PerfectPartner Business Solutions, $7,788,668 Ted Mabry, General Manager North Easton, MA a Safeguard Company

46 Suncoast Marketing $7,771,542 Robert Scala, President Fort Lauderdale, FL

47 SOLV, a Safeguard Company $6,558,857 Tressa McLaughlin, Boise, ID CEO/President

48 Innovative Print & Media Group, $6,142,331 Jordan Hartline, CEO Phoenixville, PA a Safeguard Company

49 Safeguard Solutions, a Safeguard Company $5,435,204 Fritz Wuenschel, General Manager Fresno, CA

50 International Printing Solutions $4,500,000 Scott Thurman, President Vista, CA

Editor’s note: All sales information provided directly by distributors and may represent estimates on their part.

50 Distributors

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COMPANY REVENUE PRINCIPAL(S) LOCATION


COMPANY FORMS REVENUE TOTAL REVENUE LOCATION

1 American Solutions for Business $46,873,193 $284,943,420 Glenwood, MN

2 InnerWorkings Inc. $22,767,220 $1,138,361,000 Chicago, IL

3 Hygrade Business Group $11,735,350 $21,337,000 Secaucus, NJ

4 Brand Advantage Group Inc., $6,319,329 $20,189,550 Plymouth, MN a Safeguard Company

5 Vanguard $6,295,080 $52,459,000 New York, NY

6 American Diversity $6,267,921 $29,847,244 Glenwood, MN

7 Quality Resource Group $6,061,645 $38,931,564 Minneapolis, MN

8 Smart Source LLC $5,040,000 $126,000,000 New York, NY

9 Meridian $4,158,000 $23,100,000 Loves Park, IL

10 Voluforms $3,938,320 $9,845,799 Jeffersonville,IN

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Labels & Tags Distributors

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COMPANY LABELS & TAGS REVENUE TOTAL REVENUE LOCATION


2 WebbMason Marketing $17,250,000 $115,000,000 Hunt Valley, MD



5 DFI – Solutions in Print $7,797,000 $16,950,000 Davenport, IA

6 Graphic Information Systems Inc. $7,170,000 $9,560,000 Cincinnati, OH

7 NPN360 Inc. $5,436,000 $30,200,000 Wheeling, IL



10 Tabco $2,782,357 $9,936,991 Terre Haute, IN

COMPANY COMMERCIAL PRINT REVENUE TOTAL REVENUE LOCATION






6 The Shamrock Companies $24,750,000 $45,000,000 Westlake, OH

7 Tray Inc. $13,325,502 $26,651,003 Glen Burnie, MD



10 Quality Resource Group $6,587,221 $38,931,564 Minneapolis, MN

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Direct Mail Distributors

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COMPANY DIRECT MAIL REVENUE TOTAL REVENUE LOCATION




4 Tray Inc. $3,731,140 $26,651,003 Glen Burnie, MD


6 Winbrook $3,219,000 $21,460,000 Billerica, MA

7 Consolidated Graphic Communications, $2,352,146 $19,601,213 Bridgeville, PA a Safeguard Company





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