Frequently Asked Questions 
1) I like what I see. Is it
possible to secure this program without a personal interview?
YES and NO. We feel that it is important to have a face to
face meeting prior to either party making a final commitment.
So, we do require a personal meeting prior to your Orientation.
However, in order for you to secure your area, save time and expense, and expedite the process, we will commit to you based on the information you provide us in your application. We will schedule a time to meet with you at our office when you come for orientation. During the meeting we get to know each other better and it gives you the option to make a final decision on whether our program is right for you. After the meeting, and prior to orientation, if either party decides not to continue, your deposit will be refunded. If you would like to meet us, prior to securing your area, we invite you to visit with us at our Nashville office by appointment only.
2) I would like to be considered
for my area. What is my next step?
Complete and submit the Request
for additional information form. Upon receipt, we will contact you by phone or email to answer any further questions you may have. At your request we will mail you additional information and book samples for your review.
3) What is going to stop SMS or PPA from taking back the territory in the future?
Your distributorship contract with SMS is a legal document that provides you this protection. The SMS contract with PPA also prohibits this. Lastly, neither PPA nor SMS does business this way, we trust that during our phone calls during your decision making process and during orientation you will come to trust us and value our business relationship.
4) Why do you focus on non-traditional
retailers instead of book stores?
Because it works. PPA has a proven 17 year track record
of marketing books in non-traditional retailers. Example;
shoppers buying cat food see the Cats Out Of The Bag book
and buy it on impulse. Everybody buys books; but how
often do most people go into a bookstore compared to the
grocery, department stores, convenience stores, gift shops,
and on and on. We capture the impulse sale. We put
our books in front of people who don’t know our books
exist – in places they never knew to look.
We bring the book store to them!
5) Will you find these books
in book stores?
It’s possible, but highly unlikely. We don’t sell to book stores. If you do, and the store is in your territory, it will become your account.
6) Can I sell these books
in book stores?
No. Our niche marketing program does not include traditional book stores. Remember PPA’S primary focus is on impulse sales in non-traditional retailers. More people shop in groceries, department stores, gift, and specialty shops than in traditional book shops. This creates more opportunities for impulse sales.
7) Can I sell these books in
chain stores?
Yes. Chain stores such as discount stores, groceries etc. are fantastic locations because you can put multiple books in multiple locations, thus improving your sales.
8) What is the difference between a consignment and guaranteed sale?
If the books are sold on consignment! The Distributor places books in the retailer’s store at no initial cost to the retailer. The retailer pays you each time you restock. Consignment Agreement. If the books are sold on a guaranteed sale! The retailer pays upon receipt of the books. The distributor agrees to exchange or buy the books back upon demand. See Guaranteed Sale Receipt.
9) What is my profit potential?
Your gross profit on each book sold on consignment is $2.64
or 96% above your cost. Please refer to “Pricing
Structure and Profitability”.
10) How quickly should I grow
my business by taking on new accounts?
PPA and SMS will assist you with starting your business by calling retailers in your area to secure accounts and get leads on potential accounts. You will follow up with retailers that want the books and leads for potential accounts. We will continue calling retailers until you have secured five accounts. It is important to follow up on all leads in a timely manner and keep PPA informed on your results. We suggest that you service your first few retail accounts until you comfortable with all aspects of your new business before adding a large number of accounts. Once you are comfortable with operating your business, then, add accounts at a pace that your time allows you to service and that fits your own personal expansion and monetary goals.
11) What will be covered in
my orientation?
Your Orientation will
cover information concerning the best types of accounts for the PPA book line, how to secure locations utilizing our postcard program and the services of your PPA business coach, bookkeeping, consignment, retail sales, merchandising, pricing, inventory control, and many other subjects related to your business.
12) May I secure locations
before I receive my merchandise?
We recommend you do NOT secure locations before your Orientation. Retailers will tell you to come back when you are ready to conduct business.
13) What types of retail locations
are right for the Premium Press America books?
There are literally hundreds of locations in your area suitable
for these books. We suggest locations that create impulse
sales as listed on Page 8 “Retail Outlets”. Also,
there are many promotional and fund-raising opportunities
shown on “Fund-Raising”.
14) May I exchange books?
Yes.
15) Can these books be personalized?
Yes! Premium Press can print books especially for you with
the name of a business, event, fund-raising group, or any
other information (minimum order requirements).
16) Can I sell Premium Press
America books at book fairs, street festivals, etc. and
what should I charge?
Yes. You would charge full retail (minimum $7.99) each.
17) Does Premium Press America
plan to create new books, and when?
Absolutely! One of the most important elements of any
popular product line is to grow and change and meet consumer
needs. The Premium Press America line of specialty books
will grow over time. In the past two years, Premium Press
America introduced eleven new books. Their planning for
the future is to add new books each quarter. This will
guarantee your retailers a constantly changing and interesting
line of new books.
18) How many Distributors
will be placed in an area?
Only one. Remember, you have the exclusive rights to market
the PPA gift books in your area.
19) Can I expand my business
anywhere?
You may expand your business to as many retail locations
as you choose within your distributorship area.
20) Can I have books drop-shipped
to my accounts?
Yes.
21) Do I have to incorporate?
No. You can operate as an independent contractor. You may
use your name DBA (doing business as) whatever you want to
name your company or use Specialty Marketing Systems.
22) Do I charge sales tax?
No. Your retailer takes care of this. You would charge sales tax if you sell retail at festivals, etc.
23) How will I know what to
order?
Simply re-order books that are selling from your displays.
Our staff will inform you of the top selling books in other
areas and assist you with your orders and inventory needs.
Also, remember you may exchange your books at any time. These
procedures are covered in your Orientation.
24) Who pays for items that
are stolen (or missing)?
The retailer.
25) Can I do this part-time?
Yes, however, we expect your business to grow to a full-time
business very quickly.
26) Once I establish my business,
can I sell it?
Yes. SMS reserves first right of refusal to purchase
your area.
27) What do I have to do to
maintain my Distributorship status?
After the first year from date of the distributor agreement; distributor must maintain a minimum of 20 retail accounts to maintain distributor status.
28) What happens to my Distributorship
if something happens to SMS?
In the unlikely event that this might happen, PPA will honor
the terms of your Agreement with SMS. See Section
5, Item H in Distributorship
Agreement.
29) Will I need a special vehicle
or storage facility?
No. One of the greatest aspects of this business is its ease
of operation. Your books and displays (even for a large number
of retail accounts) take up very little space. Also, they
are lightweight and easy to handle! Books may also be dropped-shipped
to your retailers.
30) How do I pay out my investment? (Minimum $12,800)
The cost of the distributorship is $12,800 per 500,000 populations in your area. You will submit a $1,000 deposit along with your signed distributor agreement. Payment of the deposit will secure your area. The balance is due on the orientation date indicated in your agreement. All funds payable by personal or cashiers check to Specialty Marketing Systems, LLC 2400 Crestmoor Road, Nashville, TN 37215.
31) What do I get for my investment?
- Exclusive area marketing rights to licensed Premium Press America books.
- Orientation in Nashville, TN.
- Lodging for two nights in Nashville during orientation.
- Operations and Orientation Manuals.
- Five retail accounts secured by your PPA retail relations coach and AP.
- On-going location services from your PPA business
- Existing retail account base in your area.
- 30 assorted displays
- 600 gift books
- SMS business forms and software – downloadable from web site.
- 24 hour On-line ordering.
- Fund raising financial support (pay for books after you have collected)
- Ongoing telephone and email support from SMS and your business coach at PPA. All of this support comes with your initial investment. There are no additional fees, commissions, royalties or charges for phone time or consultations.
32) Who Can I talk to at Specialty Marketing Systems about this program?
Frank Burks or Don Cunningham; they can be reached at (615) 386-7114 They will be happy to talk to you about the PPA Associate Publisher distributorship program anytime.
33) What are the long term plans for the PPA distributorship program and how will those plans affect my business?
Rather long answer, however, please read it. It will give you a better understanding of our long term business plan.
Barnes & Nobel is the largest book store retailer in the United States with 774 retail accounts, followed by Borders/Waldenbooks, Book-A-Million and Hastings Books. Together these top chains have just over 2000 retail outlets throughout the US.
Remember this formula - D30X2:
You, the distributor, with just 30 retailers selling just 2 books per day.
That’s 21,900 books per year equaling $57,816 per year profit to you.
Now, remember this formula - PPA100X30X2:
Premium Press America with 100 distributors operating the D30X2 Formula.
That’s 3,000 retail accounts – now you are part of a chain of 3,000 retail accounts – more distribution and selling power than all major chains combined!
You are now part of the largest book store chain in America.
(You are in this position without the overhead of owning or renting retail locations.)
How does this affect you? - Let us give you an example of the big picture.
Dan Brown’s just released book The Lost Symbol had a first printing of 5.2 million copies. This is the second largest printing behind J.K. Rowling’s 5th Harry Potter book with an initial run of 8.3 million copies printed (the largest first release in history).
The “magic formula” for any major publishers is an author who can sell 1 million books, and sell out this first printing quickly. How does this translate to you and PPA? When PPA has just 100 Associate Publishers in 30 locations selling just 2 books a day that equals to selling over 2 million books per year! (Remember the PPA Formula.) This will produce national best-sellers, attracting top authors who want to sell their books and provides serious competition for traditional publishers relying on traditional bookstores.
Likewise, there are literally thousands of other companies as well as other people clambering to get other information out to the public via their books that are too small for the “Big Boys” to mess with. Well guess what? These collectively represent millions of books. PPA plans to become the point of origin for many of these publications.
We hope you get the picture. We are developing the infrastructure for this channel of distribution. As this infrastructure develops, our AP’s and their retailers are the ones who automatically get these new books.
A Ground Floor Opportunity from a proven publishing leader.
The Associate Publisher program provides you an opportunity to grow from the ground up. Together we plan on becoming the nation’s largest publisher and distributor of gift books, and the primary publisher and distributor for many of the world’s most successful authors. How would you like to go to your retailers and let them know you were the only source for the next big seller being talked about on all local media shows?
The PPA Distributorship Program, with its network of Distributors, brings the bookstore to the consumer rather than having the consumer go to the bookstore!
Present your retailers with the next best seller.
The PPA Distributorship Program is more effective than traditional selling. Together, PPA and their Distributors create an incredibly far-reaching channel of distribution because PPA books can be placed with thousands of retailers not just bookstores! How often do you go into a book store? How often do you go to a grocery store, a department store or specialty store? Get the picture? PPA has already proven this concept by selling millions of gift/souvenir books in thousands of niche markets located in ever community in America!
Our Business plan calls to recruit 100 PPA distributors within the next two years. This rate of growth is very manageable and attainable by SMS and PPA, and we are positioned to grow at this rate. Aggressive recruiting has already begun.
How can we pull this off? Premium Press America has sold over 50 million of these books – we’re not reinventing the wheel, we know this works! Specialty Marketing Systems has an incredible track record with niche marketing programs – again, we are experts with this form of business model.
What does this mean to you?
As PPA develops into the largest book store chain in America, it becomes a source for more books – best selling authors, companies wanting to market their own specialty publications, etc. because authors and other companies realize the effectiveness of this distribution channel.
How does this affect you?
As a PPA Distributor you are a necessary component (because of the protected territory you own) of the entire network. As new books come into the distribution channel, these books are yours to distribute.*
One of the most evident changes will be the availability of more expensive books and a greater variety of titles which will further increase your margins and profits.
Once most best selling books reach the market, they sell very quickly (that’s what makes them best-sellers). As these new books come into your market, you’ll quickly move from selling over 20,000 books a year (remember the D30X2 Formula) to over 20,000 books per month and more. 20,000 books per month represent a minimum $693,000 annual profit.
Built On Solid Business Principles
The PPA Distributorship Program is built on the solid business principles of retail sales and service, and the added profit potential of fund raising, - Yes, fund-raising; an often overlooked but important and profitable component of book marketing!
Retail Programs – go back to the D30X2 formula. People in the U.S. spent over $58 BILLION in books last year. Millions of books are sold every day! Make these yours.
Fund Raising – We like formulas. Here’s another one:
500 students at a local high school are raising funds for their school band. They each sell just 20 books -
1HSX500x20. You just made $26,200 - and you probably didn't do much work!
Now what?
Is it OK for me to get involved as a Distributor and simply set up retail accounts and work an occasional fund raiser? No. Not because we don’t want you to, but because the market won’t let you. When you become an Distributor, the retailers you acquire will automatically become part of the distribution network of PPA. You cannot separate the two. So, as we become the nation’s largest publisher and distributor of books, your personal network of retailers will grow and depend on you for its book inventory. Now, you are in the big leagues – we hope you want to be.
PPA Distributorship Business Development
As this program develops; the value of your distributorship will increase exponentially. Your Agreement with SMS allows you to sell your distributorship at anytime, however, SMS reserves the first right of refusal to purchase PPA distributorships. Also, part of our interviewing process makes sure our Associate Publishers understand that their business may grow into more than a part time business very quickly. And that they position their business to have the financial wherewithal to develop their areas as these new books become available and the distribution infrastructure becomes larger and more complex.
* Make sure you understand this scenario – once you are part of the network, you will be called upon to distribute these best-selling books in your area to your existing retailers, and also to other retailers who will request them. This is a good thing, because then your business can expand very rapidly, however, it may require an influx of capital into your business for extra inventory and/or additional staffing. You will know months in advance of these best sellers becoming available; so plan carefully and be prepared to grow your business. If you become unable to continue in this role, SMS will buy your area back or assist you in selling it to someone else at FMV.
34) What is the company history of Premium Press America and Specialty Marketing Systems?
Premium Press America
The Company was originally established in1983 as a promotion and marketing group called Specialty Promotions (later Schnitzer Communications, Inc.). The Company quickly built a reputation for implementing non-traditional promotion and marketing programs which enjoyed great success. A dozen projects achieved #1 status on the New York Times Best Sellers list, and the company was recognized with national awards for the creation and implementation of outstanding marketing and promotional programs that resulted in the sale of 50,000,000 books.
In 1993, the Company released its first title under its own imprint Premium Press America (PPA). SCI/PPA also developed successful book promotional campaigns with notables Art Linkletter, Warren Buffet, Walter Cronkite, H. Jackson Brown, Jr., Dr. Martin Katahn, and Drs. Richard and Rachael Heller.
In late 1994, the first two premium titles-Amazing Arkansas and the Great American Stock Car Trivia Book were tested. Both books were instant successes and reprinted in a matter of weeks. Arkansas went on to become the best-selling book in the state during the holidays, and Stock Car Racing Trivia proved to be the first gift/souvenier book in the fast growing stock car industry. It was clear that a niche for small, inexpensive gift books had been found.
In 1996, the Company kicked off with its then current titles, added five new titles, and reprinted two. The stock car titles quickly gained favor with racing souvenir stores, NASCAR tracks, and gift stores. A 12-unit display was added and soon became a strong marketing tool and often gained valuable and free counter space at check-outs. By year’s end, a total of 75,000 stock car books were in print and 20,000 copies of Amazing Arkansas and Terrific Tennessee. More than 250 accounts were established.
Since PPA’S inception, the title list has grown to more than 150 different books and sales have doubled every year thereafter. The Company learned a valuable lesson. They focused exclusively on the line of premium gift/souvenir books. During 2000, Premium Press America books continued to sell at a record pace in retail locations outside of the traditional bookstore, thus strengthening the strategy to continue to develop the gift book market.
For one mass-market customer, PPA private-labeled twenty romance novels, making it one of the fastest growing new lines available. In addition to receiving a Gold Medal from the Independent Publishers Association for its first release, Mistress In Training, the Romance Writers Association recognized PPA as one of the best romance publishers in the country. PPA received orders for more than 1,250,000 books in its first release.
Because of PPA’S success in the gift book markets, Premium Press America has now made the decision to focus its marketing efforts primarily on this market. PPA has partnered with Specialty Marketing Systems because of their strong niche marketing expertise, which supports PPA’S decision to put its corporate efforts on the publishing side of their business and to reduce its dependency on its own internal sales. Simply, PPA can reach more outlets with local market representation.
Specialty Marketing Systems
Specialty Marketing Systems is a national firm specializing in the sale and marketing of specialty merchandise like Premium Press America books. Since 1996, Specialty Marketing Systems has successfully established markets for TABASCO® brand specialty products - currently in 42 states and expanding.
Specialty Marketing Systems has a stellar reputation as a marketer and business opportunity support company. Premium Press America has contracted with Specialty Marketing Systems to offer this specialty book program on a national basis.
Please continue to review
all materials provided and write down any questions you
might have.
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