Ford Motor Company, HA-LO Industries to Form New Merchandising And Licensing Business
27 June 2000
Ford Motor Company, HA-LO Industries to Form New Merchandising And Licensing Business
DEARBORN, Mich. - Ford Motor Company and HA-LO Industries are joining forces
to form a joint venture that will market and sell branded merchandise for all of
Ford Motor Company's global vehicle brands.
The new company will serve as the merchandising arm for all Ford vehicle
brands globally. The creation of this business will assign professional
merchandising executives to work with vehicle brand managers to identify
brand-enhancing products tailored to unique brand image needs. These products
will then be incorporated into new promotional and retail merchandising
programs, available to consumers in partnership with dealers.
Ford will be the first client for this new enterprise, and other
multinational businesses are expected to use the new company's expertise in
merchandising and licensing in the future.
The new venture also will capitalize on HA-LO's Internet capability and
will now use the Internet to monitor and expand Ford's current network of over
400 licensees who produce over 12,500 products. HA-LO's proprietary
technology redefines the management of global brands through Internet-based
tools, allowing for the dynamic expansion of brand image and real-time
creation of branded merchandise.
"This is another step in our quest to build strong, unique global brands,"
said James C. Schroer, Ford Motor Company vice president of Global Marketing.
"As Harley Davidson has shown, there's a brand experience that exists beyond
just the enjoyment of the product itself. It isn't just about owning a
motorcycle, it's about an entire experience. That same sort of feeling exists
with our Ford Mustang, Ford F-Series pickup truck and Jaguar owners. We are
seeking to spread that same product zeal to all of our brands. HA-LO is the
right partner to help us leverage and enhance our brands through image-
defining products."
Ford Motor Company will be the majority partner in the new company with
both companies represented on the board. Linden Nelson, vice chairman of HA-
LO has been named CEO of the new company. HA-LO will provide key operational,
systems and inventory fulfillment support to the organization. HA-LO also
will provide product sourcing and merchandising services to the new venture.
Ford will continue to maintain control over licensing.
"This joint venture with Ford breaks new ground in our industry," said
Linden Nelson. "Ford is validating our global leadership position, affirming
our technology superiority, and enabling us to extend our strength by becoming
a more integral part of the branded merchandise programs of our existing
customers."
HA-LO Industries, a brand marketing organization, is the world's leading
distributor of promotional products, as well as a premier provider of brand
marketing services through UPSHOT, its number-one ranked brand marketing
agency. HA-LO's Internet transformation is core to its growth of both its
promotional products and marketing services divisions.
HA-LO's recent acquisition of Starbelly.com, a business-to-business
Internet-based marketer of customer branded merchandise, will help the new
venture leverage the Internet. HA-LO has 55 offices in 11 countries including
significant operations in Detroit, Toronto, Belgium, Hong Kong and soon South
America.