SHOW, DON'T TELL

LANCASTER COUNTY

Lancaster County firm designs, manufactures and distributes merchandising products

In its owner's words, Merchandising Solutions Inc. is "the company that nobody knows exists."

But that's largely by design.

The Lancaster County firm is in the business of making other companies look good. And the business has been so successful that it's poised to expand.

"A big part of it is to make the product being displayed the main feature, and not the display itself," President and founder Thomas Burns said. "You don't want people paying attention to the display."

What Merchandising Solutions does resists easy categorization.

The East Hempfleld Township-based firm designs, manufactures and distributes merchandising products - think bakery bagel bins, clothing and cosmetics-counter displays and trade-show exhibits.

It also distributes store fixtures, and designs and makes items ranging from displays for personal collectors and prototypes for inventors to light diffusers, replacement patio table-tops and machine parts.

"We tend to work in a lot of niche markets," Burns said.

Merchandising Solutions has helped produce displays for nationally known clients in several industries, from cosmetics to food, Burns said. But he said did not want to use the firms' names because his company often works as a subcontractor through a designer or distributor.

"We can't take credit for making those displays because (the brands) don't know we're behind it," he said.

His company's website says the firm has worked on displays from Chanel, Coach Leather Products and Betty Crocker.

It's a constant balancing act, Burns said. Merchandising Solutions is able to design products, but doesn't want to compete with its custom- - ers. Burns said the firm did not get into the delicate situation on purpose.

"I started out on my own, and I didn't have the time to do the sales and manufacturing," he said. "It was very difficult to grow the business. I had to decide if I was going to devote more of my time to the production or to sales."

One midstate company Merchandising Solutio ns has wo rked withisManheim Township - based Wellspring, which manufactures and sells correspondence materials and small gift items to retailers nationwide.

"They've been a great partner," said Jon Elliott, product development and sourcing manager. "We have been able to take products to them and they'll customize a display."

Merchandising Solutions has made displays for items including address books, compacts and key chains, he said.

With a new facility that more than triples the firm's space and several new product ideas brewing, Burns said he hopes to expand in the coming months.

"The manufacturing capabilities have allowed (us) opportunities to work with other manufacturers to warehouse and provide secondary modifications to their products and improve shipping times for the northeast," Burns said of the 5,000-square-foot building, which the firm moved into in March.

"(The firm also is looking) to market new lines of products in the construction aftermarket, in addition to developing direct retail remodeling and home improvement products and installation," he said.

The changes may mean the firm will hire additional staff members, but Burns said he doesn't know how many.

"We're still trying to analyze what product lines (to sell) and how fast to bring them to market," he said. "We have some opportunities that we expect to have finalized in the next couple of months that could be pretty substantial for us."

Burns began the business in 1989, after doing sales and production for a similar company.

"I saw there was a market for products in the area and nobody was going after it," he said. "It was a wide-open market."

Over time, the firm evolved and expanded its products.

"In the past, most of our business has come through designers of displays or distributors, and the end user has no idea we exist," Burns said. "That worked well for us for many years."

But the recession has meant turnover in clients, so Merchandising Solutions is adapting.

"Companies are starting to find us," Burns said. "Now, in recession, companies are getting more price sensitive, and companies are finding us to make the point-of-purchase displays directly for them."

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Thomas Burns Is president of East Hempfleld Township, Lancaster County-based Merchandising Solutions Inc.

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"I saw there was a market for products in the area and nobody was going after it. It was a wideopen market."

Thomas Burns, Merchandising Solutions Inc.

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YOUR TAKE

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Merchandising Solutions Inc. created this display for Wellspring, a Lancaster County-based company that sells correspondence materials and small gift Items to retailers nationwide.

[Author Affiliation]

BY PAULA HOLZMAN

paulah@journalpub.com