SALES & MARKETING SELLING IN THE NEW NORMAL
More than a Slogan BY STEVE GUGLIELMO
T
he term “Made in the USA” is one that is familiar to everybody. We’ve seen it on packaging. We’ve seen it in commercials, usually accompanied by flags waving, baseball in the background and apple pie coming out of the oven. And research suggests that the term does more than evoke feelings of patriotism. It can actually drive consumer spending and habits. But the term “Made in the USA” and other similar claims, like “American Made,” are more than just branding and sloganeering. Made in the USA is actually a federally protected designation from the Federal Trade Commission. According to the FTC’s website, to be accurately described as Made in the USA, a product must not only be assembled within the country, but “all or virtually all made in the U.S.” The site continues, “‘All or virtually all’ means that all significant parts and processing that go into the product must be of U.S. origin. That is, the product should contain no – or negligible – foreign content.” The designation applies to claims both explicit, i.e.. Made in the USA, and implied, like “built in America.” The FTC has, in recent years, forced some companies to clarify those implied statements by adding statements like “Built in America from Imported Parts” or by asking them to specify the percentage of parts in the product that are American vs. foreign.
COMPLYING WITH MADE IN THE USA STANDARDS While there is no actual “certification” required from the FTC that a product is American made, the FTC does have the authority to punish companies who market their products as American made if they are not. In fact, the FTC recently finalized a new rule that will crack down on marketers who make false, unqualified claims that their products are Made in the USA. 62 • Fall 2021
On July 1, 2021, the FTC released a statement from FTC Commissioner Rohit Chopra, Chair Lina Khan and Commissioner Rebecca Kelly Slaughter, which said, “Today, the Commission has voted to adopt a final Made in USA rule. The final rule reflects a substantial number of comments from the public, which overwhelmingly supported this policy change by the Commission. By formally codifying this rule, the Commission has activated a broader range of remedies, including the ability to seek redress, damages, penalties, and other relief from those who lie about a Made in USA label. The rule will especially benefit small businesses that rely on the Made in USA label but lack the resources to defend themselves from imitators.” Dynabrade, a Clarence, NY, manufacturer of high-end abrasive power tools and vacuum systems, has many products that it markets as Made in the USA. “Made in the USA is very important to us as a company,” says Director of Marketing Ronald Veiders. “Being a local company and servicing distributors in the USA and globally for over 50 years, the ideal of a product being designed, engineered, manufactured and assembled in the USA is still highly sought after, and has high regard. All of our tools fit within this production model. We also pride ourselves that while we have some automated processes in our facility, our assembly process is by hand by our employees, and every tool is tested by a Dynabrade employee to ensure it operates appropriately. It’s that craftsmanship and attention to detail that goes into every Dynabrade tool we offer.” Veiders notes that some of its product lines, like its Dynabrade NITRO series of tools, do not qualify as Made in the USA and so the company is very careful to never put a Made in the USA claim on any of those lines or products.
