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ABC and JPMA in Talks to Discuss Merger

Jane Kitchen -- Gifts and Dec, 9/22/2011 12:22:14 PM

Louisville, KY -- The Boards of the All Baby and Child Expo and the Juvenile Products Manufacturers' Assn. are in discussions to merge the two industry groups.

During a press conference at the ABC Expo scheduled for Saturday, September 24th, Kelly Mariotti, former Board member of both ABC and JPMA and long-time industry manufacturer, will moderate a session designed to encourage industry input into the new strategic direction.

Mariotti has resigned her position on both boards and has taken a sabbatical from her position as president of Green Frog Art in order to lead the task group charged with handling the discussions. Mariotti also has a law degree specializing in mergers and acquisitions.

"Nothing has been decided other than that we have two very strong industry associations, and that there are many areas where they overlap," said Mariotti. "This is an excellent opportunity to step back and say ‘This is the state of our industry.'...We want to get industry input in order to create a formula for the best possible structure."

The task group includes members of both Boards, as well as Mike Dwyer, executive director of JPMA and Larry Schur, president of ABC.

"Everything is on the table at this point, and there's unanimity that the best outcome from these discussions will be one, unified voice representing all industry stakeholders," said Dwyer.

Schur had a similar outlook.

"The main reason for all this is to have one industry voice," said Schur. "But there are also quite a few economies of scale, in terms of job responsibilities and finances."

Other goals for a united ABC/JPMA include achieving better industry-wide objectives, creating more valuable programming and improving communication among manufacturers, retailers, consumers and other stakeholders.

"There's an incredible amount of overlap between what the two groups do administratively," said Mariotti. "And there's a very strong common interest at this point."

Mariotti said the same issues top both organizations' lists -- regulatory matters, the economy, and the reduction in the number of retail outlets -- and that the groups feel they can better address those issues with a unified front.

Mariotti said that co-branding is definitely in the works, as both groups have valuable brand recognition. She was also quick to point out that the JPMA is not looking to get back into the trade show business.

She estimates the entire process could take 12 to 18 months, and plans on staying on in her role to ensure a smooth transition even after a merger is complete.

"It won't happen all at once," said Mariotti. "We recognize that this is a transition, and there will be a process of implementation."

The press conference to discuss the plans will take place on Saturday, September 24th at noon in the Media Center at the Kentucky Exposition Center (Room B-104). Comments, questions and feedback from the industry are strongly encouraged.

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