ASI Releases 2025 Counselor State of the Industry Report: Promo Sales, Tariffs, Tech and Market Trends

News provided by

Aug 07, 2025, 17:34 ET

TREVOSE, Pa., Aug. 7, 2025 /PRNewswire/ -- The Advertising Specialty Institute^® (ASI), the leading authority in the $26.6 billion promotional products industry, today published the 2025 Counselor State of the Industry, the industry's most comprehensive research report analyzing key market trends, economic challenges, and technology innovation in promo.

Dual graphic from ASI’s 2025 Counselor State of the Industry report. One chart shows that 50% of extra-large promotional product distributors with $5M+ in annual sales use AI. The second chart shows that among all distributors using AI, the most common application is writing creative copy.

The 48th annual report reveals how suppliers and distributors are adapting to a volatile landscape defined by supply chain issues, rising tariffs and increasing cybersecurity threats. Despite average sales declines of 3.6% in Q1 and 3.2% in Q2, many firms are responding with pricing strategies, diversified sourcing and new tech offerings.

Key 2025 Promo Industry Trends:

Price Pressure from Tariffs: 70% of suppliers raised prices in Q2 due to import taxes.
Shift to Company Stores: 46% of distributors now offer company stores—up sharply from last year.
Rise in U.S. Sourcing: Increased demand for Made-in-USA promo items as firms reduce reliance on Chinese imports.
Cybersecurity Risks Grow: 40% of top promo companies experienced cyberattacks; ransomware is a top concern for 2026.
AI Adoption on the Rise: Distributors are exploring AI to improve operations, despite integration challenges.
Industry Consolidation: Private equity-driven M&A activity, including S&S Activewear's acquisition of alphabroder, is reshaping the supplier landscape.

"This year's data shows an industry moving forward through innovation, resilience and smart strategy," said Timothy M. Andrews, ASI President and CEO. "Our report delivers the tools and insights that help promo businesses grow stronger, even in uncertain times."

For the first time, ASI analyzed revenue and stock performance of Counselor Top 40 companies by revenue, comparing public, private equity-backed, and privately held firms to track business performance and leadership strategies.

"The 2025 State of the Industry provides the benchmarking data every promo business needs to make smarter decisions in a rapidly evolving market," said Nate Kucsma, ASI's Senior Executive Director of Research.

The full report is available now at asicentral.com/research and asicentral.com/news.

About ASI
The Advertising Specialty Institute^® (ASI) is the promotional products industry's largest membership organization, serving over 25,000 suppliers and distributors. ASI provides industry-leading news, research, education, media and technology tools like ESP^® to help businesses thrive worldwide.

SOURCE Advertising Specialty Institute