You Tube

Skip Navigation LinksHome > Industry News
FaceBook Twitter Delicious Digg LinkedIn

Q1 Distributor Sales Increase 6.4%


Data released by ASI today shows that distributor sales grew by 6.4% in Q1 of 2014, the highest quarterly gain since early 2012.

The positive sentiment is underscored by the Counselor Confidence Index (CCI), an indicator designed to measure distributor health. The CCI hit 114 for the first quarter – a record number.

"The first quarter has been outrageous for us," said Howard Schwartz, founder and CEO of HDS Marketing (asi/216807), which recorded nearly 30% growth for the quarter. "Our salespeople have hit the ground running." Certain HDS clients, like those in the industrial sector, are spending a little bit more, but Schwartz also sees the strong quarter as an extension of his company’s continued growth, including 10-15% last year.

More than half (55%) of distributors reported a year-over-year increase in sales in Q1, the highest number of growing distributor firms in nearly two years. Large distributors – companies with more than $1 million in annual sales – fared the best, recording 7.4% growth for the quarter, on average. Mid-sized distributors ($250,000 to $1 million in revenues) averaged 5.4% growth. The smallest distributor firms (less than $250,000) reported an average sales increase of 2.4%.

Overall, distributors are bullish about their prospects for the rest of the year. Two-thirds of survey respondents expect an improvement in sales over 2013. Optimism is strongest among large distributors, with nearly three-quarters predicting an increase. The confidence comes despite a few lingering concerns about the U.S. economy. "We see a fairly steady but slow growth for the remainder of the year," said Gregg Emmer, vice president and chief marketing officer for Kaeser & Blair (asi/238600). The Top 40 firm is up over last year by about 5%, though Emmer notes that the results of this year's midterm elections "could lead to a much stronger finish to the year."

Sponsored By:

Making You Money: What ASI is all about.

Promotional products, also known as ad specialties, make up a $20.5 billion dollar industry and are used by virtually every business in America. Why? Items like mugs, pens and t-shirts are memorable and provide a better cost per impression for advertisers than almost every major marketing effort like prime time TV, magazines and radio.

With so many businesses buying ad specialties there is a huge opportunity for professionals looking to make great money running a promotional products distributorship. It’s easy and inexpensive to get started and you can work from home.

© 2015, The Advertising Specialty Institute®. All Rights Reserved.

  • A business opportunity to reinvent your career in an exciting field
  • Work at home - for yourself - not by yourself
  • Make money selling ad specialties
  • Partner with a time-tested industry leader
  • Get started instantly with all the tools you need