Promo Insiders: Navigating Industry Shifts With Michelle Chen
Michelle Chen of Fossa Apparel discusses macro forces affecting sourcing and the supply chain, and how she and her team stay in step with consumer and retail trends.
It’s not an easy time to be an importer in the promo industry – from geopolitical conflict and shipping choke points to tariff uncertainty, suppliers have had to be strategic and forward-thinking to tread the shifting sands of sourcing.
“Sourcing has really become a lot more strategic and less transactional,” says Michelle Chen, president of Fremont, CA-based Fossa Apparel (asi/55141), a Counselor Best Place to Work. “Between constantly changing tariffs and freight instability, we have to rethink the order patterns that we carry with the factory, how frequently, the cadence and the quantity, and work more closely with our freight forwarder.”
In this episode of Promo Insiders, Chen talks about sourcing, sustainability and customer purchasing habits – which, even in this era of tightened purse strings, haven’t changed much among their primary end-buyer audiences.
“All this economic pressure and people holding off on buying hasn’t taken the focus away from where we see the big verticals allocating their resources,” she says. “Each one has slightly different needs, but the common thread is they all want product that feels elevated and … lifestyle-driven.”
Key Takeaways
• Suppliers are moving away from transactional ordering to a more hands-on, continuously monitored approach due to tariffs, freight instability and geopolitical shifts.
• Michelle Chen and Fossa Apparel (asi/55141) are managing uncertainty by placing smaller, more frequent orders and balancing domestic versus overseas production based on timing, risk and budget.
• Budget caution and economic uncertainty are extending sales cycles, delaying projects and making forecasting more difficult.
• Meanwhile, clear, early communication about pricing, timelines and risks helps customers plan and manage expectations in an unstable market.
• Across industries like tech and healthcare, there’s strong demand for stylish, lifestyle-driven apparel that transitions from work to everyday use.
• Buyers increasingly expect eco-friendly materials and long-lasting products, alongside responsible sourcing and ESG alignment.
• Capabilities like low minimums, creative decoration, global distribution and agile logistics (often through partnerships) have become even more key to winning business.