Research August 29, 2025
Infographic: Supplier Relations in the Canadian Promo Industry
Nearly all of Canada’s distributors are concerned about suppliers raising prices due to tariffs and other inflationary factors. Meanwhile, distributors – particularly large ones – have increased their sourcing from outside North America.
Key Takeaways
• A majority of Canadian distributors are concerned about rising supplier prices driven by economic and inflationary pressures.
• Distributors are closely monitoring the impact of tariffs on pricing and buyer behavior, and many are choosing to stick with trusted suppliers
Price increases are an ongoing concern for Canadian distributors, according to State of the Industry data from ASI Research. Nearly all distributors – 96% – say they’re worried about suppliers increasing prices due to economic and inflationary factors.
In addition, a comparable percentage of distributors say they’re monitoring the impacts of tariffs on both prices and business activity among end-buyers, which could negatively affect promo spend.
“We’ve noticed increases in suppliers’ prices,” says Mel Sibbitt, president and CEO of Two Crazy Ladies (asi/347888), which has locations in Toronto and Victoria, BC. “Clients may order a lower quantity because they have a set amount available for budget.”
Meanwhile, the number of orders that required a quick five-day-or-fewer turnaround ticked up between 2023 and 2024 to 32%, while fewer distributors say they increased the number of suppliers they worked with last year.
“We’re sticking with our preferred vendors, starting with Canadian, then American, then overseas,” says Sibbitt. “We have excellent relationships with our suppliers. They’re all keeping us up-to-date as much as possible with information on tariffs and price changes.”
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