The Advertising Specialty Institute announced this morning that the promotional product industry recorded revenues of $19.6 billion in 2007, a 5.4% increase over the $18.6 billion in sales in 2006. Increased political spending and an increase in marketing dollars flowing away from traditional advertising (TV, radio, newspapers, magazines) and also an increase in spending on nontraditional media (event marketing, online, mobile, video, etc.) were reasons for the increase in sales. “This is the highest industry sales we have recorded and shows continued growth of promotional products over the last 5 years,” says Timothy Andrews, president and CEO of ASI. “The growth reflects continued use of advertising specialties by marketers who want to deliver their brand in a powerful, memorable and cost-effective way.”

Sales figures for 2008 remain optimistic. “When the economy shuts off, we are the first thing (businesses) need. We’re an essential too to help build business,” says Dan Welborne, vice president of the promotional product division of WorkflowOne, a Top 40 distributor that grew its ad specialty business by 50% last year.