Economic Expansion Slows Down in June
News Article: AV Sales Index Predicts Slower Growth for Pro AV Industry in 2025
The AV industry is bracing for a slower growth rate in 2025, according to the latest forecasts from AVIXA's Industry Outlook and Trends Analysis (IOTA). The AV Sales Index (AVI-S), which measures sales activity in the Pro AV sector, is expected to grow below the average 5-6% growth rate for the industry.
The AV Sales Index, which is part of the Pro AV Business Index report, has been tracking the industry's sales activity since 2020. Before 2023, the index scores were over 60 for most periods, indicating robust sales growth. However, the index has been in the high 50s for the past two years, signalling a slowdown in growth.
The Pro AV Business Index report is based on a research community of industry members that tracks business trends in commercial AV. The report is published by AVIXA, and more information about joining the AVIXA Insights Community can be found at www.avixa.org/AVIP.
The report comprises two diffusion indexes: the AV Sales Index (AVI-S) and the AV Employment Index (AVI-E). The AV Employment Index increased slightly from May, but it is tracking lower from a historical perspective, with a new reading of 55.6. Scores below 60 are more common for the AVI-E, but the new reading is still in the lower end of the range.
The continued strength of the job market may contribute to hiring challenges in any sector, including Pro AV. However, the report suggests a mix of hiring and downsizing in alignment to budgets and project demand in the Pro AV sector.
Challenges for AV providers include inflation, the U.S. political situation, and tariff uncertainties, which have softened the incoming pipeline of work. Despite these challenges, the AV Sales Index and Employment Index are still indicating growth, though at a slower pace.
The Pro AV Business Index report does not provide new information about the challenges facing AV providers, but survey comments suggest that the impacts of each challenge have lessened over the past month or two, even if project delays have surfaced.
In summary, 2025’s AV Sales Index growth is forecasted to be below the historical 5-6% average growth for Pro AV, based on AVIXA’s IOTA and recent business index readings. Despite the challenges, growth remains the norm as customers forge ahead with projects, often accepting the increased costs. The AV industry will need to navigate these headwinds to maintain growth and stay competitive in the years ahead.
[1] AVIXA's Industry Outlook and Trends Analysis (IOTA) and recent market commentary. [2] AVIXA’s recent data from mid-2025 confirms these trends, indicating a difficult environment for Pro AV investment and risk-taking.
- The AV industry's sales growth, as predicted by the AV Sales Index (AVI-S), is forecasted to be below the historical average of 5-6%, which could potentially impact business finance.
- In the context of the Pro AV sector, technology will play a crucial role in navigating the headwinds presented by slower growth, inflation, and other challenges, helping businesses to maintain growth and stay competitive.
