It was a decade ago when the global recession hits Europe but the economy is now back on its feet. The 2016 GDP growth according to the IMF or International Monetary Fund has increased to 1.9 per cent from 1.5 per cent of the previous year. In fact, the big players in the Europe including the Netherlands, Germany, United Kingdom, Spain and France have seen a boost in their GDP by more than 1.1 per cent. Based on the Purchasing Managers’ Index of HIS Markit, a research firm, manufacturing industry experienced a boom because orders are coming in the fastest rate recorded since the year 2011. The trend is also increasing for the manufacturing of promotional merchandise in Australia.
In Europe, the unemployment rate has been reduced to 9.3 per cent and it has reached its lowest for the past eight years. Factories all over the continent are increasing their prices thus the European Central Bank has announced that they are planning to make the inflation reach the 2 per cent ceiling which is their target. For countries not included in the Eurozone such as Russia, their GDP growth is expected to increase to 1.4 per cent in the previous year.
Though there may have been some issues with politics in Europe, the promotional merchandise industry is as healthy as before. The PSI Industry Barometer showed that the overall revenue have increases in the last two years. The barometer is used to measure the latest state as well as trends of the industry. For the first three months of 2016, suppliers revealed that their sales have increased to 68 per cent compared to 62 per cent in the previous year. The distributors, on the other hand, experienced a sales increase of 59 per cent compared to 49 per cent from the previous year.
Lynka is a promotional merchandise distributor based in Poland. According to its CEO, John Lynch, the past few years have been great because they decided to diversify their supply chain. Their export sales were 3 per cent to begin with but it has increased to 80 per cent. This goes to show that promotional merchandise in Australia as well as other countries has a bright future ahead.