AVIXA Report: March Shows Healthy Demand Despite Increasing Costs

Erin Budnik, AVIXA
(Image credit: AVIXA)

The AV Sales Index (AVI-S) for March increased slightly to 59.5, showing consistency with March 2025. This figure suggests that the underlying demand remains healthy despite the political situation and rising cost concerns.

The most common theme for March by far is increasing costs (21%), including higher prices for AV equipment, components, fuel, shipping, energy, and labor. Many survey respondents explicitly cite inflation, tariffs, and vendor price increases as directly squeezing margins, delaying purchases, or forcing project scaling and longer replacement cycles. Even organizations reporting stable demand note that profitability and budgeting are under pressure.

“Construction projects have dropped off significantly, which is greatly impacting potential projects. It has also resulted in a more competitive bidding space which is driving down potential project margins,” shared an AV integrator in North America.

“Economic conditions affecting our industry are experienced by all of us. Rising fuel costs impact shipping, fleet operation, and personal expense budgets. Equipment and material costs affected by tariffs remain in flux, while our distributors and manufacturers do all that they can to support business opportunities,” shared an AV integrator in Asia-Pacific.

The March AV Employment Index (AVI-E) increased from 52.5 to 55.1 in March. The U.S. labor market rebounded in March 2026, adding jobs at a pace well above expectations after a weak February. However, underlying conditions remain subdued, with slow hiring, easing wage growth, and a shrinking labor force signaling a low hire, low fire environment rather than renewed expansion.

The Pro AV Business Index report is derived from a monthly survey of the AVIXA Insights Community, a research community of industry members that tracks business trends in commercial AV. The report comprises two diffusion indexes: the AV Sales Index (AVI-S) and the AV Employment Index (AVI-E). In each case, an index above 50 indicates an increase in sales or employment activity.

Visit www.avixa.org/AVindex to access the free monthly Pro-AV Business Index reports and learn more about the methodology. For more information about joining the AVIXA Insights Community, visit www.avixa.org/AVIP.

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Erin Budnik is the manager of market insight for AVIXA.