Top 20 Promo Terms New Distributors Should Know

By Amanda Smith 

Many new distributors enter the world of promotional products knowing there’s a big opportunity for their business, only to realize there’s basically a whole new language to learn.

Between acronyms, pricing structures and production jargon, promo industry terms can sound confusing at first. That’s why understanding promo distributor terminology is one of the most important promo business basics for getting started.

This guide is your promo lingo cheat sheet – a clear, practical breakdown of the most common terms you’ll hear when selling promotional products. Whether you’re launching a side hustle or expanding an existing business, this glossary is designed specifically for promotional products for beginners.

Let’s get fluent in promo.

1. ASI
A membership organization that supports businesses in the promotional products industry. ASI® connects promo distributors, suppliers and decorators, providing access, credibility and tools designed to help professionals succeed in selling promotional products.

2. Promo Distributor
The professional who sells promotional products to businesses and organizations. Promo distributors guide clients, source products, manage orders and deliver branded solutions.

3. Promo Supplier
Also known as vendors. Promo suppliers manufacture or stock promotional products. Distributors order from suppliers, who typically ship products directly to the end-buyer.

4. Promotional Products
Also called swag, giveaways or branded merch. Promotional products are useful items customized with a logo and used as a form of advertising and brand promotion.

5. End-Buyer
Your customer – the business or organization placing the order. Examples include schools, hospitals, nonprofits and corporate clients.

6. End-User
The person who actually receives and uses the promotional product. While they may not place the order, their satisfaction is what matters most and a key reason why product quality is important.

7. MOQ (Minimum Order Quantity)
MOQ in promotional products refers to the smallest number of units a supplier requires for an order. MOQs vary by product and decoration method and can impact pricing and product selection.

8. EQP (End Quantity Pricing)
Essentially, the more units ordered, the lower the price per unit. Understanding EQP helps distributors explain how higher quantities can reduce overall costs for clients.

9. List Pricing
The supplier’s published price before any discounts are applied. List pricing is often the starting point before EQP, distributor pricing or special offers lower the final cost.

10. Net Pricing
The discounted price a distributor pays the supplier, before adding markup. Net pricing is a key part of understanding promotional products pricing terms.

11. Decorator
A company or individual that applies logos or artwork to blank products using techniques like screen printing, embroidery, laser engraving or heat transfer.

12. Setup Charge
A one-time fee suppliers charge to prepare a product for decoration, such as creating screens or embroidery files. Setup charges are common in promotional products pricing terms.

13. Run Charge
A per-unit fee applied for additional decoration complexity, like extra colors, imprint locations or personalization.

14. Hard Goods
Non-apparel promotional items, including drinkware, tech accessories, bags, pens and office products.

15. Co-Branding
Adding your client’s logo alongside a well-known retail brand. Co-branding increases perceived value and helps elevate promotional campaigns.

16. Drop-Shipping
When a supplier ships promotional products directly to your customer instead of sending them to you first. Drop-shipping simplifies logistics and saves time.

17. Fulfillment
The process of storing, packing and shipping products to end-buyers. In the promo industry, fulfillment is typically handled by suppliers.

18. Kitting
Assembling multiple promotional products into one packaged set (a “kit”) delivered together. Kitting is popular for onboarding, events and direct mail campaigns.

19. Spec Sample
A physical sample decorated with a client’s logo to demonstrate the final look and quality before placing a full order.

20. Virtual Sample
A digital mockup showing how a logo or design will appear on a product before production begins.

Why Knowing Promo Terms Matters

Selling promotional products doesn’t require more staff or more equipment – but it does require understanding the language. Once you’re comfortable with promo industry terms, conversations with suppliers feel easier, pricing discussions become clearer and clients see you as a credible partner.

Mastering these promo business basics helps you move faster, sell smarter and grow with confidence. And when you understand the terminology, selling promotional products stops feeling overwhelming — and starts feeling like a real business opportunity.

Ready to put your business on the path to promo success? ASI has all the tools and support you need. Get started today.