San Antonio—AHSG/Commercial USA welcomed a record 325 attendees Monday to its biennial member summit. The group themed this year’s event “Beyond the Surface.”
Since the group last met in 2024, AHSG/Commercial USA has expanded significantly. It has added 14 suppliers, 10 technology partners and 91 dealer members.
“None of that happened by accident,” said Brian Preuss, who was named president in May. “In two years, we didn’t just get bigger, we got better.”
Preuss also pointed to the group’s mix of residential and commercial business. AHSG/Commercial USA divides its business roughly evenly between the two segments.
“Diversity is what has helped sustain us and why this conference matters,” Preuss said.
The opening day at JW Marriott San Antonio Hill Country featured several speakers and a vendor trade show.
Economic outlook
Inflation remains elevated and affordability continues to challenge consumers. However, the overall economy continues to grow, according to Tara Bayke, economist and senior consultant for ITR Economics.
Bayke discussed current economic conditions and what businesses can expect in the years ahead.
“We are moving toward normalization of the supply chain,” Bayke said. She presented several graphs showing consumers continue to spend despite higher costs.
“We will continue to see costs rising,” she said. “Prices are up about 3.7% vs. last year; costs won’t rise at the same rate in ’27 as they are today but in ’28 the pressures will rear back up.”
ITR Economics forecasts the consumer price index at 3.4% for 2026. It projects 2.7% for 2027 and 3.9% for 2028.
“Plan for upcoming cost increases,” Bayke said.
She said dealers can protect margins by focusing on product mix, value-added installation and operational efficiency. Those strategies can help businesses avoid competing solely on price.
“We are concerned about ‘profitless prosperity,’ that the increases in prices will erode profitability,” Bayke added. “Margins are shrinking, and companies need to control these costs, pass the costs on.”
ITR Economics has long forecast a significant economic contraction beginning in 2030. Bayke said the downturn could last six years.
She cited several contributing factors, including demographics, health care costs, entitlements, inflation and the U.S. national debt. Bayke said flooring businesses should begin preparing now.
The member summit continues through Tuesday evening.