CMG’s Q2 2024 Pulse of Lighting Report: Key Insights
David Gordon and the Channel Marketing Group (CMG), in collaboration with William Blair, conducted their quarterly survey between 13-21 June, 2024, involving 205 individuals from the electrical distribution and lighting manufacturing sectors.
The thing that makes Gordon’s data so valuable is that he surveys electrical distributors, lighting reps, and lighting manufacturers and then contrasts the data. You can purchase the full report here.
Below are a few highlights from the survey:
Sales Performance
Distributors reported a small increase in Q2 lighting sales compared to Q2 2023. However, this is a slight decrease from their earlier projection. Notably, 40% of distributors experienced growth exceeding 5%, but that is slightly down from the Q1 number.
Backlog and Project Business
The manufacturer’s backlog trends remained stable. While more OEMs reported that their backlog increased, the decline in backlog indicates that some companies are shipping their backlog, enabling them to recognize previously booked orders.
Price Increases
About half of distributors expect additional price increases, which is far greater than the number of manufacturers who are expecting price increases. Your humble editor finds it fascinating that the organizations (distributors) that receive the price increases are expecting that to happen more than the organizations (OEMs) that issue the price increases.
Future Outlook
Looking ahead to Q3 2024, distributors project a modest sales increase, but it is a small decline from the growth seen in Q2. Feedback highlights a shortage of large projects and ongoing price pressures. Despite this, there is cautious optimism, with many expecting improvements due to seasonal factors and the fulfillment of previously quoted projects.
Buy the full report here.