Consumer technology distributors report that business conditions seem to be returning to pre-pandemic conditions with some lessons learned – and maybe some new product categories
A return to normalcy. Back to business as usual. No news is good news. Nothing to see here.
After three years of Covid-caused factory and retail store closings, chip shortages, and supply chain disruptions, distributors of consumer technology products report business is slowly returning to pre-pandemic conditions, and look forward to a robust 2023. In other words, the state-of-the distribution business is solid once again.
“We’re getting back to the fundamentals and the basics of the business, the blocking and tackling,” agrees Trevor May, VP of consumer sales & vendor management for D&H Distributing, a 105-year-old, family-held and ESOP distributor of IT and electronics, “that’s becoming more normalized than it was during the pandemic itself when we were thrown into an unprecedented time period in terms of supply chain and the demand cycle. We’re getting back to a normalized situation that looks much more like pre-pandemic.”
“Everybody’s just trying to make sure they focus on the back-to-business fundamentals,” echoes John Yodzis, president and CEO of Dow Technologies, a Tampa, Florida, custom install and after-market auto electronics distributor, “not relying just on a spike of COVID business, really getting back to the fundamentals of what made the CI distribution business what it is and what it was.”
From Tragedy to Triumph
But business isn’t back to normal, necessarily. The pandemic left behind an array of business scars. But distributors TWICE spoke to report they were able to transform the disaster of the pandemic into an opportunity to become stronger and more responsive to their vendors and customers; in other words, what didn’t kill distributors made them stronger.