CE Pro April 2021 - 74

CHANNEL
TIPS

EDUCATION & EVENTS

DISTRIBUTION

Sales of Networking Gear Rise 200%
PowerHouse Alliance distributor group reports skyrocketing sales of home networking equipment by its members in 2020 driven by WFH needs. BY JASON KNOTT
IKELY DRIVEN by the work
from home and distance-learning trends, the 11 members of
the PowerHouse Alliance distribution
group report that sales of networking gear
rose by more than 200% in 2020. Heading into 2021, the alliance members predict home networks and 4K/8K displays
will be the hottest-selling items.
Those are just two data points revealed
in a new white paper, " A Landscape of
Change: Charting New Territory in the
Custom Installation Industry, " from the
PowerHouse Alliance.
The white paper discusses analysis of
sales data and member survey data, charting product trends, emerging technologies, and other projections for 2021.
" Dealers have been on the front line
of home technology as this industry was
reshaped this year. With a birds-eye view
of trends and transformations through
our 55 distributor locations across the
country, the PowerHouse Alliance distributor members adjusted to provide
unparalleled support dealers over the last
year, " says PowerHouse Alliance executive
director Dennis Holzer. " To put together
this white paper, we surveyed the group
and analyzed our sales data from the start
of the year through the end of 2020 to
chart the industry's evolution and compile
our projections for 2021. "
The white paper outlines various data
points in key product categories; this year,
85% of PowerHouse Alliance distributor
members ranked the TV/display as one of
the top-selling categories in Q2 2020, fol-

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PowerHouse Alliance members expect network sales to continue surging in 2021.

lowed by audio and networking.
Through the year, homeowners' new
needs for working and learning at home
changed demand, shifting the top-selling
product categories across the country, the
distributor notes.
The growth of the networking product
category began prior to the pandemic as
more homes were adopting smart home
devices and choosing streaming services for entertainment. Then, as working
and learning at home became the norm,
demand from homeowners for better networking systems: The PowerHouse Alliance reports over 200% growth in networking sales through 2020. Members
expect this trend to continue into 2021
due to the pandemic.
Survey results show nearly 54% anticipate home networking to grow in 2021,
followed by 4K displays and home control/automation at 15% apiece as growth
drivers this year.
With the rapid changes to top-selling
products, the data from members shows

that dealers adjusted to take on new categories through the year. The white paper
details the findings from the distributor
members and shares valuable insights for
dealers to take on new categories, connect
with potential clients, offer upgrades, and
other practices to advance their business.
Along with the growth in networking,
audio, and display categories in 2021, the
group analyzes other upcoming trends
and emerging technologies that dealers
should plan to take on.
" Adapting to new technologies and
trends is a regular practice for most dealers, but the year ahead is different than
most, " says Holzer. " Manufacturers have
done a great job at keeping up with spikes
in demand, and the PowerHouse Alliance
is a partner for dealers in seizing these
product opportunities. "
Go to cepro.com to hear much more
from Holzer about the 2021 outlook and
trends forecast by its members in a CE
Pro Podcast episode that delves into the
PowerHouse research.
www.cepro.com

3/10/21 3:37 PM

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CE Pro April 2021

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