The POS Index is a representation of a significant number of manufacturers POS activity that are mostly engaged in the electronic components industry. Products that will be included in the index are passive/electromechanical in nature, including (but not specific to) commodities such as wire & cable, switches, connectors, circuit protection, electronic hardware, resistors, capacitors, et.al. The index charts POS activity beginning with January of 2019 as its base point and then compares POS by month.
After contemplating POS Index measurements, it was decided to use January of 2019 as the base point. This gives us two plus years of distributor POS activity. The number of manufacturers included in the index has grown to around one hundred companies. Because of the large amount of manufacturers represented, the Budde Marketing POS Index is arguably one of the most complete benchmarks of POS activity at this time.
August 2021 was more of the same as far as POS activity is concerned. This is the sixth straight month where we were significantly ahead of the January 2019 Index base point. The August 2021 index was slightly over July 2021. However, comparing month over month for the past couple of years, this past month was 18% over 2019 and 28% over 2020 since we were still mired in the effects of covid last August. Also, the first eight months of 2021 are cumulatively 21% ahead of the same time period in 2020.
We continue to see a very strong recovery and predict that it will continue throughout the end of this year. Budde Marketing’s DTAM report is available for anyone wishing to look at larger trends in the industry. If interested, please contact [email protected] to purchase a copy.