Electronic component buyers have not had it easy over the past two years, and their travails are highlighted in Farnell’s first-ever Buyer Survey.
Product shortages and pricing dominate with over half of the respondents cited product availability as the primary challenge, largely due to a global shortage of electronic components.
This scarcity led to allocation issues and delays, forcing buyers to navigate production and maintenance difficulties.
Suppliers with stock took advantage of the situation by raising prices, further complicating buyers’ struggles.
As supply chains stabilise, pricing and efficiency challenges are expected to become more significant.
Price emerged as the second largest challenge, with 21% of respondents identifying it as their top concern. Buyers faced financial strain due to inflated costs amid high demand and low supply, with suppliers possibly increasing prices because of limited inventory. While availability might improve, pricing challenges could persist, especially if inflation continues.
The survey was designed to provide in-depth insights into the priorities and preferences of buyers across the engineering and electronics sectors.
With over 900 participants, the survey results shed light on the factors that drive supplier selection, loyalty, and purchasing decisions within the industry.
Daniel Ford, Vice President Sales EMEA, Farnell, stated “We’re thrilled by the responses to our first Buyer Survey. The findings are invaluable in helping us enhance our offerings and align them with our customers’ needs. This feedback allows us to continue improving our services and bring even more value to our partners in the electronics industry.”
Based on the survey’s findings, Farnell has published a comprehensive whitepaper titled ‘Shaping the Procurement Future.’ This resource serves as a guide for buyers navigating today’s dynamic market, addressing the challenges and trends that impact the process of sourcing electronic components.
The whitepaper is now available to download on Farnell’s website, offering practical insights and strategies for electronics buyers and industry professionals.
There is now a high level of autonomy that buyers enjoy indicating a shift toward more self-directed procurement processes, and the limited use of automation in purchasing workflows suggests significant opportunities for increased efficiency through technology adoption.
Comparison shopping is widespread, with 59% of buyers requesting quotes from three or more distributors before making a purchase. In contrast, only 10% rely on a single quote, highlighting that brand loyalty is rare unless a distributor consistently delivers the best pricing and availability.
