By Erika TenEyck, NAED Director of Business Intelligence Programs & Insights
For many leaders in the industry, larger concerns over interest rates, tightening credit, and the state of the residential market continue, but there is still a fair share of positivity by NAED members who have participated in NAED’s latest State of Your Industry. Preliminary results reveal that most respondents expect sales, number of units sold, backlogs, and capital investments to stay the same. While the expected growth for the industry continues to slow, most industry leaders still indicate modest growth for the year.
One consistent concern for NAED members is the workforce, particularly finding qualified employees and wage inflation. In looking ahead to 2024, the October edition of NAED’s Economic and Industry Sector Outlook includes a special report on the labor market. In this exclusive forecast, Labor Titan provides the expected median U.S. market wage increases (by percentage) for the top occupations most often employed by NAED members. For example, wages for sales and related occupations are expected to increase by 3.4% in 2024. The list of occupations and expected increases can help NAED members plan for the next year.
In addition to investing in people, many companies continue to invest in technology for greater operational efficiencies and enhanced customer experiences. Nearly half of all respondents said they would continue to invest in technology at the same levels in Q4. For distributors, 58% noted that their investment would be about the same versus 42% of manufacturers.
Sectors connected to technology continue to see growth and provide great opportunities for NAED members such as data centers. Medical and Education sectors are investing in technology, adding to potential prospects in these areas.
Check out the exclusive labor market report, overall outlook for the economy, and how different sectors are reacting to the ongoing push and pull of key indicators when NAED’s Economic and Industry Sector Outlook is released on Friday, October 27, 2023. It is free to all distributor members courtesy of Schneider Electric and Hubbell, Inc. when you enroll in the annual subscription.
For more information on how to download or purchase NAED’s Economic and Industry Sector Outlook click here or contact NAED’s Member Engagement Team.
Tagged with Economic Outlook, NAED