1/27/2015 8:43:00 PM
FIN SURVEY
The FIN Survey found fasteners predominately available in 2014, with 62% of distributors claiming no problems obtaining fasteners, down from 82% claiming no difficulty the previous year.
About 31% reported moderate difficulty obtaining certain fasteners in 2014 — more than double last year’s rate of 14% — while 7% of distributors had significant difficulty.
For the second straight year, distributor gross margins improved, rising to an average of 42.2% in 2014 compared to 38% in 2013 and 36% in 2012.
Gross margins reported by distributor respondents to the FIN Survey ranged from 12% to 60%.
Consolidations continued to weigh on survey respondents.
“Consolidations will eliminate distributor options for suppliers. A continuing storm cloud a coming.”
“Worried about one major importer being the only big player left in the market.”
“The small distributors are going, going, gone to consolidation,” commented one distributor. “Just like the corner grocery store is gone.”
Distributors were the largest group of FIN Survey respondents, comprising 47% of the total.
Importers comprised 11% of survey participants.
Related Stories:
• 2014 Brings Solid Returns for Fastener Companies
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