AVIXA Report: Industry Sees Resilient Demand While Reducing Staff
Tariff pressure continues to negatively impact purchasing and project scope.
The AV Sales Index (AVI-S) for June jumped from 53.1 to 60.4. For June, 37% of respondents outside of North America reported increase in sales, while only 19% did so in May. This accounts for the large increase in the overall AVI-S. Live events and data centers remain strong, keeping the industry in a growth phase even with the uncertain economy.
The strongest negative factor affecting sales has been ongoing tariff pressure on AV hardware and components. The industry is reporting higher costs for displays, cameras, lighting, and computing products, causing some organizations to delay purchases or reconsider project scope.
“Still seeing a big slump in corporate AV and hospitality. Data center business is still booming,” shared an AV integrator in North America.
The June AV Employment Index (AVI-E) dropped two points to 51.4. Some respondents say they are under budget constraints that restrict new hiring or even loss of staff that positions will not be refilled.
The United States added only 57,000 non-farm jobs in June, below expectations and down from a revised 129,000 in May. Job gains continued in professional and business services, social assistance, and health care, while leisure and hospitality lost jobs.
The Pro AV Business Index report is derived from a monthly survey of the AVIXA Insights Community, a research community of industry members that tracks business trends in commercial AV. The report comprises two diffusion indexes: the AV Sales Index (AVI-S) and the AV Employment Index (AVI-E). In each case, an index above 50 indicates an increase in sales or employment activity.
Visit www.avixa.org/AVindex to access the free monthly Pro-AV Business Index reports and learn more about the methodology. For more information about joining the AVIXA Insights Community, visit www.avixa.org/AVIP.
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Erin Budnik has 20 years of experience in market intelligence. For the past five years, she has been managing research projects for AVIXA. This research includes following AV trends, buying habits and market opportunities within the AV industry. Budnik also manages AVIXA's Insights community where she collects both quantitative and qualitative feedback from AVIXA members.
