Electronic Component Distribution News Updates
Molex, a global electronics leader and connectivity innovator, has acquired core technology and intellectual property…
Panduit announced today that its Board of Directors has appointed Shannon McDaniel as its next…
Luke Smith The introduction of any new product line is an exciting prospect. Yet, it’s…
SL Power Electronics (SLPE) has appointed Milexia as UK Distributor for its range of power…
The KATEK group believes in autonomy across its companies, allowing individual leadership to manage each…
ECIA’s Global Industry Practices Committee (GIPC) has taken on the task of modernizing the channel’s…
The electronics industry’s outlook for the rest of the year differs significantly from the overall…
Due to material shortages caused by insufficient semiconductor supply, to date, power management IC (PMIC)…
Supply chain disruption (36%), higher transport costs (27%) and shipping delays (26%) have been the…
Digi-key Electronics has launched its 13th annual DigiWish Giveaway and is playing the role of…
Editor’s note: This is the second article of a two-part series. Ryan Condon Automating tasks…
Amphenol Corporation (NYSE: APH) today announced that it has acquired Halo Technology Limited for approximately…
The Electronic Component Distribution Business is an essential part of the electronics industry.
Distribution companies are often organized in various national and international distribution associations, such as IDEA. Distributors of electronic components are often used as an intermediary between the manufacturer of electronic components and the customer. This could be the case, if the customer’s order volume is too small to be handled by the manufacturer. But there are also other reasons.
In addition to component shipments, distributors often offer value added services, such as assistance in the customer’s design phase, or logistic services.
The service portfolio depends on the distributor’s strategic direction. There are distributors that concentrate on simple fulfillment. They buy components from the manufacturer in bulk and concentrate on re-selling. Others put their focus on value added services. These can be special design tools or design assistance through the distributor’s engineering staff.
However, distributors can also be distinguished by their product portfolio. Companies that offer a big variety of components are often called “broadline distributors”. But this type of business model is not suitable for all market participants. Some have specialized on specific niche products. For example, there are distribution companies that focus specifically on electromechanic components. Since these are often smaller companies, it’s an often more suitable concept, than trying to compete against bigger distributors.
