Major channel technology provider D&H Distributing has experienced double-digit overall growth in the past calendar year, as it validates its position as one of the top distributors in the supply chain. Due to expanded investments made to generate growth for its partners in the AV marketplace, plus strategic allocation of products that the distributor has coordinated with its manufacturers, sales increases in key D&H categories outpaced general market growth.
Sales of Pro AV solutions at D&H increased 46 percent in calendar year 2021, and the company expects to see similar strong growth in 2022. D&H has increased its investments across the board in new personnel for its sales organization, resulting in an expansion of its partner base at a rapid monthly pace. These new assets will help D&H better meet the needs of integrators, even as the AV market sees significant consolidation among some of its larger distributors.
Pro AV, videoconferencing, and collaboration continue to play a key role in outfitting new hybrid environments, allowing integrators to deploy large-scale commercial display installations, or to upgrade videoconferencing spaces and huddle areas. As these trends unfolded in 2021, D&H saw 50 percent year-over-year or greater gains in critical areas like commercial displays and unified communications, as well as XaaS (Everything as a Service) solutions as the new subscription-based technology consumption model came more into prominence. D&H predicts the new year will be about ProAV and video collaboration, with these categories going hand-in-hand in the home office, classroom, and boardroom.
[D&H's Peter Hurley on Driving New Opportunities in Pro AV]
D&H also saw strong growth in interactive flat panel displays at a rate of 139 percent in 2021. This category is a major focus of the distributor’s AV offering, helping integrators find new opportunities in verticals like education or settings like corporate meeting rooms. Categories such as televisions and accessories, virtual reality solutions, and home/portable audio also saw 50 percent YoY growth. Sales of video and sound cards, surveillance/IP security, networking, power products, and mounts/brackets increased more than 25 percent YoY.
D&H’s ProAV business unit invites manufacturers to be part of its end-to-end solution strategy, supplemented by D&H specialists with real-world market expertise. These initiatives help partners assemble solutions such as LED video walls, digital signage displays, desktop displays, in-room and desktop collaboration, cloud-based collaboration suites, professional audio, wireless/touchless devices, digital signage applications and hardware, plus mounts, kiosks, and carts into comprehensive, higher margin, turnkey deployments.
The company expects to see 10 percent overall increases in 2022 based on its current contracts, with a goal to grow its core categories and manufacturer partnerships, further expand its offerings, and increase operational efficiencies. In 2021, D&H added top-flight manufacturer partners including Avaya, Jabra, Yealink, and Ergotron.
D&H’s revenues exceeded $5 billion in calendar year 2021, allowing the organization to hit a coveted milestone. It broke into the top 100 on Forbes' List of America's Largest Private Companies, surpassing household name corporations like Hallmark Cards, E&J Gallo Winery, and Bose to land at #84. D&H is the fourth-highest ranked company on the list in its home state of Pennsylvania.
“D&H has devoted resources and investments toward enhancing its offerings for the AV community as trends like video collaboration continue to evolve in our changing industry,” said Peter Hurley, director of D&H’s ProAV and collaboration practice. “As we watch major consolidation happen in the distribution sector, D&H Distributing wants integrators and system contractors to know that we’re here to meet their needs. We’ll continue to enhance our commitment and our offering through extensive support and a wide-ranging product assortment, serving as a one-stop supplier of end-to-end solutions for the industry.”
