Second Half US B2B Technology Channel Sales Expected to Grow 3% Year Over Year

2022 revenue sales forecasted to be up 8% vs. 2021, reports NPD

PORT WASHINGTON, N.Y., Sept. 14, 2022 /PRNewswire-PRWeb/ -- According to The NPD Group, which recently merged with Information Resources, Inc. (IRI®), to create a leading global technology, analytics and data provider, the U.S. B2B technology reseller channel saw strong growth in the first half of 2022 with year over year revenue sales up 16%. While momentum is expected to slow down in the second half to 3% year over year, NPD is forecasting 2022 will end up 8% compared to 2021.

The first half saw year over year revenue growth in hardware (up 15%), software (up 17%), and cloud (up 37%). IT hardware showed sustained demand with notebook revenue up 20%, desktops up 23%, and monitors up 63%. In software, gateway and firewall lead growth with revenue growth of 32%, followed by security information and event management up 28%. As pandemic conditions continued to recede and supply chains began showing modest improvement, growth was also recorded in 16 of the 20 sector verticals, according to NPD's Vertical Reseller Tracking data.

In the back half of the year, growth in cloud infrastructure as a service (IaaS) and platform as a service (PaaS) is expected to be a primary channel driver with demand increasing as cloud adoption continues to expand in midsize and enterprise businesses. In fact, cloud revenue in second half 2022 will be up 28% versus the same period in 2021, which exceeds expectations for hardware and software growth for the same period.

"Revenue growth will remain primarily due to higher average sales prices, despite lower overall unit volumes," said Mike Crosby, executive director and industry analyst for NPD. "While current projects are not likely to be disrupted despite ongoing inflationary pressures, the risk of recession may bring added scrutiny to IT investment in 2023."

About The NPD Group
NPD is a global market information company offering data, industry expertise, and prescriptive analytics to help our clients understand today's retail landscape and prepare for the future. Over 2,000 companies worldwide rely on us to help them measure, predict, and improve performance across all channels, including brick-and-mortar, e-commerce, and B2B. We have services in 21 countries worldwide, with operations spanning the Americas, Europe, and APAC. Practice areas include apparel, appliances, automotive, beauty, books, B2B technology, consumer technology, e-commerce, fashion accessories, food consumption, foodservice, footwear, home, home improvement, juvenile products, media entertainment, mobile, office supplies, retail, sports, toys, and video games. For more information, visit npd.com. Follow us on Twitter: @npdgroup.

Media Contact

Megan Scott, The NPD Group, 516.625.7516, [email protected]

SOURCE The NPD Group