Online buying sees growth
Staff -- Purchasing, 4/20/2006
Sales transactions via the Web are still a small portion of the distribution industry's sales, generating as little as 1% and as much as 47% of total sales, according to Purchasing's survey, although more distributors are offering online buying this year.
Catalog distributors report some of the strongest sales via the Web. Digi-Key says 47% of its sales are derived from the Internet, followed by Mouser with 28% coming from Web sales and Allied with 18% from online buying. Others that reported strong online buying include Cumberland, Hughes-Peters, and JRH Electronics.
Of the top 75 distributors, 56 offer online buying, up from 39 distributors in 2004. Eighteen of the top distributors reported double-digit sales via the Web, which is up from nine in 2004.
Many distributors primarily use their websites to provide product information to their customers. Over the past few years several of them—including Allied, Arrow, Avnet, and Newark InOne—have added component data on the status of compliant products to the European Union's Restriction on the use of Hazardous Substances (RoHS) directive, which comes into effect in July 2006. The RoHS directive bans the use of lead and other substances in equipment sold in Europe.
Many of these sites also include knowledge centers about emerging environmental directives as well as serve as a clearinghouse for lead-free and RoHS-compliant parts. This is becoming a huge problem as more component suppliers convert their product lines to RoHS-compliant and/or lead-free versions.
















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