Introduction

The North American switch market slipped 1% in sales dollars while the relay market fell 6% in 2007 compared to 2006. Relay average selling price (ASP) and average booking prices (ABP) were unchanged and down 12% respectively while switch ASP slid 1% and ABP 3%. The following recaps each market for 2007 and is based on data collected from manufacturers participating in Switch Tracks and the Relay Report market information services.

Overall Switch Sales and Booking Trends

The graph below shows total quarterly indexed sales and bookings in dollars and units for the reported data since Q1 CY 2006. For sales dollars Q4 was the worst period of the year but better than Q4 of 2006. Sales and booking units have generally improved since their low in Q4 of 2006. Booking dollars have settled to their lowest level in two years.

Overall Switch Market Price Trends

For the period, booking prices peaked in Q4 of 2006 and have generally declined since then as booked dollars fell and units rose. For the past two years selling prices were at or below booking prices. In Q4 of 2007 both the ASP and ABP were about 5% higher than Q1 of 2003.

Performance by Switch Type

Switch Tracks separates switches into eight types. The table below shows year over year growth rates for sales and booking dollars, units, and average prices by switch type.

The year finished with a slight 1% slip in sales dollars and ASP with constant unit volume. Sales dollars were down in six of eight groups and nearly offset by growth in slide and more importantly tact switches. Unit decliners also out number those that improved but the growth in tact units nearly equaled the losses in other types. ASPs rose in five of eight groups but were pulled down by push button declines and a mix shift toward more lower priced tact switch units.

Sales and Booking Growth by Switch Type

Year-end total bookings contrasted to 2006 shows significant losses in total dollars, units, and ABP. Booked dollars were off in all categories except slide switches. Units were similar except toggle and slide switches gained while the others groups lost ground. Booking prices were also down in six of eight sets.

Overall Relay Sales and Booking Trends

The graph below shows total quarterly relay sales and bookings in dollars and units for reported data. Sales and bookings have generally trended lower over the past 8 quarters. Sales dollars and units were at highs for 2007 in Q1 of and fell to a low in Q4. Booking dollars also set an annual low in the Q4 of 2007. Booked units came down a bit from Q3 but remain slightly above Q2’s low point.

Overall Relay Market Price Trends

The overall selling price rose to an eight quarter high from Q3’s period low. The ABP dropped below the ASP to a level last seen in Q4 a year ago. This can be seen in the Total Relay Price Index graph.

Performance by Relay Type

The Relay Report separates relays into two types, electromechanical, and solid state. The table below shows year over year growth rates for sales and booking dollars, units, and average prices by relay type.

Sales and Booking Growth by Relay Type

Year over year comparison of sales shows significant declines in dollars and units for electromechanical relays. The total average selling price was unchanged with slight increase for EMRs and decrease for SSRs. Total booking units were up 3% with the 26% gain in SSRs having little effect on the 3% increase of EMRs. Booking dollars fell 9% for EMR’s and just under that in total. The ABP lost ground for both types and in total.