Significant Price Increases Are Coming in 2022
As we embark on our third year of a global pandemic, our supply chain is being tested and in many areas it is failing. Costs of shipping, raw materials, labor, energy, etc. all have spiked. It is natural to finally expect to see these costs flow through to the enduser in 2022 prices will increase. Many manufacturers have let us know their expected increase of their list prices. Many others have not notified us but will spring this on us with very little time to warn you, our customers.
- Global import price ▲11% from now till 2023.
- Gas prices raise 50% as of November 2021
- More people are at home ordering online.
- Shortage of 800,000 truck drivers in USA as of October 2021
- Surge in container freight rates
What happens : A part or material in short supply increases in cost to the manufacturer per unit. This cost increase is then passed down to the consumer in the form of increased consumer prices.
Plastic shortages – used for the body or casing of things like transmitters, lighting heads, most DSLR camera bodies made from polycarbonate etc.
Aluminum Shortages – used for tripods, gear heads, view cameras, technical cameras, etc.
Lithium Ion Battery Cells Shortages – used for batteries for DSLR cameras and lighting equipment etc.
Raw Material Cost Increase
- Copper – ▲55% | 2020-2021
- Aluminum – ▲28% | 2020-2021
- Steel – ▲100% | March 2020 to July 2021
- Semiconductors – ▲10-40% | 2020-2021
Rising Wages and Energy Costs
What happens : Rising wages and energy costs increase the cost for a business to sustain its employee base and keep offices and stores open. This cost is then passed down to the consumer.
Relevant Stats 2020-2021
- Wage Increases – ▲3%
- Energy Price Increases – ▲30%
All of this adds up to cost increases, often across the board, in many industries. The photography industry will react as well. Already, we have been advised of price increases from numerous manufacturers. Buying in 2021 for any products listed below is guaranteed to be less expensive if purchased now.