Key takeaways:

• HVAC parts are hard to find due to supply chain disruptions. Port congestion, labor shortages, high demand for raw materials, and tariffs are only some of the factors that affect global supply chains.
• It’s time to improve your procurement process. Strategies like diversification and pre-ordering can make a difference.
• Raiven gives you access to a marketplace with industry-leading suppliers offering HVAC products at discounted prices. This gives our members a significant advantage when navigating the current supply chain.

Are you dealing with HVAC backorders? You’re not alone. Ongoing supply chain challenges have made it harder for contractors to obtain the necessary equipment.

Waiting on parts means longer project timelines — and often, paying more to get something that ships quickly.

Delays affect both your customers and your bottom line. But it doesn’t have to be that way. The current HVAC equipment shortage could be a sign that you need to rethink your approach to buying.

Why Are HVAC Parts So Hard to Find?

What’s really behind HVAC equipment shortages? It turns out there is a combination of several factors brewing the perfect storm:

• Supply chains are disrupted on a global scale. As more goods ship, many ports experience congestion, which can worsen due to labor shortages, local conflicts, or extreme weather events. Some U.S. ports are currently making ships wait more than 90 hours before they can berth!
• Labor shortages exist outside of ports. Freight drivers are aging, which creates a shortage that could double by 2028.
• Due to growth in several industries, raw materials are in high demand. Things are improving, but 11% of U.S. manufacturers still report raw material shortages. For HVAC manufacturers that need metal or chemicals to make refrigerant gases, these shortages can translate to delays in production.
• Tariffs are creating an uncertain environment for global trade. With more than two-thirds of HVAC products using components from Mexico, China, or Canada, higher taxes on imports mean many trade contractors are favoring domestic manufacturers. Delays can happen as these manufacturers amp up production to meet the demand.
• Let’s face it: the HVAC industry is highly seasonal. Customers are far more likely to replace their HVAC unit in the summer, leading to higher demand and longer delays during that season.
• The HVAC industry recently went through a major change with new refrigerant requirements. Manufacturers have to adapt to switch to new products. Sourcing parts for older units will become increasingly challenging, while costs are up for HVAC units that meet these new refrigerant standards.

How Contractors Can Overcome HVAC Equipment Shortage

Keep your business growing and limit the impact of delays and higher prices with the right HVAC buying strategies.

Diversification and Redundancy

Depending on a single supplier makes you vulnerable. What if their prices rise or a part goes out of stock?

Pivoting to a different supplier at the last minute isn’t ideal – you have to vet them, compare prices, and ensure the alternative meets your project’s requirements.

The solution is to build a supply chain that keeps you connected to several suppliers. This allows you to be flexible, shop around, and always get the best prices and shipping terms.

Get started by creating a list of pre-vetted suppliers. You should also look for alternatives for the products you use the most.

Pre-Ordering

Are you waiting six months or more for some HVAC units and replacement parts? The solution is simple: Ordering in advance.

How do you know what to stock up on? You can’t predict every HVAC product, and you’ll need months in advance, but you can spot trends with predictive inventory management. Historical data can reveal local and seasonal trends for the products you’re likely to need (look into AI solutions – predictive analytics is something AI excels at!).

Examples of common supplies to pre-order and keep in stock include air filters, refrigerant gases, adhesives, ductwork, as well as capacitors and fan motors in common sizes.

For these HVAC supplies you’re most likely to use, bulk buying can make sense:

• You can order supplies in bulk when prices drop.
• Placing a large order commands attention from suppliers, putting you in a position to negotiate a discount or get faster shipping.

Better Communication With HVAC Suppliers

Stay in touch with your reps. Communicate about your upcoming needs, ask about inventory levels, and keep up with pricing trends. Your reps can help you pinpoint the best time to order before something goes out of stock or increases in price.

Technology is making this easier. The supply chain is increasingly connected and AI-powered, which allows players to share data in real time for better visibility into inventory levels and supply chain delays.

Investing in modern buying solutions that incorporate data from your suppliers can quickly turn into a competitive advantage!

How Raiven Helps Contractors Access Critical HVAC Equipment

Raiven brings together more than 2,500 contractors and suppliers in the trades. It’s a network – and a convenient marketplace that gives you access to industry-leading suppliers.

• Raiven vets suppliers. If a price increases or an item is out of stock, you can pivot quickly to an alternative without extensive due diligence.
• AI-powered tools instantly compare prices in real-time as you shop, ensuring you always get the best price.
• Centralizing your buying via the Raiven marketplace gives you better visibility over your procurement activities. It’s great for planning, inventory management, and curbing rogue spending.
• The best part? Raiven negotiates discounts with HVAC suppliers. You’re getting the same parts from the same industry-leading suppliers – but you’re paying 7 to 30% less!

If you’re ready to tackle HVAC supply chain challenges, Raiven is here to help.

To improve your margins, discover the benefits of participating in a premier network like Raiven. By leveraging the collective buying power of its members, Raiven secures exclusive discounts and pricing agreements for refrigerants, HVAC equipment, air filters, parts, and other HVAC business essentials. And Raiven does all the supplier negotiations so you don’t have to.

Gain access to pre-negotiated discounts of 7%-30% from industry-leading manufacturers and distributors like Alpscontrols, Carrier, Ferguson, Ford, Grainger, Graybar, Home Depot, Koch Filter, Schneider Electric, Sunbelt Rentals, United Rentals, and more!

Raiven is dedicated to serving HVAC contractors, offering the most competitive prices on equipment, parts, and maintenance supplies, along with a streamlined purchasing platform for swift and efficient purchasing. Other key benefits:

• Supply chain alerts
• Private Marketplace
• AI-powered purchasing tools 

Learn more about how Raiven can help HVAC contractors.