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Will the 2023 Season be a Carbon copy of 2022?

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Added by shubnigg in Outdoors equipments
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These prediction episodes are for sure hit and miss as it is hard to account for future events that are of course unpredictable. So here is a shot at predicting the 2023 swimming pool season at the end of 2022.

Will chemical costs come down? There are more factors driving costs up than just supply and demand. It would be great if that was the only factor and all it would take in 2023 but there are labor costs, inflation, and possible strikes to consider. We have to factor in labor and fuel costs which generally go up each year and not down.

Inflation in the industry has been a big issue and I think we will see a leveling off in 2023. It can’t go much higher right? But higher fuel and labor costs will probably keep prices up. Will there be a slight pullback? Maybe in some areas like the 3” trichlor tablets. With leftover supplies from 2022 and the BioLab factory back online, I would assume trichlor prices would see a decline. Maybe not back to pre-2020 levels but off the highs of 2022.

Will you need to raise the rates on your clients this coming Summer? More than likely the answer is still a yes because you want to stay ahead of inflation and I think prices again will maybe level off or increase with less severity. I would not advise you to let the foot off the gas when it comes to pricing and you should be going up at least 3-5% every year at the minimum.

What about shortage? Hopefully, those days are behind us and everything will be in supply. The only real worry is that if we are heading into a Recession, suppliers and retailers might order less inventory thinking that what they have will be plenty to sell. It would be more of a pullback by distributors and not any manufacturing shortages. After all, you wouldn’t want to stock products if no one has the money to buy them look at what happened to Carvana with their overstock of used cars and a stock drop of 97%. No one wants to have too much inventory.

2023 will look a lot like 2022 in my opinion barring any undue surprises. I along with many wish for some stability in the pool industry. Hopefully, 2023 will bring some of that with leveling off and declining prices, plenty of inventory, and no surprises.

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