April 7, 2025
Pulse of Lighting: The Latest Report
Guest Author: David Gordon, with opening commentary by Al Uszynski
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Each quarter Electrical Trends issues the Pulse of Lighting report based on a survey of electrical industry professionals.
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The survey's audience tends to skew towards electrical distributors and the manufacturers and agents that sell standard general lighting products for distributor inventory.
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Below are some of Electrical Trends' insights from the just-published quarterly Pulse of Lighting report:
Electrical Trends' Q1 2025 Pulse of Lighting reports a slight overall decline in Q1 2025, with price sensitivity and value-engineering driving much of the market activity. While some product lines remained flat or slightly up due to pricing strategies, architectural and spec-grade business likely experienced more pronounced softness. Requoting was common, as tariff-related uncertainty caused delays and cancellations of some projects.
Looking ahead, the Q2 and Q3 outlooks are unclear. Although a few distributors noted forward buying, the project-based nature of lighting limited this trend. Tariffs remain a dominant concern, with many expecting further disruptions and a potential slow adjustment period extending into Q3. Specifier sentiment also reflected growing concern about near-term project activity.
2025 Q1 Pulse of Lighting Feedback
Feedback from our Pulse of Lighting report included:
- Slight decline, on average, from all parties.
- While the decline is slight, in reviewing the feedback, the dispersion of responses, and other information, value-engineering / white goods / price is a predominant trend and hence it is suspected that the architectural / spec business is probably down 3-5%, perhaps a little more depending upon the company, whereas lines that are more “value-engineering-oriented” are flat to slightly up.
- And this is with a 1-2% realized price increase.
- It was shared that some projects and orders have been delayed, or cancelled, due to tariff increases and that distributors are doing much requoting (which, after the tariffs have been announced, will all need to be requoted, with some projects probably being delayed.)
- The outlook for Q2 and Q3 was cloudy, at best.
- Q2 was projected to be flat / slight decrease however, when it is reported in Q2, the comparable will be challenging as it will be tariff-influenced (price changes as well as the potential impact on demand.)
- Some distributors reported advanced buying, but the trends were not widely adopted due to the nature of lighting being very project-oriented.
- Price appears to be a major driver in the market.
- When asked about specifier sentiment over the next 6 months, there was a heightened level of concern.
- As expected, Q2 and Q3 were difficult to see with many commenting on tariffs and then they expect the market to adapt. Some believe that some of the tariffs (especially Canada and Mexico) to be negotiating tools (the survey was done prior to the concept of reciprocal tariffs and the resulting April 2nd) Most expect the market to be unsettled in Q2 and slowly get “ironed out” in Q3.
- Over 225 individuals participated in the survey.
A free copy of the report was sent to survey respondents. Click here to acquire the report and see the details for only $35.
