Online sales continue to outpace overall growth, rising 5% in the nine-month period ending Sept. 30 and accounting for 35% of total sales, with some regions seeing online sales exceeding 60%.

Watsco, one of the largest distributors of heating, ventilation, and air conditioning (HVAC) equipment, is intensifying its focus on digital technology to boost sales and strengthen connections with HVAC contractors.

For the third quarter ending Sept. 30, Watsco reported a 2% increase in sales, reaching $2.160 billion from $2.126 billion in Q3 2023. Net income was $201.04 million, up slightly from $200.62 million in the prior year.



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According to CEO Albert Nahmad, digital sales channels and advanced digital technologies are key drivers of Watsco’s growth. “We continue to invest in the industry’s most innovative technology platforms for HVAC contractors, and the increasing adoption of our platforms has contributed to market share gains,” Nahmad told analysts during the latest earnings call, as reported by Seeking Alpha. “Annualized eCommerce sales now exceed $2.5 billion, with active users growing faster than non-users.”

Key digital metrics for Watsco in Q3 include:

  • Product information management (PIM): Watsco’s PIM database now offers contractors digital access to over 900,000 SKUs.
  • HVAC Pro+ mobile apps: This mobile platform provides contractors with real-time access to technical support, product specifications, inventory availability, warranty lookup, system matchups, and e-commerce. The authenticated user community (linked to e-commerce accounts) grew 14% to approximately 61,000 users in the 12 months ending Sept. 30.
  • Ecommerce sales: Online sales continue to outpace overall growth, rising 5% in the nine-month period ending Sept. 30 and accounting for 35% of total sales, with some regions seeing online sales exceeding 60%.
  • OnCallAir, Watsco’s digital sales platform: The annualized gross merchandise value (GMV) of products sold through OnCallAir reached approximately $1.4 billion for the 12 months ending Sept. 30. In the first nine months of the year, OnCallAir generated $1.2 billion in GMV, a 22% year-over-year increase, by presenting quotes to 258,000 households— —a 17% increase from the previous year.

“We have the industry’s most innovative technology platforms for HVAC contractors,” Nahmad states. “Our scale and product diversity, especially in high-growth markets, are unmatched.”

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