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Home » Blogs » Management & Strategy » A Closer Look at Grainger's 2010 Results
Lindsay Young Konzak

A Closer Look at Grainger's 2010 Results

By    Lindsay  Konzak 
April 18, 2011
More about:  Distribution Management & Strategy,  Facilities Maintenance (MRO) Distribution,  MDM Blog,  W.W. Grainger
Grainger breaks down 2010 sales, as well as provides insight into growth initiatives in 2011 Fact Book.
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Grainger (NYSE: GWW) recently released its 2011 Fact Book, which provides data and details from its 2010 fiscal year, as well as its growth plans.

First – some "fast facts" listed in the report:

  • The distributor now has 607 branches, 24 distribution centers, and 18,500 employees.
  • A fifth of the distributor's overall sales are to commercial customers. About 17 percent is to government, and 16 percent to heavy manufacturing. While these numbers are largely the same in just the U.S., in Canada agriculture and mining makes up 25 percent of sales, with contractors coming in second at 17 percent of sales.
  • By product line, 15 percent of sales are safety and security, and 12 percent are of material handling products. Cleaning and maintenance products make up 9 percent of sales. Again, the U.S. sees largely the same breakdown in terms of order, but in Canada safety and security products make up the largest, with 33 percent of overall sales, and metalworking products are next in line at 17 percent.
  • As reported on this blog before, $1.8 billion of Grainger's $7.2 billion in 2010 sales were online.
  • Grainger has 2 million "active" customers in 157 countries.

Grainger outlined its company goals in 2011. They included adding locally relevant products to its broad offering to drive growth, and expanding its sales force to improve customer coverage.

The distributor is also launching or adding onto safety, sustainability and inventory management services globally. For example, in addition to its green catalog and improving product information online, Grainger acquired Alliance Energy Solutions in 2009 to be more hands-on in helping customers be more efficient in their energy use. Grainger and AES work with customers to design, source and install energy efficient lighting and secure rebates. Grainger says that AES has worked with customers in 33 states; in 2010 the distributor installed more than 400 lighting projects as part of the program.

Grainger also plans to continue growing in international markets – focused primarily on Latin America and Asia - and expanding the capacity of its international logistics network.

The Grainger 2011 Fact Book is available at grainger.com.

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