Now that HD Supply has shifted gears to sell White Cap to private equity firm Clayton, Dubilier and Rice for $2.9 billion, look for more shifts within the industrial distribution landscape.
Eric Smith
Former MDM Senior Editor Eric Smith was an award-winning business journalist whose coverage focuses included economic news and insights, industry trends, M&A, and analysis of small businesses and public companies across the wholesale distribution marketplace.
Posts By Eric Smith
Amazon, the world’s largest retailer and distributor “frenemy,” is considering placing fulfillment centers in malls where department stores once operated, adding another level of potential threat for the wholesale trade industry.
But industrial distributor also sees headcount continue to decline and the number of “selling personnel” is down nearly 10% compared to the same time last year.
Distributors leave up to 5% of profit on the table during price negotiations, but an automated system can take human judgment out of the picture and add more dollars to the bottom line.
The severity of the coronavirus crisis has exceeded that of the Great Recession more than 10 years ago, and while distributors haven’t been spared the impact of COVID-19, the industry is faring better than most.
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Grainger’s sales dipped 2% last quarter as pandemic-related sales (e.g., PPE) again offset softness in its traditional product line, but non-pandemic sales are showing signs of life.
Cloud technology is here to stay, and the right ERP will help your company navigate not only the COVID-19 crisis but also whatever unknown business disruptions lurk on the horizon.
After seeing a surge in non-traditional business during the pandemic, the Winona, Minnesota-based distributor is looking to create long-term relationships with these newfound customers as normal buying patterns resume.
Automated processes like order-to-cash (O2C) can eliminate human errors, reduce costs and strengthen both your relationship and your wallet share with customers.
Mergers and acquisitions among distributors and manufacturers picked up last month after an especially slow April and May, due to concerns over the coronavirus.
WESCO International Inc.’s $4.5 billion acquisition of Anixter International Inc. will have repercussions across all distribution channels — not just electrical — according to the panel on last week’s MDM Live.
During the past few months, lighting distributor Bulbs.com pivoted to a new customer segment yet also leaned on such core beliefs as strong marketing and data to sustain its business during the pandemic. CEO Mike Connors shared some of the companys COVID-19 playbook.
If you're a distributor in America today, youve got to get digital quick, says John Caplan, president, North America and Europe, Alibaba.com, who spoke on last weeks MDM Live about why digital has become imperative for distributors to compete.
Barry Litwin, CEO of Global Industrial parent company Systemax Inc., says the right digital capabilities can practically eliminate the need for customer service because everything gets done online. He shared the companys digital journey on the most recent episode of MDM Live.
Recent economic reports show upward momentum for the overall U.S. economy and the wholesale distribution industry in particular, but not all data points paint a rosy picture, indicating recovery will be a slog.
The safety category again stole the show for Fastenal Co. during its May sales report with a 136.3% increase, while the companys fastener business has likely hit the bottom during the COVID-19 disruption and could be on the upswing.
Distribution leaders that emphasize innovation during this time of uncertainty will be at an advantage when the so-called new normal whatever that looks like has settled in. One area where companies can innovate is by transforming their sales models. The latest MDM Live explains why.
Over the last two years, Milwaukee-based HVACR distributor Gustave A. Larson Co. has transitioned from outside to inside sales, a move that became reality at the start of 2020. That sales model transformation has paid dividends during the coronavirus crisis, and now the company enters the post-pandemic well-positioned for the summer surge.
