Industrial and contractor supply buying group NetPlus Alliance shared the results of its 4Q25 Industry Outlook on March 20, with the results reflecting solid 2025 growth for member distributors and strong optimism about 2026.

Conducted in January, the report was based on 2025 fourth quarter results from a survey aimed to benchmark data related to gross margin, operating expenses, net profit, inventory turnover, average collection period and sales per employee.

Key figures from the Outlook showed the following:

Member purchases from NetPlus suppliers and wholesalers were up 8% in the fourth quarter and 9.4% for the year, exceeding $600 million in total. 

Generally positive end to 2025: One quarter of participants said that compared to the fourth quarter of the previous year, their sales were up 3-7%, while another 38% were up 8% or more. Another quarter of respondents reported sales figures being within 2% of the previous year. Just under 12% of responses were negative, indicating sales were down by 3% or more.

Very positive forecast for 2026: An overwhelming majority — 81% of participants — said they expect sales to be up 3% or more this year. Of those, 30% expect to be up 8% or more. Another 16% anticipate 2026 sales figures will be steady with 2025. Just under 2% of participating members are looking toward a more challenging year, expecting sales to be down by 3% or more. One distributor said they’ll potentially be down 8% or more.

NetPlus detailed that members shared steps they’re taking in 1Q26 to improve profitability this year, ranging from tried-and-true efforts of hiring more salespeople, building on existing business, adding customers, expanding into new categories and/or geographic areas, etc., to some members enacting more creative strategies like incorporating college internship programs and increased digital self-service options for customers.

Premium — Mid-Size Distributors Must Seek ‘Intentional Growth’ Amid Market Consolidation, NetPlus CEO Says (Oct. 1)

“NetPlus distributor members continue to demonstrate their commitment to strategic growth with our supplier partners year over year,” said Jennifer Murphy, President & CEO of NetPlus Alliance. “I’m looking forward to supporting our members as they reach the incredible heights they’re forecasting for 2026, now equipped with tools like our updated group benchmarking figures.”

Lockport, NY-based NetPlus’ membership is comprised of approximately 400 industrial and contractor supplies distributors along with more than 220 manufacturers.