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The third and final part of this MDM Premium series provides a deep dive Wesco’s digitization strategy and how it's constantly improving how the organization serves customers.

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This issue addressed what went wrong with MSC’s web pricing realignment and what they’ve done about it; the role of diversification in our 2024 Top Distributors feature; using analytics to build profit; and disruption updates from The Home Depot and Amazon Business.
This issue addressed cognitive biases’ impact on analytics ROI; distributors’ top business risks; Sonepar’s acquisition journey; a case study on rooftop solar; and more.

Market Insight Reports

See our in-depth M&A articles from the first three months of 2024, including the Home Depot-SRS blockbuster; the acquisition strategy for Ferguson and Border States; and the latest EBITDA trading multiples.
Find a wealth of data and analysis extracted from the 1Q24 Baird-MDM Industrial Distribution Survey, including trending charts and figures for revenue and expectations, plus plenty of interesting commentary.
The report features in-depth articles that recap the year that was 2023 in distribution dealmaking, a full rundown of every deal we covered in October-December, the latest EBITDA trading multiples and more.
Find a wealth of data and analysis extracted from the 3Q23 Baird-MDM Industrial Distribution Survey, including trending charts and figures for revenue and expectations, plus plenty of interesting commentary.
Find a wealth of data and analysis extracted from the 3Q23 Baird-MDM Industrial Distribution Survey, including trending charts and figures for revenue and expectations, plus plenty of interesting commentary.

This report is researched and produced by MDM editors. View the Fourth Quarter/Annual 2018 report here.

These product groups provide a snapshot of inflation trends based on the Producer Price Index from the U.S. Bureau of Labor Statistics. First quarter 2019 pricing levels are compared with fourth quarter 2018 and first quarter 2018. 

To view this report, log-in and click on the download link below the product listing to access the print-ready PDF.

Not a subscriber? Subscribe today for immediate access.

Industrial

  • Abrasives
  • Adhesives & Sealants
  • Metal Cutting Machine Tools
  • Metal Forming Machine Tools
  • Pumps, Compressors, & Eqmt
  • Ind. Material Handling Eqmt
  • Rubber & Plastic Hose
  • Rubber & Plastic Belts & Belting
  • Ind. Rubber Products, nec
  • Metal Valves (not fluid power)
  • Personal Safety Equipment & Clothing
  • Steel Mill Products

Construction

  • Softwood Lumber
  • Hardwood Lumber
  • General Millwork
  • Gypsum Products
  • Hardboard, Particlebd, Fiberbd
  • Plywood
  • Plastic Construction Products
  • Wood Ties, Siding, Shingles,
  • Shakes

Electrical

  • Electrical Machinery & Eqmt
  • Electronic Components & Accs
  • Integrating and Measuring Instruments
  • Motors & Generators
  • Wiring Devices
  • Transformers & Power Regulators
  • Switchgear, Switchboard, etc., Eqmt
  • Communications & Related Eqmt
  • Electric Lamp Bulbs & Parts

Other Related Electrical

  • Lighting Fixtures
  • Nonferrous Wire & Cable
  • Fabricated Ferrous Wire & Cable

Power Transmission/Bearing

  • Mechanical Power Transmission Eqmt
  • Ball & Roller Bearings
  • Plain Bearings & Bushings
  • Speed Changers, Drives & Gears

Fluid Power

  • Fluid Power Eqmt
  • Fluid Power Valves
  • Fluid Power Hose/ Tube Fittings
  • Fluid Power Pumps & Parts
  • Fluid Power Actuators/ Accum/ Cylinders

Plastics

  • Plastic Resins & Materials
  • Plastic Products (Overall)

Fasteners

  • Nuts, Bolts, Screws, Rivets, Washers (overall)
  • Aircraft Fasteners
  • Externally Threaded Fasteners
  • Internally Threaded Fasteners
  • Nonthreaded Metal Fasteners

Hardware

  • Hardware (overall)
  • Builders’ Hardware

Tools

  • Hand & Edge Tools
  • Power-Driven Hand Tools
  • Tools, Dies, Jigs, Molds, Fixtures
  • Cutting Tools & Accs (overall)
  • Precision Measuring Tools
  • Small Cutting Tools

Gases/Welding

  • Industrial Gases
  • Welding Machinery/ Equipment

Paper

  • Pulp, Paper & Allied Products (overall)
  • Sanitary Paper Products
  • Boxes
  • Packaging Products from Plastic

HVACR/Plumbing

  • Air Cond. & Refrigeration Eqmt
  • Heating Eqmt
  • Plumbing Fixtures & Fittings

To view this report, log-in and click on Download pdf below the product listing.

In this two-page report, available to download in PDF after log-in, we feature data on merger and acquisition trends and financial metrics for the largest publicly traded distributors across diverse sectors in the first quarter of 2019.

In partnership with Houlihan Lokey, an investment banking firm, the report includes data on M&A activity trends across all industries (not just distribution), as well as valuation multiples for deals in all industries.

Digital is driving a lot of change in distribution, but not everything. There are other factors at play. Its important to not fixate on Amazon (but dont ignore!). Its more important to maintain some perspective to figure out your best moves in 2019 to stay relevant to each part of the success formula your customers, employees and suppliers. Our lead article touches nicely on this.

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As President of Kelly & Hayes, a 73-year-old commercial and industrial electrical supply house, Christian Brockey knows firsthand the challenge of selling materials that have been sitting on the shelf for years. Often, we say that we have six months of good purchasing and 73 years of mistakes in our warehouse, Brockey says. Meeting that challenge led Brockey to found DistributorStock.com, an e-commerce marketplace to help independent distributors nationwide list shelf stock for sale online. MDM spoke with Brockey to hear his vision for the website, now in Beta, and how he sees it helping to move distributors stale inventory.

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In the world of digital, many distributors dont know where to start. Thats the consensus among several speakers at MDMs upcoming 2019 Digital Distributor Summit. Over the course of June 18-20, nearly a dozen distribution veterans will provide attendees with specific knowledge on how to figure out where their company stands now with digital technology application, develop the most essential foundational components for a successful program and find the right strategy to shape their future.

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Industry-watchers say that robotics technology is growing more sophisticated and can increasingly perform a wider range of tasks and collaborate with humans. This article examines the potential impact on distribution operations.

This article is part of MDM’s Disruptive Technologies Special Report.

This article includes:

  • Current applications for robotics
  • The growth of robotics
  • The business case for automation

Subscribers should log-in below to read this article.

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  • 3-D Printing Drives Supply Chain Shift
  • Bridging the Digital & Physical through Augmented Reality
  • Redefining Competitive Advantage

Of all the technologies explored in MDM’s Disruptive Technologies Special Report, drones and driverless cars are the least close to fruition. The technology is advancing quickly, but many obstacles stand in the way of a practical application for businesses.

This article is part of MDM’s Disruptive Technologies Special Report.

This article includes:

  • Drones in delivery and the warehouse
  • Carnegie-Mellon professor on the potential for & challenges facing driverless cars
  • Fleet-tracking software

Subscribers should log-in below to read this article.

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  • 3-D Printing Drives Supply Chain Shift
  • The Rise of Robots in Distribution
  • Redefining Competitive Advantage

The May 10, 2014, issue of MDM kicks off a series of articles on disruptive technologies. This article provides an introduction to the series, examining how distribution executives should think about the potential impacts of these technologies - 3-D printing, augmented reality, robotics and innovations like drones and driverless cars - on their businesses, as well as those of their customers and suppliers.

This article includes:

  • Advice for executives on how to think about emerging technologies
  • Definition of disruptive technologies

Subscribers should log-in below to read this article.

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  • The State of E-Commerce in Distribution: 2014
  • The State of Analytics in Distribution: 2014
  • Redefining Competitive Advantage
disruptive-tech-augmented

Google Glass is the most visible example of augmented reality, but a business case for the emerging technology is building. According to Gartner research analyst Tuong Huy Nguyen, the technology could be most valuable where workers do not have immediate access to information such as remote sites or in jobs that require one or both hands. While it’s still early, manufacturers are already using augmented reality for factory planning and equipment repair. Applications are also being developed for use in distribution centers for more efficient order-picking and delivery.

This article is part of MDM’s Disruptive Technologies Special Report.

This article includes:
  • What Augmented Reality is
  • How it can be used in the warehouse, field and factory
  • The potential impact on distributors and their customers and suppliers

Subscribers should log-in below to read this article.

Not a subscriber? Subscribe below or learn more. Subscribers also have access to the following related articles:

  • The State of E-Commerce in Distribution: 2014
  • The State of Analytics in Distribution: 2014
  • Redefining Competitive Advantage

The media is talking about 3-D printing, also known as additive manufacturing, more than ever. But adoption of the technology in everyday use is far from widespread. This article examines the role of 3-D printing in manufacturing today and how it might change the supply chain in the future.

This article is part of MDM’s Disruptive Technologies Special Report.

This article includes:

  • Current applications for 3-D printing
  • Barriers to widespread use of 3-D printing
  • The potential impact on the supply chain of the future

Subscribers should log-in below to read this article.

Not a subscriber? Subscribe below or learn more. Subscribers also have access to the following related articles:

  • The State of E-Commerce in Distribution: 2014
  • The State of Analytics in Distribution: 2014
  • Redefining Competitive Advantage
data-on-gray-background

In this two-page report, available to download in PDF after log-in, we feature data on merger and acquisition trends and financial metrics for the largest publicly traded distributors across diverse sectors in the first quarter of 2014.

In partnership with Houlihan Lokey, an investment banking firm, we have added data on M&A activity trends across all industries (not just distribution), as well as valuation multiples for deals in all industries.

College-recruiting

Distributors that have been successful in recruiting top talent straight out of school say that the key is to develop ongoing relationships that include guest speaking in classes, internship programs and involvement in student organizations. This article examines the challenges, benefits and best practices in recruiting at the college level. It includes comments from distributors that have seen success in this area, including WinWholesale, Womack Machine Supply and Laird Plastics.

This article includes:

  • How to build awareness among young talent
  • The importance of developing relationships early on
  • Best practices in internships

Subscribers should log-in below to read this article.

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Subscribers also have access to the following related articles:

  • A Demographic Shift in Distribution
  • Generational Shift Drives Changes in Technology, Customer Expectations
  • The Hiring Disconnect in Distribution

Theres a lot of jargon around all things digital, and I plead guilty on all charges when talking about them digital platforms, omnichannel, cloud, big data ... the more digital we go, the fuzzier the logic we seem to attach to the terminology used to describe it.

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  • The State of Analytics in Distribution: 2014
  • The Shifting Competitive Landscape in Distribution
  • Redefining Competitive Advantage

The third annual MDM distribution e-commerce survey found that distributors’ e-commerce revenue as a percent of overall revenue is rising. But while distributors are increasingly using multiple vehicles to drive demand online, they have not yet effectively integrated tools such as marketing automation and paid search into their efforts. This article looks at how distributors approach demand generation online and ways they can improve the weakest links, as revealed by the survey.

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Not a subscriber? Subscribe below or learn more. Subscribers also have access to the following related articles:

  • The 2014 State of E-Commerce in Distribution, Part 1
  • Special Report: The Industrial Vending Boom
  • Behind Grainger's E-Commerce Strategy
shopkey-small

The third annual MDM distribution e-commerce survey conducted with Real Results Marketing revealed several key trends:

  • E-commerce revenue as a percent of overall revenue is rising relative to last year’s survey.
  • The primary objectives among distributors for e-commerce remain acquiring new customers, growing wallet share with existing customers and improving website usability.
  • Mobile deployments are growing rapidly.

This article examines the results of the 2014 State of E-Commerce in Distribution Survey and how the industry’s e-commerce offerings are maturing. Part 2 will look at best practices for distributor e-commerce marketing, data management and operations.

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  • Strategies for Private Label Success
  • Special Report: The Industrial Vending Boom
  • Behind Grainger's E-Commerce Strategy
KamanIndTech

In late February, Bloomfield, CT-based Kaman announced an agreement to acquire fluid power distributor B.W. Rogers, Akron, OH. Steve Smidler, president of the Kaman Distribution Group, recently spoke with MDM about the reasons for the acquisition and plans for integrating the distributor into Kaman’s business.

This article includes:

  • How acquisition deepens the Parker relationship
  • How acquisition will expand Kaman's end-market reach
  • How Kaman will integrate B.W. Rogers

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  • MDM Interview: Kaman's Expansion Strategy
  • Applied Industrial: Fluid Power a Growth Area for Distributor
  • Special Report: The Industrial Vending Boom

The fifth annual MDM distribution e-commerce survey conducted with Real Results Marketing revealed several key trends:

  • The number of companies with at least 10 percent of their total revenue from e-com¬merce grew 8 percentage points from 2014.
  • Most distributors require a customer to log in to see pricing and purchase products.
  • The primary objectives among distributors for e-commerce remain acquiring new customers, enhancing their company brands and improving the user experience.
  • A quarter of distributors receive 50 percent or more of their orders by email.

This article examines the results of the 2016 State of E-Commerce in Distribution Survey and how the industry’s e-commerce offerings are maturing.

This article includes:

  • E-commerce top priorities
  • Types of e-commerce platforms
  • Tips for handling pricing

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  • The ROI Case for B2B E-Commerce
  • Grainger Tackles the Data Challenge
  • Historical E-Commerce Trends in Distribution
MA_sawblades

The MDM Market Analysis, based on data from MDM Analytics, includes consumption of Saw Blades supplies by end user in the U.S., plus the top end users by 6-digit NAICS.

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  • 2016 Distribution Remodel: Refocus on the Core
  • Market Analysis: PVF Consumption in the United States
  • MDM Pricing Trends Report: Fourth Quarter 2015

Employees are one of the primary reasons for success in distribution, but training programs and budgets often do not reflect their importance. This article, based on the results of a recent Real Results Marketing survey, looks at why the gap exists and how distributors can shift their thinking about training.

This article includes:

  • An overview of the skills training gap
  • Internal vs. external training
  • Tips for closing the gap

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  • 2016 Distribution Remodel: Deepen Talent Development
  • Succession Planning: Positioning for the Future
  • MDM Interview: Beyond Change Management

Rick Schwartz was inducted as 2016 chairman of the National Association of Wholesaler-Distributors at its Executive Summit in January. The former Winsupply CEO, who now serves as chairman of the board, spoke with MDM Associate Editor Eric Smith earlier this month at the companys annual meeting and vendor showcase about issues facing distributors and NAWs goals for the year.

This article includes:

  • How NAW is helping distributors with talent acquisition
  • Importance of an omnichannel strategy
  • NAW's efforts to improve the political landscape

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  • College Connection: Virtuous Cycle
  • MDM Interview: The Reinvention of Staples
  • 2016 Distribution Remodel: Refocus on the Core

Modern Distribution Management's monthly Industrial Inflation Index measures a cross-section of industrial supplies.

This index includes:

  • Abrasives Products
  • Cutting Tools
  • Power Transmission Equipment
  • Fasteners
  • Valves, etc.
  • Power Tools
  • Material Handling Equipment
  • Belting
  • Hand Tools
  • Misc. Metal

Subscribers should log-in below to read this article.

Not a subscriber? Subscribe below or learn more. Subscribers also have access to the following related articles:

  • MDM Pricing Trends Report: Fourth Quarter 2015 and Annual
  • 2016 Distribution Remodel: How to Build a Better Business
  • Market Analysis: PVF Consumption in the United States
LeadLearn

As the labor pool tightens, developing and retaining existing employees becomes more attractive and critical for business success. This article examines how distributors are thinking differently about development and provides tips to overcome barriers and create an action plan that strengthens operational and financial results.

This article includes:

  • How to think differently about development
  • Overcoming development barriers
  • Developing an action plan

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  • 2016 Distribution Remodel: Invest or Die
  • Succession Planning: Positioning for the Future
  • 2016 Distribution Remodel: Refocus on the Core

Building a better supply chain is critical for a successful 2016 Distribution Remodel. This article shows why distributors who havent focused on improving supply chain functions should begin investing resources now in hopes of remaining competitive and avoiding obsolescence.

This article includes:

  • The threat of Amazonification
  • Benefits of a better supply chain
  • Processes & technology to invest in

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  • 2016 Distribution Remodel: Invest or Die
  • Predictable Supply Chain Disruptions Abound
  • Distributors Seeking 'Lean' Supply Chain

Distributors sell more than product. Leveraging data to make money is key.

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  • Overcoming the Barriers to Analytics
  • Increase Analytics Usability & Excitement
  • 2016 Distribution Remodel: How to Build a Better Business
MA_PVF

The MDM Market Analysis, based on data from MDM Analytics, includes consumption of PVF supplies by end user in the U.S., plus the top end users by 6-digit NAICS.

Subscribers should log in below to read this article.

Not a subscriber? Subscribe below or learn more. Subscribers also have access to the following related articles:

  • MDM Pricing Trends Report: Fourth Quarter 2015
  • Market Analysis: HVACR Consumption in the United States
  • Top Trends for 2016
Refocus

For distributors to successfully navigate a challenging landscape they must reinforce their core strengths. This facet of the 2016 Distribution Remodel could entail a number of solutions, from deepening customer engagement to dropping unprofitable customer segments to divesting noncore assets.

This article includes:

  • Devising a blueprint for remodeling
  • Remodelings role in M&A
  • How differentiating can help you win market share

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  • 2016 Distribution Remodel: Invest or Die
  • Distributors Getting Back to the Basics
  • Commentary: Refocus on the Foundation

Distributors looking to balance renewed focus on their core with meeting customer demand to provide more are turning to master distributors to achieve that end. This article looks at how the role of master distributors has evolved and the additional roles they now play for traditional distributors.

This article includes:

  • How distributors use masters
  • Additional benefits master distributors provide
  • How masters are elevating their traditional role

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  • Distributors Adapt to More Sophisticated Supply Chain
  • Integrated Supplys Next Phase
  • Industry 4.0: Technology-Driven Change

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