U.S. MRO markets have shown incredible toughness over the past five years of turbulence. After experiencing a slight decline of 2% in 2020 overall, the market rebounded with two years of robust double-digit growth — 12% in 2021 and 16% in 2022, albeit fueled by inflation spikes, according to analysis by MDM Research. Now, as we navigate a more stable phase, the market overall is set to grow at a compound annual growth rate (CAGR) of 2.8% from 2024 through 2028. 

These are some of the key findings from the 2024 U.S. MRO Market Trends Report, just released by MDM Research, which defines market size, end-market segmentations and relative growth opportunities across a range of MRO product portfolios. The report, which includes a four-year forecast to 2028 for each of the five product verticals covered — industrial, construction/facility maintenance, electrical, electronics, commercial (packaging and plastics) — provides a definitive segmentation and analysis of key market dynamics for the total $907-billion U.S. MRO market.  

Beyond the more traditional industrial products categories, the report also segments the contractor end-user demand for what’s often termed “Repair & Replace” products, including HVACR, plumbing and other construction and facility maintenance supplies. Safety PPE and JanSan categories are also included in the analysis. A Commercial MRO sector analyzes the end-markets segmentation for packaging and plastics products. 

Digitalization, Commoditization, Consolidation 

In spite of ongoing consolidation, MRO product markets are characterized by deep fragmentation across and within various sectors, from industrial and construction/facility maintenance MRO — which represents a third of the market at $303 billion — to electrical, electronics and commercial MRO sectors. Each of these segments have unique characteristics across end-user customer segments that the report examines.  

As the report frames, one of the defining trends of this era is the rapid digitalization across all market channels. In a discussion of changing market dynamics, we outline the evolution from traditional sales channels to more digital, direct-to-customer platforms that have reshaped the competitive landscape. Market share estimates for the top five distributors in the industrial/construction and electrical distribution sectors are examined to provide context for the competitive landscape of these dominant market channels for these MRO products.  

Furthermore, the commoditization of MRO products, especially in the safety and janitorial segments, has reshaped go-to-market models. While it pressures margins and traditional business models, it has also opened up new avenues for differentiation through niche service and value-added offerings. 

Forecasting Tools and Market Analytics 

This year’s report not only highlights the current state and size of the market but also delves into detailed segmentation by product category, geographic territory, and end-market demand. Such granularity allows business leaders to pinpoint growth areas, whether through line extension, expanding into new territories, or targeting underserved customer segments. 

Moreover, the analysis of market concentration and competitive landscape provides a clear picture of where consolidation opportunities may exist, offering a strategic edge to those considering mergers and acquisitions as a pathway to growth. 

Our report includes detailed demand forecasts and robust market analytics that serve as essential tools for strategic planning. By understanding the trajectory of market trends and the impact of external economic factors, companies can better allocate resources, manage risks and strategically position for the future. 

As we look toward 2025 and beyond, the MRO market remains a landscape of immense potential. The 2024 MRO Market Trends Report is your comprehensive guide to navigating a complex market.

Get the Report

Our 2024 MRO Market Trends Report is available to purchase here in the MDM Store. MDM Premium subscribers receive 10% off the list price, and members of NAW should reach out to info@mdm.com to receive an exclusive discount code.