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Robert W. Baird & Co., in partnership with Modern Distribution Management, conducted a survey of more than 500 distributors and manufacturers to gauge business trends and the outlook for the distribution industry in diverse sectors. Here is a summary of second-quarter 2017 results and distributor and manufacturer expectations for third quarter and the rest of the year.
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This report is researched and produced by MDM editors. View the First Quarter 2017 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. Second quarter 2017 pricing levels are compared with first quarter 2017 and second quarter 2016.
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Industrial
Construction
Electrical
Other Related Electrical
Power Transmission/Bearing
Fluid Power
Plastics
Fasteners
Hardware
Tools
Gases/Welding
Paper
HVACR/Plumbing
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Many distribution verticals are experiencing consolidation; those that haven’t are ripe for it. In Part 1 of this three-part series, author Mike Marks provides a look at what’s driving consolidation, as well as the rise of private equity firms in distribution M&A, which has transformed the market.
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Business owner confidence reached a post-recession zenith in the months following the 2016 presidential election. Unfortunately, the confidence that dominated headlines hasn’t resulted in any real economic improvement. To quote a recent New York Times article, “Confidence Boomed After the Election. The Economy Hasn’t.,” Trump’s economy during the first six months of 2017 “looks an awful lot like the Obama economy.” Slow, steady growth.
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Finding a culturally aligned partner in a merger or acquisition is as important as finding a deal that makes financial or geographic sense. This article shows why a distributor should examine its counterpart’s culture before engaging in M&A and how to measure it before inking the deal.
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Implementing internet of things used to be a costly and confusing process. But as adoption of the technology grows, so do the options to ease the pains of implementation. This article examines some of the options available and how IoT is changing the role of the distributor in the supply chain.
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This article is part of an ongoing series looking at The Shifting Competitive Landscape in wholesale distribution. Read this and other articles in the series at www.mdm.com/shiftinglandscape.
As big box retailers such as Staples, The Home Depot and Lowe’s have expanded their online presence and increased their focus on professional markets, some distributors are feeling the impact, not only on sales volume but on profitability as margins are squeezed and customer expectations shift. This article, featuring interviews with distributors, manufacturers and industry experts, takes a look at the effects of the retail channel on the competitive landscape in wholesale distribution.
Distributors in some sectors aren’t just competing with another independent down the street – they’re competing with big-box stores with billion-dollar brands and a different approach to the market. And for some distributors, that competition is growing.
“Big box’s arrival into the B-to-B world has fundamentally changed ...
Robert W. Baird & Co., in partnership with Modern Distribution Management, conducted a survey of more than 500 distributors and manufacturers to gauge business trends and the outlook for the distribution industry in diverse sectors. This article is a summary of third-quarter results and distributor and manufacturer expectations for 2013.
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Distributors face many kinds of risk, including product liability claims, economic uncertainty, employee injuries, natural disasters and supply chain disruptions. By identifying potential scenarios, and ranking and planning for each of them, risk can be reduced and managed, Vernon Grose, author of Managing Risk: Systematic Loss Prevention for Executives and founder of Omega Systems Group Inc., tells Staff Writer Angela Poulson. Grose is a former member of the National Transportation Safety Board and a risk management aviation expert who has applied lessons from that work to help businesses and organizations.
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Many distributors struggle to effectively separate what should be stocked from what shouldn’t, according to Jon Schreibfeder, president of Effective Inventory Management Inc. But by ranking inventory by activity levels, cost of goods sold and profitability, distributors can determine when and whether to stock products.
This article, an exclusive summary of the recent MDM Webcast, Effectively Analyzing Your Inventory Investment. Access the webcast at www.mdm.com/inventory-investment, includes:
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Work with a banking partner that knows your business. Get detailed information on investment banks with expertise in the wholesale distribution industry.
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