Like most people, you’re probably wondering, what is industrial
distribution?
It’s all about business—partnering with multiple
manufacturers to sell products to clients and providing solutions
to those clients.
And clients are everywhere—from your local pizza place to a jet
engine manufacturer. They all depend on distributors for products,
services, solutions and technology to help them improve their
businesses.
Industrial parts are used:
For natural resource extraction and processing in agriculture,
forestry, petroleum and mining.
To process and package food and beverages.
As components in equipment manufactured for businesses and
consumers.
To maintain and repair machinery used in production
processes.
In commercial and residential construction and facilities
maintenance.
At public utilities and in heating, ventilation and air
conditioning systems.
The Facts
Industrial distribution is a fast growing segment of the
economy. It’s is an $825 billion industry that generates
millions of jobs in the United States and Canada. Industrial
distributors:
Are found in every major city and most small ones, as well as near
major agricultural and natural resource production centers.
Sell a broad range of products for use in almost every
industry.
Range in size from single-location firms that sell less than $2
million annually to multi-billion, multinational companies with hundreds
of locations.
Primarily include privately-held corporations, many family-owned
and operated.
In the United States alone, industrial distributors:
Represent over 5% of total gross domestic product ($750
billion).
Operate almost 83,000 companies, with over 113,000 branch
locations.
Employ 1.4 million workers, almost 1% of total employment.
Who Are Distributors and What Do They Do?
Industrial distributors are trained professionals that stock, sell
and deliver billions of products and services every day to customers all
over the world.
Industrial distributors are warehouse employees, inside sales and
customer service representatives, outside sales associates, product and
marketing specialists, purchasing associates and buyers, and upper level
management in IT, marketing, operations, finance, human resources and
purchasing.
They help manufacturers get their products into the hands of the
clients who need to keep their businesses productive and profitable.