Industrial Distribution At A Crossroads

The industrial distribution industry has reached its biggest crossroads in history.
Near the intersection of business as usual and success going forward sits industrial distribution strategy, increasing online sales, technology, omnichannel, multichannel, and social media.

The buyer is now in the driver’s seat, and Amazon Supply represents more than just a toe in the water. Amazon’s dedicated industrial B2B site could lead to its dominance in the MRO market, whether industrial distributors realize it or not.

Business questions that were once heavily debated no longer matter as much at this crossroads. These questions include where to locate branches, distribution centers (DCs), fulfillment centers, and how to minimize the cost of the distribution network.

These are structure considerations that revolve around the all-encompassing business strategy, and at these crossroads, we must address strategy before structure.

The traditional thinking around distribution networks and branch operations is obsolete.

With social media, technology and B2B customer sophistication booming, industrial distributors find themselves at a critical crossroads.

This paper provides the first complete view of Industrial Distribution at a Crossroads and explains how companies can flourish in this quickly evolving environment.