Whether manufacturers are making acquisitions, moving into new markets, launching new products, appointing new executives or reorganizing their operations, they are often making the moves because of opportunities or challenges in five areas....More
Customers in the electrical industry are now going through what those in the financial industry did years ago. Technology is driving an increase in options, which is driving a power shift to the customer, which is requiring sellers to deliver real value in order to survive....More
One of the biggest advantages distributors have over Amazon is the expertise they have in electrical products, the relationships they have built with electrical contractors and other core customers and their willingness to locally stock so much inventory — not only the fast-moving SKUs, but those that can take longer to sell — and deliver it, often at a moment’s notice right to customers’ job-sites....More
The supply of electrical products is not an end in itself. But that’s the conventional way we size this industry, or in fact any industry — in terms of sales or revenues. But is this really the best metric?
That depends on what you are trying to measure. At the most aggregate level, supply equals demand — what distributors sell is what customers buy. (For 2013 it’s about $90 billion). We are talking about distributors as the supply side to the end market customer, not talking about the manufacturer as the supplier....More
I recently gave a presentation to a group of business journalists in the Kansas City area about the career skills they need to survive in the business publishing world. I guess they figured that since I have managed to stick around for more than 30 years with Electrical Wholesaling, I might know a thing or two about dancing between the raindrops without getting wet....More
Did you ever stop and think about why some electrical distributors die? What were the reasons for their demise?
Consultant Bruce Merrifield was for many years a regular speaker at electrical industry meetings. One thing he said that always stuck with me is that distributors usually perish from a thousand different nicks rather than from one competitor that cuts them off at the neck with one cut from a sharp competitive sabre. Let’s take a look at some of the most common “nicks.”...More
Three of the news stories we picked for this month’s cover story are part of much larger macrotrends that could reshape core elements of the electrical industry and the U.S. economy throughout the next decade and beyond....More
The North American electrical wholesaling industry is being rocked by mergers & acquisitions, advances in technology, new competition from offshore and an uncertain economy. In this 60-minute webinar, Electrical Wholesaling Chief Editor Jim Lucy will discuss the changes in the electrical market now having the most impact on electrical distributors, electrical manufacturers and independent manufacturers’ reps....More