The May/June issue of Industrial Distribution magazine showcased the results of its annual Survey of Distributor Operations. A positive industry outlook was certainly present, with 77% of distributors saying sales increased this year, and 86% believing they’ll increase next year. Speaking of sales, the survey noted an incredible statistic that demonstrates how relational our industry is: 85% of respondents believe relationships are the primary reason people do business with them.
Also, 28% of the respondents noted that acquisitions came up during the last year. If you’re one of them, and you missed our article titled Acquisition Help: Crucial Tips for Integrating a New Location, be sure to check it out. In spite of acquisition activity, 78% said their growth strategy is to do more business with existing customers.
As for technology trends, only 28% of respondents said they were using an ERP system and 11% of respondents said they were using RF technology. However, 14% intend to adopt RF in the next two years. Additionally, 75% of distributors polled expect their online sales to increase in the next year.
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