In the industrial supply industry, we often talk about "backside dollars", or rebates, as a necessary part of the business. But are they a strategic asset or just a "tax" on doing business? Earlier this year we (Channel Marketing Group) conducted research, sponsored by Enable, a leading rebate management reporting system. on volume rebates and are releasing a new research … [Read more...] about New Research: Rebates Ensure Profitability
Profitability
It’s year-end Inventory Planning and Adjustment Season
As we enter the final stretch of 2025, I am having daily conversations with many distributors and manufacturers about their in-stock inventory positions. Industrial and Construction Channel growth rates have slowed fand now are slightly down to at best flat in 2025. Inflation and price increases have continued to climb since early 2023. So, that slow/no market combined with … [Read more...] about It’s year-end Inventory Planning and Adjustment Season
2026 Industrial Planning Season – Finance team leadership is crucial to great outcomes
Yesterday, I was writing a planning season column for a series that I am writing. I was multi-tasking and listening to an ISA webinar hosted by Brendan Breen and Mark Gilham from Enable titled Finance for Future Leaders. As I was writing and listening, I realized in my outline notes that I had not accounted enough on the role of Finance in Annual Planning Meetings. Your … [Read more...] about 2026 Industrial Planning Season – Finance team leadership is crucial to great outcomes
Finance Training is often overlooked by Industrial Channel leaders
This week, I had a webinar announcement caught my eye from ISA and Mark Gilham. It reminded me of how valuable basic finance training was when I first got started in my career at Crescent Electric Supply Company. All the sales and marketing type newbies had to attend a new manager training finance session that was in-depth, that was led by our CEO - Jim Etheredge (he was … [Read more...] about Finance Training is often overlooked by Industrial Channel leaders
Pentagon Pricing Series – A Pricing Reset is the Most High-Risk and High-Reward Activity in B2B Industrial Distribution
As a former pricing leader for three billion-dollar distributors in North America, I can share from experience that a major pricing reset is simultaneously a dangerous activity, yet when done right, the best driver of top-line sales growth in this industry. Earlier this year, I wrote a Case Study for Modern Distribution Management (MDM) on the pricing reset MSC Industrial … [Read more...] about Pentagon Pricing Series – A Pricing Reset is the Most High-Risk and High-Reward Activity in B2B Industrial Distribution
Inventory Positions could be the top growth driver for industrial distribution in 2025
Managing your inventory is the key to drive top-line sales and gross margin performance in 2025 – In a recent discussion with Brent Johnstone from ACTvantage we talked about how industrial distributors can increase gross margin without hurting top-line sales in 2025. When we both started into distribution, the prevailing thought for distributors and manufacturers in the B2B … [Read more...] about Inventory Positions could be the top growth driver for industrial distribution in 2025
Is your experienced associate led pricing model approaching a cliff?
If your winning pricing model is still being led by just your experienced sales team, it is probably time to make changes for the future. I had the opportunity to sit in on an excellent Pricing certification session that kicked off recently with my friends and colleagues leading the session from ACTvantage: Senthil Gunasekaran and Pradip Krishnadevarajan. Senthil and Pradip … [Read more...] about Is your experienced associate led pricing model approaching a cliff?
Embrace Change to Adopt AI and Improve Profits in the Industrial Channel
The concept of digital transformation, let alone AI, as a future driver for your organization is probably a folly unless … You have a leader, and leadership team, which believes in change. There are two key words in the above sentence … “leadership” and “change.” Leadership infers vision, an ability to perceive “need,” an entrepreneurial mentality that desires growth, … [Read more...] about Embrace Change to Adopt AI and Improve Profits in the Industrial Channel
Distributors – Maximize Your Volume Rebates with a Strategic Revenue Plan
Given the importance of rebates to the net profitability of distributors, I reached out to a friend and former distributor client, Greg Smith, to share his first-hand experience, and best practices, to help distributors optimize their rebate earnings. For those who don’t know Greg, he owned a small electrical distributor, sold the business to a regional distributor and then, … [Read more...] about Distributors – Maximize Your Volume Rebates with a Strategic Revenue Plan
Inventory Planning Approaches for Industrial in 2025
As we enter the final 2 months of 2024, I am having many conversations with Industrial distributors and manufacturers about their into stock inventory positions. Industrial Channel growth rates have slowed from double digits % from April 2021 to April 2023 days and now are slightly down to at best flat (2023 vs 2024). Inflation and price increases have continued to climb … [Read more...] about Inventory Planning Approaches for Industrial in 2025
