I come from Ireland, a country better known for its golf, Gaelic, and Guinness than for its distributors. So when Matt Rojas, my dormmate at Stanford, started telling me about his father’s work in distribution, I was fascinated. It was an industry I had never thought about, yet the more I learned, the more it became clear: the U.S. economy quietly depends on … [Read more...] about Shedding Light on an Industrial Supply Distributor Problem (or Opportunity)
Profitability
Stop the SPA Leak: Don’t Let Margin Slips Away – Free Webinar
Scott Sinning from MarginMax Partners has been sharing ideas to help industrial supply distributors improve their profitability this year with his articles on plugging leaks, using SPAs, and more. Now he's offering a webinar on SPAs next week. The Cost of a Broken SPA If you are involved in sales management, purchasing, finance, SPA administration or have anything to … [Read more...] about Stop the SPA Leak: Don’t Let Margin Slips Away – Free Webinar
Full Warehouse, Empty Wallet – The Surplus Inventory Trap
What can an inventory holder do with excess inventory, why does it happen? In MRO & Industrial, inventory is a double-edged sword; it’s the lifeblood and the weight. With gross margins around 30%, it is pretty attractive, but all distributors have experienced a "just-in-case" order for a critical part turning into five years of dust-collecting deadstock. Looking into … [Read more...] about Full Warehouse, Empty Wallet – The Surplus Inventory Trap
Unlock Margin and Cash Flow Through SPA Enterprise Governance
SPAs, whether you define them as special pricing agreements or ship and debit initiatives, are a way to simultaneously capture business and ensure, perhaps improve, gross margin ... if you manage them right. But like most things, the devil is in the details and, with SPAs, because the administrative process touches so many people within a distributor, many distributors do … [Read more...] about Unlock Margin and Cash Flow Through SPA Enterprise Governance
New Research: Rebates Ensure Profitability
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
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
