NetPlus Alliance Industry Outlook: Election concerns top of mind
NetPlus Alliance distributor members are optimistic in the second half of 2024. But despite favorable activity, some distributors report tempered outlooks due to election uncertainty, poor economy, high interest rates, inflation, and a general slowing of business, according to the latest NetPlus Alliance Industry Outlook, a quarterly report based on a survey of NetPlus members.
The NetPlus Alliance Industry Outlook tracks business results and trends in the industrial and contractor supply markets. The latest quarterly survey was completed in July 2024, and the outlook was based on second-quarter results of 2024.
Twenty-six percent of NetPlus Alliance distributors reported significant gains (+8% or more) in the second quarter of 2024 compared with the same period last year, with an additional 28% reporting moderate gains (+3%-7%). Distributors attributed growth to new customers, NetPlus Alliance membership, hiring more effective sales reps, and expanded product offerings.
About two-thirds of respondents expect sales gains for full-year 2024. Members reported their top three opportunities over the next 12 months include product diversification (38%), new talent (32%), and operational improvements (32%).
For the quarter, distributors’ purchases from NetPlus suppliers were up 13.1%, and year to date, purchases are up more than 10%.
“The future is always uncertain,” said NetPlus Alliance President and CEO Jennifer Murphy. “However, our members are hard at work growing their businesses, reorganizing sales teams, improving operations, and expanding geographically. We’re here to support them and look forward to continued collaborative growth.”
INDUSTRIAL SUPPLY MAGAZINE
The November/December issue of Industrial Supply magazine features an in-depth cover story about Kimball Midwest. Plus, we're featuring articles by contributing writers Dirk Beveridge, Frank Hurtte, and Mike Marks, as well as interviews with numerous product and distribution industry experts.
