NetPlus Industry Outlook: Distributors expect '26 sales to grow at least 3%
After a generally successful 2025, the vast majority of NetPlus Alliance members are looking forward to increased sales in 2026 and implementing strategies to enhance profitability.
The Industry Outlook, a quarterly report based on a survey of NetPlus members, tracks business results and trends in the industrial and contractor supply markets. The latest quarterly survey was completed in January 2026, and the report was based on fourth-quarter results of 2025. This survey included a series of questions designed to provide NetPlus members with benchmarking data related to gross margin, operating expenses, net profit before tax, inventory turnover, average collection period, and sales per employee.
Member purchases from NetPlus suppliers and wholesalers were up 8% in the fourth quarter and 9.4% for the year, exceeding $600 million in total. Members reported a generally positive end to 2025. One quarter of participants said that compared to the fourth quarter of the previous year, their sales were up 3–7%, while another 38% were up 8% or more. Another quarter of respondents reported sales figures being within 2% of the previous year. Just under 12% of responses were negative, indicating sales were down by 3% or more.
Distributors shared a very positive forecast for 2026. An overwhelming majority — 81% of participants — said they expect sales to be up 3% or more this year. Of those, 30% expect to be up 8% or more. Another 16% anticipate 2026 sales figures will be steady with 2025. Just under 2% of participating members are looking toward a more challenging year, expecting sales to be down by 3% or more. One distributor said they’ll potentially be down 8% or more.
To kick off the first quarter, NetPlus members shared steps they’re taking to improve their profitability this year. In addition to tried-and-true efforts — hiring more salespeople, building on existing business, adding customers, expanding into new categories and/or geographic areas, etc. — some members shared more creative strategies like incorporating thoughtful and robust college internship programs and increased digital self-service options for customers.
“NetPlus distributor members continue to demonstrate their commitment to strategic growth with our supplier partners year over year,” said Jennifer Murphy, president and CEO of NetPlus Alliance. “I’m looking forward to supporting our members as they reach the incredible heights they’re forecasting for 2026, now equipped with tools like our updated group benchmarking figures.”
INDUSTRIAL SUPPLY MAGAZINE
The January/February issue of Industrial Supply magazine features an in-depth cover story about Grainger. Plus, we're featuring articles by contributing writers Dr. Bharani Nagarathnam and Frank Hurtte, as well as interviews with numerous product and distribution industry experts.
