Where is the Janitorial Supply Distribution Industry going?

Going going gone?

Not for now?

Not forever.  My thoughts?  We are about to go through a sanitary supply renascence!

Sounds kind of goofy, but I think it is reality.  When I was straight out of school and entering the work world the Janitorial Supply industry was booming with over 1500 distributors in Canada and 30,000 in the US.  Now?  The numbers have greatly changed in the past 25 years.  

In Canada five national players dominate the marketplace.  Literally eight years ago a national big box chain decided to enter the Sanitation market.  Due to a recent acquisition effort this chain had to give up a sizable portion of their business to become dominant in their original marketplace.  What part did they offer up?  Their least profitable of course.  Although this has yet to be finalized the real news is the potential spin off was 650 million in net sales.  To many of us billions sound like millions used to just a few years ago.  Considering that the North American market for Sanitation products is somewhere between 6 and 20 billion dollars annually depending upon who posts the figures.  Most likely these numbers are a major underestimate.

The scary reality is that a company in ten years can literally own as much as ten percent of the market in eight years.  No doubt they have hired the best people they can get their hands on.  Implemented the best inventory and distribution techniques.  Getting products into the hands of the end user in less than 48 hours almost always with complete order fulfillment.  And always at market leading prices. 

What gives?  

Should I phone it in?  Take their next offer?

I don't think so.  Business always goes through cycles.  

My belief is that there will always be plenty of room for independent distributors.  True enough the Internet has made information available for everyone.  Endless amounts in fact.  If it is your nature to take the time to research and develop programs based upon advice offered for free by distributors that likely will never be able to fulfill your order.  

What happens when something goes wrong?

How do you solve it?

The answer is obvious.  You go to where you know you will get what you need.

The real question?  Will you continue to deal with the distributor who is there with the right answer and the right product?  Only you can answer that one.