GENERAL INDUSTRIES | AGENT RESOURCE
What to expect in employment and economic trends and technology
A high-level look at distributors and wholesalers
When discussing organizations in a supply chain, the terms "distributors" and "wholesalers" are often used interchangeably. While distributors and wholesalers are similar in that they both exist in the supply chain between manufacturers and retailers, their roles are significantly different:
One example is beverage distributors. They work with a bottling plant and have an exclusive territory of retailers. Distributors provide unique value, as they are able to deliver the exact amount of product a retailer wants. Without this partnership, retailers would have to buy in bulk and store that product at their business.1
One example is building material wholesalers. They purchase lumber, shingles, siding and other materials in bulk and then sell smaller quantities to lumberyards.2
Distributors and wholesalers are covered or fall under the following NAICS codes:
Industry outlook and trends
According to the Bureau of Labor Statistics (BLS) and IBISWorld, there are:
people employed in wholesale trade3
businesses in wholesale trade4
Additionally, the industry is expected to see $11.15 trillion in revenue in 2020 and has experienced 1.4% annual growth over the past five years.3 Please note that all of these figures may have changed, and are likely to continue changing, due to market swings.
Recommended lines of coverage: general liability, product liability, umbrella/excess liability, business interruption, equipment breakdown, crime, inland marine, property, workers' compensation and commercial auto
TAKE THE NEXT STEP
If you're an agent interested in growing your commercial book of business, please go to nationwide.com/agents.