Distribution – Wholesale

The more things change, the more they look like wholesale distribution.

Market dynamics are driving digital transformation.

Wholesale distributors would agree: no industry is changing faster than theirs. And the market forces are only mounting:

  • Customer loyalty is no longer based on long-term relationships.
  • B2C expectations are spilling into B2B, with customers seeking the best experiences.
  • Buying patterns are shifting from branch-based distributors to computer-based purchases.
  • Competitors are embracing digital transformation to improve internal operations and optimize collaboration up and down the supply chain.
  • The industry is consolidating rapidly – a big shift in a sector where the 50 largest companies generate only one-quarter of market revenues.

That’s not to mention the existential threat of powerful, digital-first disruptors that are stealing market share – and redefining the marketplace. In fact, wholesale distributors cite online players as their No. 1 business pain point1

Capgemini is purpose-built to guide wholesale distribution companies as they master these market shifts and tech-triggered trends. Our team of experts works with you to create a digital vision and a transformation road map. We equip you to start projects today that ladder up to long-term strategic goals.

IT investments that drive business success

A rapidly changing market calls for decisive action. At the same time, industry outlook remains strong, with nearly one-half of wholesale distributors expecting 5% to 10% growth.2

The upshot? Now is a great time to invest in digital transformation. Wholesale distributors are shoring up their core ERP systems while deploying transformative customer solutions. Top priorities for IT investment include e-commerce (43%), CRM (34%), pricing (23%), and sales mobility (22%).3

Smart companies are also experimenting with emerging technologies – from Internet of Things to artificial intelligence – for greater transparency, collaboration, and agility. Many are experimenting with blockchain, according to a Capgemini study of 450 companies in manufacturing, consumer products, and retail. Top drivers include improvements in cost (89%), traceability (81%), and transparency (79%).4

Capgemini knows from experience how to leverage technology and optimize processes to improve wholesale distribution operations across the value chain. We employ proven methodologies to adjust the levers of platforms, applications, processes, change, leadership, and workforce.

Real-world solutions for real-world results

At Capgemini, digital transformation isn’t just a concept. Our wholesale distribution clients are already taking bold steps to succeed in a dynamic business landscape:

  • A leading dental, veterinary, and rehab specialty distributor is leveraging best-practices ERP and automated processes to drive short- and long-term growth.
  • A global aircraft-parts distributor is transforming raw data into actionable knowledge to optimize supply networks.
  • An automotive- and aerospace-coatings maker with a global distribution network consolidated IT systems to centrally manage operations and optimize collaboration.

Discover how Capgemini can help you create and realize a better future for your wholesale distribution business.

1,2,3 “Outlook for Wholesale Distribution in 2018,” Modern Distribution Management, March 2018
3“Does Blockchain Hold the Key to a New Age of Supply Chain Transparency and Trust?” Capgemini Research Institute, October 2018

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