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Reflecting on 2023
To serve our distributor clients better, Egret Consulting diversified our electrical wholesale distribution vertical, so we now have each position being covered by a recruiter / recruiters that focus on that product’s vertical and specific go to market strategies. Brooke and her team are lighting experts, Rob and his team are experts in power distribution, renewable energy, industrial automation and building automation, and Pati is our wire & cable and tools expert.
Most of the distributors we worked with in 2023 were flat or had slight growth over 2022 but are optimistic that 2024 will see larger increases. We have heard that they will focus on product differentiation offered by their manufacturing partners and focus on bigger solutions offerings and packaging of products to serve customer’s needs. There will also be a larger focus on new and underserved markets.
Opportunities in microgrids (specifically on the C&I side), EV charging, and energy storage are areas of continued growth in 2024. Regulatory concerns are slowing down projects, as is supply, but being agile and targeting specific project opportunities will be keys for success.
We saw a big increase in distributors hiring quotations specialists, project managers and technical salespeople / sales engineers. We’ve seen a trend in increased training with manufacturers. Most of our clients saw declines in the office / property management segment but saw growth in the C&I and contractor markets.
It seemed there were more mergers and acquisitions this year as well. A few highlights include:
• Winsupply acquired Milford Companies and Keidel Supply
• Rexel acquired Buckles-Smith
• Codale / Sonepar acquired NEDCO
• Schaedler Yesco acquired Clarion Electric Supply
• Sonepar acquired ESI (Electric Supply of Tampa
• Springfield / Sonepar acquired HOLT Electrical Supply
• BlackHawk acquired Advanced Industrial Supply
• Eckart Supply acquired ACES (Automated Controls & Electrical Supply)
• Green Mountain Electric acquired Atlantic Electrical Distributor Services
• Inline Electric Supply acquired TVW Electrical Supplies
Let’s discuss what we are seeing and hearing in the industry. We’d love to chat with you about market trends that we feel can improve your business in the new year. Egret Consulting’s industry expertise allows us to provide you with the industry’s top talent to increase sales, cut costs, and improve efficiencies. Brooke, Pati, and Rob will be attending the NAED Western Conference in Austin, TX January 15-17, 2024. If you’re going to be there, we’d love to meet you in person!
We are excited for an outstanding 2024! We welcome the opportunity to discuss your hiring needs and bring our industry expertise to exceed your growth objectives.
Merry Christmas, Happy Hanukkah, and Happy Holidays from our Egret Consulting family!
Brooke, Pati & Rob
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