Sea Changes in the Electrical Channel, Part II: Distributor consolidation and direct sales

Sea Changes in the Electrical Channel, Part II: Distributor consolidation and direct sales

“There will be a higher percent of direct sales from electrical manufacturers in the future as manufacturers act as energy service companies (ESCOs) on major jobs.”

Electrical distributor consolidation will accelerate and plenty of opportunities will exist for large or mid-size independent electrical distributors to sell over the next five years. The national chains are on the hunt, as are super-regional chains. Strategic buyers and financial buyers such as private equity firms will drive this consolidation.

Some respondents in our survey wondered if Richard Worthy’s return as another strategic buyer with a new company, AMP Electrical Distr

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