Anixter International - Competitors

Anixter International Competition

Now Viewing Anixter International's competition in: Industrial Supply Wholesalers (primary)

Recent Developments

Manufacturing Sector Stagnant - The US manufacturing sector, an indicator of demand for industrial supplies, was flat in May 2008 according to an Institute for Supply Management (ISM) report. Manufacturers generally are suffering with high costs for raw materials and lower demand from a slowing economy. Exports have been a high point for manufacturers as the weak US dollar makes US products more competitive abroad.

Machine Tool Spending Increases - Companies spent nearly 20 percent more on machine tools in the first five months of 2008 compared to a year ago, according to the Association for Manufacturing Technology and the American Machine Tool Distributors' Association. Machine tool consumption is an indicator of demand for industrial supplies. Export demand for US manufactured goods and the global increase in infrastructure spending are largely responsible for the growth of the machine tool market.

Shipments, New Orders Flat - Durable goods shipments and new orders grew only slightly in April 2008 compared to a year earlier. Overall durable goods shipments for April grew 0.5 percent; new orders increased 6 percent. Motor vehicles and parts were hardest hit, with both shipments and orders falling 12 percent; semiconductors and transportation shipments also declined. Overall US shipments and orders were bolstered by the booming defense aircraft and parts sector, which saw shipments grow 33 percent and orders rise more than 75 percent.

Competitive Landscape

Demand is closely tied to the level of US manufacturing production. Because many operating costs are fixed, profitability depends on operational efficiency, particularly inventory management. Smaller companies can compete effectively by providing specialized supplies or superior service (delivery service and product expertise). Large distributors with a network of warehouses and outlets can maintain a lower inventory/sales ratio. The industry is highly automated: average annual revenue per worker is close to $500,000.

Full Industry Overview For Industrial Supply Wholesalers

Industrial Supply Wholesalers Industry Forecast

from Hoover's/D&B subsidiary First Research

Domestic demand for the US manufacturing sector is forecast to grow at an annual compounded rate of 4.6 percent between 2007 and 2012.

Manufacturing Demand Growth Dips and Recovers

First Research forecasts are based on INFORUM forecasts that are licensed from the Interindustry Economic Research Fund, Inc. (IERF) in College Park, MD. INFORUM's "interindustry-macro" approach to modeling the economy captures the links between industries and the aggregate economy.