| SIC Codes: | 5063 |
| NAICS Codes: | 423610 |
Companies in this industry distribute electrical products used in applications such as construction and power generation, transmission, and distribution. Major US-based companies include Anixter, Graybar Electric, and WESCO; top companies based outside the US include City Electrical Factors (UK), Gerrie (Canada), Rexel (France), and Sonepar (France). Sonepar and Rexel are considered two of the top global electrical products distributors.
Sales are driven by demand from the construction, manufacturing, utility, telecommunications, and hardware retailing industries. Profitability largely depends on efficient inventory management and effective merchandising. Large wholesalers enjoy economies of scale in purchasing and in building distribution networks. Smaller operators tend to compete through a focus on specialty products or superior service. The industry is concentrated: the 50 largest companies generate more than 50 percent of sales.
Major products include interior and exterior wiring (16 percent), industrial controls (14 percent), lighting fixtures (14 percent), and switchgear and switchboard apparatus (6 percent).