The Wholesale Renaissance
The wholesale distribution industry is evolving rapidly, fueled by technology adoption, shifting customer expectations, and supply chain innovation. In Carleton McKenna & Co.’s 4Q24 Wholesale Distribution Market Report, key trends point to a sector in renaissance. With the global wholesale market projected to exceed $12 trillion by 2028, distributors are embracing digital transformation, AI, and blockchain to improve operations and meet rising demand.
B2B buyers now expect personalized, seamless digital experiences similar to B2C interactions. As a result, wholesalers are leveraging smart distribution hubs, AIoT (Artificial Intelligence of Things), and real-time data tracking to enhance supply chain agility and efficiency. Meanwhile, the adoption of blockchain ensures supply chain transparency, reduces counterfeit risks, and improves transaction security through smart contracts.
Strategic Growth, M&A, and Global Expansion in 2025
Despite ongoing macroeconomic pressures, deal activity in wholesale distribution remains healthy. M&A is being driven by the rise of B2B marketplaces, global e-commerce, and strategic diversification. Notable transactions include Carleton McKenna-led acquisitions such as Premier Hydraulics and Commercial Fluid Power, where thoughtful positioning and competitive bidding environments generated strong outcomes.
International expansion continues to be a priority, enabled by advancements in logistics and digital infrastructure. However, navigating cross-border regulations and currency risks remains a challenge. The most successful distributors will be those who invest in adaptive supply chain models, personalized B2B experiences, and tech-forward operations.
For wholesalers navigating a competitive landscape of shrinking margins, heightened consumer expectations, and global expansion, this report offers actionable insights into maximizing value and positioning for long-term growth.