Our business model and strategy
Our competitive advantage
We have a distinct competitive advantage at RS as the critical link between some of the world’s leading suppliers of industrial products and a diverse customer base that want to purchase in small volumes and demand high service levels. We have a global presence and scale, a strong digital platform and distribution infrastructure and increasingly have a solutions and service orientation that drives customer loyalty and share of wallet growth.
What we do
We are the essential link between suppliers and industrial customers who demand a broad range of critical products in small volumes to maintain, repair and operate their businesses.
Our deep technical and industry expertise. Our understanding of customers’ needs. Our exhaustive range of product and service solutions. Our fast and responsive customer service. We bring all these strengths together to make our customers’ lives easier, keep their businesses running smoothly – and save them time and money along the way.
Our strategic actions
RS has a clear identity – we are a differentiated distributor of product and service solutions. How do we win? We are customer focused. We are product experts. Our solutions deepen customer relationships and we drive operational excellence to deliver efficient and well-invested physical, digital and process infrastructure with great people.
Target industrial MRO customers
To be our customers’ first choice, we must provide the relevant product and services that solve their procurement needs. How? By delivering excellence through a connected experience and a suite of valued product and service solutions for industrial MRO customers.
While continuing our unique service proposition for other relevant sectors, we're targeting customers with a high lifetime value and a consolidating behaviour in key vertical markets. Our target customers are those industrial customers purchasing small volumes of multi-category MRO products ranging from global multi-site operators to small single-site customers.
Increase and curate our product range
We offer a broad range of technically led and specialist industrial MRO products, with a strong focus on automation and control. We continue to increase and curate a range of products in adjacent categories and broaden our offering tailored to specific customer needs whilst leveraging our unique regional strengths.
Our strong and extensive relationships with supplier ensure we can provide wide product choice, availability and substitute options. Our own brand, RS PRO, is a key differentiator for us, offering customers high-quality, competitively priced products.
Scale our service solutions
We offer solutions that create customer loyalty and address our customers’ problems that drive product pull through. While our service solutions are mainly digital, we also have a number of revenue-generating services such as our maintenance solutions, tailored to maximise productivity, minimise waste and expand the lifespan of assets, and safety solutions which include personal protective equipment and hygiene control solutions.
By making our customers’ lives easier across their business lifecyle, we are strengthening our relationships, driving recurring revenue and increasing customer lifetime value.
Strengthen our customer experience
The best future for our core customers doesn’t involve a trade-off between digital experience and a human touch – it involves the best of both. Our customers want to tap into our technical knowledge and insight. But they also want doing business with us to be easy.
We’re finding ways to make customers’ MRO procurement faster, seamless and more efficient. We're focusing on providing a more personalised and bespoke customer service for higher-value customers as we optimise our costs to serve. Creating a better and tailored overall customer experience that won’t just differentiate us from our competitors, it will expand our share of customers’ wallets and increase their loyalty.
Deliver operational excellence
We want to do the basics brilliantly – building strong foundations to operate more efficiently through executional excellence, innovation and simplifying our business model. By operating more efficiently, we become more effective – enabling us to become a trusted partner in problem solving for suppliers and customers alike.
We're improving our operational effectiveness to drive efficiencies in our technology and digital processes and physical infrastructure. We're focusing on developing process efficiency, where things can be done better consistently. We're evolving our enabling functions to share expertise and provide support across the Group.
We’ve been strengthening our leadership structure with a clear focus on executing our talent development framework and increasing diversity and inclusion. All of this will make sure we have the very best people working together to deliver results that delight all our stakeholders.
Becoming first choice
2,500 +
suppliers of industrial MRO products
750 k+
stocked products
25
distribution sites across the globe
1.1 m
customers
£ 257
average order value
50.6
Net Promoter Score