Our marketplace

The road ahead? Sustainable growth

We operate in a large and fragmented industrial market. Most of our competitors are independent businesses and regional firms with a local focus – specialists with narrow product offerings, limited service solutions and less developed digital capabilities.

We’re different. In this market, we’re one of a few global distributors of maintenance, repair and operations (MRO) products and service solutions tailored for industrial customers’ needs. Our worldwide reach, broad product range, innovative service solutions and digital capabilities place us in a unique position to differentiate and disrupt.

How big is the market?

The serviceable addressable market we address is big. Our estimate: over £130 billion. And typically growing at gross domestic product (GDP).

Today, our market share globally is less than 1%. Even in our most mature market, the UK, we have a market share of under 5%. We don’t just see the opportunities – we’re ready to seize them.

One goal we know is within reach: continuing to grow market share across all our regions. We’re here to outperform the market and increase our share of customer wallet – by both selling more to existing customers and acquiring new ones.

How? By being the essential link between suppliers and industrial customers who buy many different 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 sustainably – and save them time and money along the way.

Trends shaping our market

Our B2B customers are expecting a personalised, seamless experience mirroring the B2C online experience while providing features specific to business procurement. Our suppliers want a partner that understands their technical, specialist products and can bring their products to market successfully.

Our strategic response

Enhancing digital platforms to simplify procurement for our customers, making it easier to do business with us and control spend
Continued investment in our supply chain networks and distribution infrastructure to increase capacity and local sourcing capabilities
Connecting our channels to give a seamless experience

Large B2B customers increasingly require more than simply a supplier of products seeking solutions that solve their technical and procurement challenges.

Our strategic response

Developing a digitally led solutions offering that increases product pull-through
Differentiating through technical solutions leveraging our expertise to create sticky customer relationships
Targeting specific industry verticals with service solutions that resonate with our customers’ needs in growing sectors

Our customers are seeking to simplify their supplier base and buying efficiency while being assured of high-quality, authentic products. Receiving products and services from one provider saves time and reduces total cost of ownership.

Our strategic response

Maintaining our unique broad offering of readily available products for industrial customers
Deepening our core industrial product category of A&C and Electrification
Accelerating our new product introduction capabilities to develop further an expanded product range and elevate the specialist product ranges of our acquired businesses

Consolidation in the industrial distribution market continues to increase, doubling over the last 10 years, driven by development of geographic, technical and digital capabilities¹. This will accelerate scale, extend reach and lead to improved efficiencies.

Our strategic response

Maintaining a strong balance sheet to support targeted consolidation opportunities
Disciplined focus on M&A that accelerates our strategy, expands product service or geographic capabilities, or realises scale economics leveraging physical, digital and process infrastructure
Strengthening our corporate development and integration resources to support a pipeline of potential acquisitions and integration

_{1. Consolidation statement supported by McKinsey M&A Annual Report 2025 which also specifies a 5% increase in deal volume in industrials and electronics in 2024}

Sustainability is a top priority for our high-value customers. They expect sustainable products and services that enhance operational efficiency and reduce costs, greater choice and transparency in sustainable products and detailed ESG reporting to comply with tightening regulations.

Our strategic response

Enabling customers to select more sustainable and responsible product choices they can trust, supported by clear, credible and verified product sustainability claims on RS websites
Providing suppliers with an industry-leading sustainable product framework and ESG action plan support, along with exciting go-to-market opportunities to promote their sustainable product innovations
Implementing a robust ESG plan reinforced by transparent data and reporting; top-tier ESG ratings recognising the strength of our commitment, action and disclosure