Manufacturers and distributors talk much about AI and how they are using, or planning to use, it within their business workflows to improve sales processes, customer service, deliver analytics, improve warehouse automation, pricing, and more. Trane Technologies is taking AI the next step and seeking to integrate it into its products. According to the Financial Post, in an … [Read more...] about Trane and BrainBox AI Join Forces
Distribution Strategy
Update : Auer Steel continuing to partner with end customers to recruit future associates
The Auer Steel and Heating Supply Company team continues to create programs that matter for their end customers and the channel. In September, we first started featuring Auer Steel's work (led by Jon Hirsch) to bring that next generation of HVACR professionals into the industry. They as a HVACR distributor are one of the most active advocates promoting the benefits of the … [Read more...] about Update : Auer Steel continuing to partner with end customers to recruit future associates
Tomorrow’s Warehouses … Powered by AI
There's lots of talk regarding AI. Many wondering "what are others doing" and asking "what should / can I do? As well as "where can it help me 'the most'?" Lots of heady questions but talking amongst yourself doesn't get anywhere. This is when talking to experts help. One that can help HVACR distributors improve their warehouse operations is Will Quinn. Many know Will as … [Read more...] about Tomorrow’s Warehouses … Powered by AI
Building and Keeping a Winning Culture Through Leadership
The famous Peter Drucker said "culture eats strategy for breakfast." The one thing he didn't say, but inferred, is that culture stems from great leadership. In a time where seemingly everyone is running faster than ever and, for much of your staff, this year may have been a grind, a strong culture that is reinforced by appreciative leadership, is critical. Consider … [Read more...] about Building and Keeping a Winning Culture Through Leadership
Ferguson Annual Report Analysis … HVACR and Plumbing Dual Trade focus continues
A few weeks back my colleague David Gordon wrote a column on Ferguson's Q4 numbers. Ferguson added to that release with additional information that was contained in their full annual report. I wanted to see what the Ferguson Annual report had to share to our recent analysis in HVACRtrends, and the distributor series on Ferguson that I wrote for MDM. Did anything major … [Read more...] about Ferguson Annual Report Analysis … HVACR and Plumbing Dual Trade focus continues
Watsco growth highlighted in MDM Series
Watsco's Growth over the past 20+ years has been driven by a core buy and build philosophy and an investment in digital customer self service tools and services. I eagerly anticipated writing the Case Study series on Watsco for Modern Distribution Management, as I consider its strategic approach unique in the North American B2B distribution. Watsco operates as a … [Read more...] about Watsco growth highlighted in MDM Series
Managing inventory is the key to driving sales and gross margin
Managing your inventory is the key to driving both top-line sales and gross margin performance in 2025 – I had a discussion last week with my colleague Brent Johnstone from ACTvantage about ways distributors can increase gross margin without hurting top-line sales. When we first both got into distribution, the prevailing thought of most distributors and manufacturers in the … [Read more...] about Managing inventory is the key to driving sales and gross margin
Prokeep Helps Capture the Text and Turn it Into Dollars
As distributors seek cost-effective ways to improve customer experience, improve productivity and have a cost-effective sales tool, while doing all of these digitally, HVACRTrends is pleased to welcome our newest partner, Prokeep. Prokeep offers a unique solution to distributors, which can also cost-effectively and easily be used by manufacturer representatives, which … [Read more...] about Prokeep Helps Capture the Text and Turn it Into Dollars
Is Your Team Curious? Are You Investing in “Ventures?”
Recently I was talking with a client about strategic planning as they are beginning their journey to define their path forward to 2030. They’ve set a goal, identified values, have a vision of their purpose, and currently have a strong business. The executive management team is being brought together to share insights and build the “framework” of the plan. After that, others … [Read more...] about Is Your Team Curious? Are You Investing in “Ventures?”
What HVACR end customer trends are crucial for 2025?
In 2015 when I was on the HD Supply Power Solutions team, I started some research with the goal of getting feedback to make better pricing decisions with direct surveys for our associates. We were roughly a $2 billion dollar business trying to improve our GM% and profits. Over the past ten years that survey has grown in size and scope to include end customers, distributor … [Read more...] about What HVACR end customer trends are crucial for 2025?
Auer Steel, investing for customer and the next generation’s success
As I was going through my story idea notebook on what to write for this week's column, I saw a LinkedIn notification on a posting from Jon Hirsch. I started following Jon's work as Director of Business Development for Auer Steel & Heating Supply Company (HVACR distributor with locations in Wisconsin, Minnesota, Michigan and North Dakota) about a year ago. What jumped … [Read more...] about Auer Steel, investing for customer and the next generation’s success
Embrace Change to Adopt AI and Improve Profits
The concept of digital transformation, let alone AI, as a future driver for your organization is probably a folly unless … You have a leader, and leadership team, which believes in change. There are two key words in the above sentence … “leadership” and “change.” Leadership infers vision, an ability to perceive “need,” an entrepreneurial mentality that desires growth, … [Read more...] about Embrace Change to Adopt AI and Improve Profits
Is your proven experienced associate led pricing model approaching a cliff?
If your winning pricing model is still being led by just your experienced sales team, it is probably time to make changes for the future. I had the opportunity to sit in on the excellent HARDI Pricing certification session that kicked off recently with my friends and colleagues leading the session from ACTvantage: Senthil Gunasekaran and Pradip Krishnadevarajan. Senthil and … [Read more...] about Is your proven experienced associate led pricing model approaching a cliff?
Rebates + Actionable Intelligence (AI) = Increased HVAC Profits
I was with a manufacturer last week and we discussed distributor acquisitions and “the why?” One of the data points we discussed was the declining net profitability of the business as a percent of sales and the corresponding increase in the contribution that rebates make to distributor profitability, which is increasing. They further affirmed this with the comment “that … [Read more...] about Rebates + Actionable Intelligence (AI) = Increased HVAC Profits
Are / Can Distributors Be Demand Generators?
Recently I visited a manufacturer client who asked me about “the channel”. Specifically, they wanted to know: “What drives distributor product selection, what is the food chain, what’s the value of each?” “Are distributors proactive in creating opportunities and selling our types of products?” In all transparency, this is a manufacturer who is owned by a PE firm and … [Read more...] about Are / Can Distributors Be Demand Generators?
