The Industrial distribution market is on an upward trajectory. It is presently exhibiting a CAGR of 4.5%, which is set to hold steady until 2032 when it will clock just shy of $12 trillion. Within this fast-growing industry, the only constant that we can expect is change. That’s because technology is always on the move, and so are customer preferences. Moreover, as we witness data laws continually tighten the noose, we can expect even more disruptions. To help get you ready, we thought it wise to sample some of the latest predictions and trends. Particularly, we’ll cover platforms that focus on industrial equipment sales. Let’s get drilling.
Adoption of circular economies
A circular economy works this way: once you find a tool or piece of equipment is now redundant, you resell or recycle to a third party. This approach alleviates the need to buy new equipment off the bat and focuses on four core principles, namely:
- Recycling
- Remanufacturing
- Reuse
- Longevity
Online industrial marketplaces are focused on platforms driven by circular economies. For example, industbay offers a marketplace that reinjects both new and used industrial machinery into the market. Some online marketplaces are easing the pressure on manufacturers, thereby reducing the cumulative carbon footprint. In the end, this means enhanced sustainability efforts and a positive impact on climate change.
Greater B2S (Buyer to Seller) connectivity
Another huge trend that is also taking the industrial world by storm is Buyer-to-Seller connectivity. Or, as I like to sobriquet it, the B2S model. With an eBay kind of approach, buyers reach out directly to sellers without the need for the intervention of a third party.
Online industrial marketplaces such as Industbay are once again proof of the growing popularity of this technique. It allows both seller and buyer to connect via direct messaging, and even via social media means such as WhatsApp. Direct buyer and seller interactions are getting more popular by the day and will be the order of businesses in the coming years.
Use of machine learning for personalization
Artificial intelligence is ruling online marketplaces. In particular, the facet of AI called machine learning (ML) is being leveraged to ensure customization in a bid to:
- Give industrial shoppers a more intimate shopping experience
- Provide interactive and meaningful content
- Customize products and surveys
In the past, such marketplaces have always relied on surveys and quizzes to get into the mind of their market. Machine learning is making it all the easier, harnessing big data to offer individualized experiences for each member. It is a trend that I reckon will catch on even more within the decade.
Growth of subscription models
Keeping the revenue stream flowing is a constant headache for many online industrial marketplaces. Also considering the fact that existing customers are 300% more likely to buy from their brand than new leads, it’s clear just why these platforms are migrating to subscription models.
This type of approach works to ensure better retention and more repeat business for the brand. By the end of 2023, statistics tell us that about 3 in every 4 direct-to-customer businesses will provide subscriptions for their customer base as they seek to enhance loyalty and recurring revenue.
VR for industrial equipment inspection
At the moment, most online industrial marketplaces allow buyers to inspect products by way of high-quality website pictures. But sometimes nothing beats the comprehensive nature of an in-person inspection that allows the viewer to check out the machinery from different angles.
Yet, in-person inspections can be tedious, time-consuming, and even costly. To beat these inconveniences and still ensure a more detail-oriented approach to equipment inspection, we’re bound to see marketplaces turning to virtual reality technology.
It is a technique that’s presently in use in the interior décor sector, where brands enable customers to see how virtual paint would be within a space, for example, before they make a purchase decision. The use of VR in a similar fashion is bound to make its way to industrial marketplaces sooner or later. It may be used to help buyers assess equipment in terms of:
- Aesthetic depreciation
- Noises and sounds
- Missing parts
- Feel of use, etc.
Sales personalization via zero-party data
User privacy concerns have continually plagued third-party data, causing public uproar the world over. In 2022 alone, we witnessed more than 422 million data breach cases, which is a testament to just why third-party data received so much backlash.
Most eCommerce websites, not just industrial machinery marketplaces, have been getting the data they need for personalization through third-party cookies. But with that being deprecated by 2024, a new trend is these websites switching to zero-party data collection strategies.
Zero-party data collection involves customers willingly offering personal information to the brand. This can occur through customer messages, polls, quizzes, and surveys, typically with incentives that make it worth their while.
Rise of voice search & mobile shopping
Today, 91% of Americans under the age of 50 use their smartphones to shop online. This trend is gaining momentum as these devices have become the most convenient or readily available means of accessing the internet. As a result, online industrial marketplaces are prioritizing responsive web design to fit a variety of mobile screen resolutions and ensure optimal shopping experiences on any device.
But that’s not all. mCommerce aside, another huge trend is also sweeping many online marketplaces off their feet. We’re talking about voice search, which today is responsible for handling close to 94% of search queries.
Therefore, this will mean that online industrial marketplaces will also have to pay a lot of attention to voice search optimization, which entails:
- Leveraging conversational keywords
- A multilingual approach
- Device behavior monitoring, etc.
With voice assistants becoming a part of everyday life, these websites may also need to include voice assist features for shoppers in the not-so-distant feature.
Stay ahead with Industbay
It’s an exciting time for industrial equipment sales. Some of the top trends and predictions worth keeping an eye on are VR tool inspections, zero-party data, machine learning, and the growth of circular economies, just to name a few. If you’d like to stay one step ahead of the evolution- and your competition, check out the Industbay website. Industbay is a fast growing online marketplace for Industrial machinery and tools. Stop over by their site for super awesome deals on various Industrial equipment. Or sign up for their newsletter to keep your finger on the pulse of the industrial equipment market and never miss a beat.
