How Small to Mid-Sized Distributors Can Compete with Big Players

The landscape of B2B distribution strategies has changed dramatically in the past decade. Large competitors like Amazon Business, Grainger, and national supply chains have raised customer expectations with seamless online ordering, instant access to pricing and inventory, and self-service purchasing tools.

For small to mid-sized distributors, this shift can feel overwhelming. Competing on price alone isn’t sustainable, and relying solely on personal relationships and traditional sales methods leaves many businesses vulnerable to disruption.

However, B2B product distribution technology is the great equalizer. By embracing B2B eCommerce, high-quality product content, and smart automation, distributors can not only survive but thrive – offering the efficiency of national competitors while maintaining the personalized service that sets them apart.

LEVERAGING B2B PRODUCT DISTRIBUTION TECHNOLOGY AS A COMPETITIVE ADVANTAGE

Many mid-sized distributors hesitate to invest in digital transformation, assuming it’s expensive or unnecessary. But technology is no longer a “nice to have” – it’s the foundation for modern B2B sales.

A well-integrated digital strategy does more than just put products online. It helps distributors:

• Attract new customers who are searching for products online
• Improve efficiency by automating manual processes
• Empower sales teams with better product data and real-time inventory
• Enhance customer loyalty by making buying faster and easier

Distributors who adopt technology can match – and even exceed – the capabilities of national suppliers, giving them an edge in a changing marketplace.

Compete with eCommerce in Your B2B Distribution Strategy

The days of B2B buyers calling for quotes or flipping through catalogs are disappearing. According to a McKinsey report, over 70% of B2B buyers prefer digital self-service or remote interactions over face-to-face sales.

A well-built B2B eCommerce platform allows distributors to:

• Offer 24/7 access to their products
• Provide contract pricing and customer-specific catalogs
• Enable quick reordering and self-service tools
• Reduce strain on sales teams by handling routine transactions online

Example: ARG Industrial’s Digital Transformation

ARG Industrial, an industrial hose and fittings distributor, recognized that its customers were shifting online. Instead of viewing eCommerce as a threat to traditional sales, they embraced it as an opportunity to enhance customer convenience while freeing up their sales team to focus on high-value interactions.

By implementing Unilog’s CX1 eCommerce platform, they built a fully integrated, content-rich website that gave customers instant access to pricing, product details, and availability. As a result, their shopping cart revenue increased month after month as customers adopted online ordering.

WINNING WITH BETTER PRODUCT CONTENT IN YOUR B2B DISTRIBUTION STRATEGY

For many distributors, product data is an afterthought – but it’s actually one of the biggest competitive differentiators in eCommerce. Customers need detailed, searchable product information to make informed purchasing decisions.

While large competitors invest heavily in rich, optimized product content, many mid-sized distributors struggle with outdated, incomplete, or inconsistent product data.

A strong Product Information Management (PIM) system solves this problem by:

• Standardizing product data across platforms
• Enriching SKUs with attributes, images, and documents
• Improving search functionality on eCommerce sites
• Reducing errors and inefficiencies in the sales process

ARG Industrial discovered firsthand how critical strong product data is to success. Before partnering with Unilog, their sales team often had to search Google or manufacturer websites just to answer customer questions. Now, with the help of enriched product content from Unilog, their eCommerce site is the go-to resource for their own team and customers alike, making the buying process faster and more accurate.

“Our website has become the source of truth for product knowledge. Our sales team isn’t carrying around a bunch of catalogs anymore,” said Mike Mortensen, CEO of ARG Industrial. “They’re pointing customers to our eCommerce site, where they can see real-time pricing, availability, and product details.”

INTEGRATING B2B PRODUCT DISTRIBUTION TECHNOLOGY FOR A SEAMLESS EXPERIENCE

Competing with larger distributors isn’t just about having an eCommerce site – it’s about creating an integrated digital ecosystem as part of your B2B distribution strategy.

Technology solutions like ERP, CRM, and PIM systems should work together to:

• Sync inventory and pricing across channels
• Automate order processing and fulfillment
• Provide real-time data for sales and customer service teams
• Ensure a smooth, self-service buying experience

Many distributors already have the right tools but lack proper integration. Investing in seamless connectivity between systems eliminates data silos, reduces errors, and enhances both efficiency and customer satisfaction.

EXPANDING REACH AND VISIBILITY ONLINE

One of the biggest advantages of digital transformation is the ability to reach new customers beyond traditional markets. A strong online presence, powered by SEO and digital content, is essential for effective B2B distribution strategies, allowing distributors to capture demand from buyers actively searching for products.

Once their content-rich eCommerce platform was up and running, ARG Industrial began appearing in top search results for key industry products – often outranking even their manufacturers.

“I’m surprised at how well our products appear in search engine results with zero dollars spent on SEO. Our website is often right underneath the paid search, sometimes above the manufacturer’s website,” remarked Mortensen.

For distributors looking to compete in a digital-first world, investing in search-optimized product content and a mobile-friendly, eCommerce-enabled website is critical.

THE FUTURE OF MID-SIZED DISTRIBUTORS: COMPETING WITH INNOVATIVE B2B DISTRIBUTION STRATEGIES

Technology is no longer a “big player advantage” – it’s a necessity for all distributors. As customer expectations continue to shift, mid-sized distributors that invest in digital transformation will be the ones that survive and thrive.

The key areas of investment for future growth include:

• AI-driven product recommendations to personalize the buying journey
• Automated inventory management to prevent stockouts and improve efficiency
• Customer portals with self-service tools to streamline ordering and support
• Integrated analytics to track customer behavior and optimize sales strategies

ARG Industrial’s journey is proof that technology-driven distributors can compete with larger rivals. By embracing eCommerce, improving product content, and leveraging smart integrations, mid-sized distributors can stay ahead of market changes, attract new customers, and future-proof their business.

THE TIME TO INVEST IN B2B PRODUCT DISTRIBUTION TECHNOLOGY IS NOW

The gap between tech-enabled distributors and those relying on traditional sales models is widening. Customers expect self-service tools, seamless online ordering, and real-time product information – and the distributors who deliver it will win.

If you’re looking to modernize your business and compete more effectively, now is the time to invest in the right B2B product distribution technology and product content strategy.

Take the Next Step in Your Digital Journey

Unilog’s CX1 Platform helps distributors like ARG Industrial compete in a digital-first world. See how our solutions can transform your business. Request a demo today!