State of E-Commerce in Plumbing Distribution

E-commerce revenue progression grows from 9.3% of total sales in 2023 to 11.6% in 2024 and 12.2% in 2025. The pattern suggests an inflection point where digital commerce transitioned from supplementary to more substantive status for distribution operations, though overall revenue remains below 15% indicating continued dominance of traditional transaction channels including phone orders, counter sales, and field sales placements.
 

Digital revenue penetration tiers show concentrated distribution patterns and progression across three measurement periods. Firms achieving more than 10% e-commerce revenue increased from 28% in 2023 to 33% in 2024 and 41% in 2025, representing a 13 percentage point gain over two years. The more than 20% tier grew from 13% to 19% and stabilized, while the more than 30% tier progressed from 8% to 10% before declining to 7% in 2025. This distribution indicates moderate advancement in mainstream adoption with limited progression among high-penetration leaders, suggesting natural ceilings emerging where firms face operational constraints or strategic choices limiting further penetration.
 

Product data development reliance shows heavy internal resource dependency, with 44% indicating very heavy reliance on in-house teams compared to 31% for third-party organizations and 25% for groups and associations. When combined with heavy and somewhat heavy categories, in-house reliance totals 88%, third-party 70%, and groups 62%. This distribution indicates most firms depend primarily on internal resources for content development, supplemented selectively by external sources where cost-benefit justification exists or specialized expertise provides advantages. Platform-bundled content shows minimal very heavy reliance at 4%, suggesting integrated content solutions have not achieved widespread adoption despite theoretical advantages of seamless integration.
 

Return on investment satisfaction patterns indicate concentrated moderate satisfaction alongside substantial dissatisfaction segments. Moderately satisfied comprises the largest single category at 37.5% of respondents, with very satisfied at 16.5% and extremely satisfied at only 5.7%. The combined satisfaction segment totals 59.7%, while dissatisfaction segments comprise 40.2% split between slightly satisfied at 20.3% and not at all satisfied at 19.9%. This distribution suggests digital commerce investments frequently underperform expectations, with substantial proportions of firms experiencing returns below their investment thresholds or failing to deliver meaningful business outcomes relative to resource commitments.
 

Marketing vehicle effectiveness rankings demonstrate field sales representative dominance at 55% selecting it as most effective, substantially exceeding customer service representatives at 32% and inside sales at 24%. These three human-centered channels command the top positions, with digital marketing vehicles positioning significantly lower including SEO at 23%, email marketing at 11%, and marketing automation at 10%. This pattern indicates human relationships continue governing demand generation despite increasing digital transaction volume, with digital marketing functioning to enable rather than replace consultative sales processes characteristic of technical product distribution.
 

Market Trends & Growth Analysis

E-Commerce Revenue Progression

Digital commerce revenue as a percentage of total sales demonstrates measurable acceleration across the three-year measurement period. Starting at 9.3% in 2023, revenue revenue increased to 11.6% in 2024, representing a 2.3 percentage point gain. The trajectory continued upward to 12.2% in 2025, adding another 0.6 percentage points. The total progression of 2.9 percentage points over two years indicates sustained momentum in digital channel adoption.

Figure 1: E-Commerce Revenue Growth (2023

The 12.2% revenue rate in 2025 indicates digital commerce maintains supplementary rather than dominant status for most distribution operations. Traditional transaction channels including phone orders, counter sales, and field sales placements continue commanding approximately 88% of revenue. This distribution reflects product complexity, technical consultation requirements, and relationship-driven sales processes characteristic of plumbing distribution where digital platforms facilitate execution of decisions made through human interaction rather than enabling autonomous customer self-service for complex specification-driven purchases.

Digital Revenue Revenue Tiers

Distribution of firms across digital revenue revenue thresholds reveals progression patterns across the three measurement periods. The proportion of firms achieving more than 10% e-commerce revenue increased from 28% in 2023 to 33% in 2024 and 41% in 2025. This 13 percentage point gain over two years indicates mainstream firms crossing into double-digit digital revenue territory, representing a meaningful shift in channel mix though still leaving 59% below the 10% threshold in 2025.

Figure 2: Distribution of Firms by E-Commerce Revenue Revenue Tier

The more than 20% tier demonstrates more modest progression, growing from 13% of firms in 2023 to 19% in both 2024 and 2025. The stabilization at 19% suggests a natural ceiling emerging where firms face operational constraints, market characteristics, or strategic choices limiting further revenue. This plateau may reflect maximum feasible digital revenue given product mix, customer preferences, or transaction characteristics requiring human interaction. The absence of growth between 2024 and 2025 indicates this tier represents an equilibrium point for current platform capabilities and customer adoption patterns rather than a transitional stage toward higher revenue levels.

Digital Maturity and Adoption

Sector Positioning Analysis

Distribution sectors demonstrate distinct positioning when plotted across maturity (revenue % from e-commerce) and adoption (% of companies in a sector that offer e-commerce) dimensions, revealing performance clusters and sector-specific trajectories. JanSan operations position at approximately 35% adoption and 36% maturity, representing the highest performance cluster among measured sectors.
 

Plumbing distributors position at approximately 28% adoption and 12% maturity, placing in the mainstream cluster alongside building materials at 14% maturity and HVACR at 14% maturity. This positioning indicates plumbing follows neither leading nor lagging trajectories relative to distribution peers, instead demonstrating adoption and maturity levels consistent with traditional construction supply sectors. The positioning suggests similar operational characteristics, customer base profiles, technology investment patterns, and organizational priorities across these related verticals serving construction and mechanical contractor markets.

Figure 3: Digital Maturity vs. Adoption by Distribution Sector

Product Data Development Patterns

Product data development reliance reveals the operational challenge of maintaining comprehensive content across large SKU portfolios typical of distribution operations. Plumbing has the greatest reliance on In-house teams at 44%, with an additional 27% indicating heavy reliance and 17% somewhat heavily. This distribution totaling 88% with at least somewhat heavy reliance indicates internal resources provide the foundation for product content development across most firms, supplemented selectively by external sources where cost-benefit justification exists or specialized expertise provides advantages internal teams cannot replicate.

Figure 4: Product Data Development Reliance by Source

Strategic Priorities & Business Objectives

ROI Satisfaction Distribution

Return on investment satisfaction patterns indicate concentrated moderate satisfaction alongside substantial dissatisfaction segments, revealing mixed outcomes from digital commerce investments across the distribution sector. Moderately satisfied comprises the largest single category at 37.5% of respondents, suggesting a plurality of firms view their e-commerce investments as producing acceptable but not exceptional returns. This moderate satisfaction level reflects platforms functioning adequately without delivering transformative business impact, substantially exceeding performance expectations, or generating returns clearly justifying continued investment expansion.

Figure 5: E-Commerce ROI Satisfaction Distribution

The satisfaction segment showing very satisfied and extremely satisfied totals 22.2%, with very satisfied at 16.5% and extremely satisfied at 5.7%. This limited concentration among highly satisfied respondents indicates only roughly one-fifth of firms believe their digital commerce investments achieved or exceeded ambitious performance targets. The small extremely satisfied segment at 5.7% suggests exceptional digital commerce outcomes remain rare, potentially reflecting genuinely outstanding execution combining superior platform capabilities with effective customer adoption programs, or alternatively indicating modest expectations among most firms where any positive return generates satisfaction.
 

The dissatisfaction segments comprise 40.2% of respondents, split nearly evenly between slightly satisfied at 20.3% and not at all satisfied at 19.9%. This substantial dissatisfaction concentration indicates two-fifths of firms view their e-commerce investments as underperforming relative to expectations or requirements. The nearly equal distribution between slight and no satisfaction suggests diverse sources of disappointment, ranging from platforms generating some value but insufficient to justify investment costs through complete failure to deliver meaningful business outcomes. This dissatisfaction may drive platform abandonment, significant reinvestment to address deficiencies, or strategic reassessment of digital commerce viability for specific business models.

Operational Imperatives

Marketing Vehicle Effectiveness Rankings

Marketing vehicle effectiveness rankings demonstrate field sales representative dominance across distribution operations, with 55% of respondents selecting field sales as the most effective demand generation vehicle. This substantially exceeds customer service representatives at 32% most effective and inside sales at 24% most effective. These three human-centered channels command the top positions, collectively representing concentrated effectiveness far exceeding all digital marketing vehicles combined. The pattern indicates personal relationships and consultative engagement continue driving demand generation despite increasing digital transaction volume and platform sophistication.

Figure 6: Marketing Vehicle Effectiveness Rankings

Digital marketing vehicles position substantially lower in effectiveness rankings despite their prominence in broader e-commerce contexts. SEO and organic search shows 23% selecting it as most effective, representing the highest-ranked digital vehicle but trailing all three human-centered channels. Email marketing appears at 11% most effective, marketing automation at 10%, and print catalog at 9%. Pay-per-click advertising, social media, mobile apps, and direct mail all show single-digit most effective percentages. This distribution indicates digital marketing tools serve awareness and consideration functions rather than direct demand generation, with buyers conducting research online but requiring sales interaction before transaction completion.
 

The field sales dominance reflects the consultative nature of plumbing distribution where product selection involves technical specifications, application questions, code compliance verification, and installation considerations benefiting from direct conversation with knowledgeable personnel. Inside sales representatives emerge as a strong second tier, suggesting hybrid models combining human interaction with operational efficiency generate substantial demand while maintaining technical support capabilities. Customer service representatives at 32% most effective demonstrate that problem resolution and order support create significant customer value, with effective service driving repeat purchase behavior and relationship retention.

Marketing Enablement & Adoption Drivers

Customer Adoption Patterns

Customer adoption of digital commerce channels follows predictable patterns driven by buyer demographics, purchase characteristics, relationship tenure, and product complexity. Younger buyers demonstrate substantially higher propensity for digital transaction completion compared to buyers over 55, who often use websites for product research and pricing visibility but prefer phone or counter interaction for order placement and technical consultation. This generational divide creates adoption trajectories where digital penetration increases as buyer populations turn over through retirements and new hires, though the pace varies by customer segment, geographic market, and product category characteristics.
 

Purchase frequency and order predictability influence adoption rates, with customers buying routine items on regular schedules adopting digital channels readily while appreciating convenience and speed advantages over traditional ordering methods. Maintenance and repair buyers ordering familiar products in predictable quantities show highest digital adoption rates. Project-based buyers purchasing irregular quantities of varied products show lower adoption, as their orders require specification confirmation, availability checking across multiple locations, pricing negotiation for large quantities, and delivery coordination with construction schedules. This creates bifurcated adoption where routine purchasing goes digital while complex project purchases remain largely analog requiring human coordination.

Sales Force Engagement

The dominant effectiveness of field sales representatives ranking as most effective by 55% of respondents indicates successful digital transformation depends on sales force buy-in and active promotion rather than technology deployment alone. Counter staff, customer service representatives, and field salespeople serve as informal platform ambassadors in customer interactions, recommending digital ordering when appropriate, demonstrating platform capabilities during sales calls, and troubleshooting customer issues preventing adoption. When internal staff lack platform familiarity, receive inadequate training on digital capabilities, or perceive digital channels as threats to their roles and compensation, they may actively discourage customer adoption through subtle resistance, skeptical comments about platform reliability, or failure to mention digital ordering as an option.

Figure 7: Marketing Vehicle Effectiveness Rankings (Detail View)

Strategic Implications & Observations

Analysis of performance patterns across digital revenue tiers, maturity positioning, content development approaches, and marketing effectiveness configurations reveals distinct characteristics associated with different penetration levels and operational approaches. These patterns emerge from organizational choices about platform investment priorities, content development strategies, sales channel integration approaches, and customer adoption programs rather than representing universal outcomes or prescribed best practices applicable across all distribution contexts.
 

Organizations achieving more than 20% e-commerce revenue, representing 19% of survey respondents in 2025, typically demonstrate several common characteristics distinguishing their approaches from lower-penetration peers. Platform investments emphasize comprehensive product content development, with higher completion rates across SKU portfolios supporting effective self-service for routine purchases. These firms often maintain dedicated content teams including photographers, copywriters, and product specialists, or leverage comprehensive third-party data subscriptions providing syndicated content, achieving 70-80% complete product data across active SKUs compared to 50-60% completion rates among mainstream performers.
 

Integration maturity differentiates high-penetration organizations, with real-time inventory visibility, automated pricing application incorporating customer-specific contracts, and straight-through order processing common operational capabilities. Customer experience investments address observable friction points through mobile-responsive designs optimized for job site ordering, personalized product recommendations based on purchase history, saved order lists enabling quick reordering of routine items, and simplified checkout workflows reducing steps required for transaction completion. Marketing approaches blend digital and traditional channels, with field sales maintaining primary demand generation roles while digital marketing supports awareness building and consideration stages rather than attempting replacement of consultative sales processes.
 

Organizations in the 10-20% digital revenue range, representing 22% of respondents based on tier distribution analysis, demonstrate characteristics consistent with mid-cycle digital development. Product data completeness hovers near 50-60% with significant SKU gaps particularly among slow-moving items, specialized products requiring technical specifications, and newer additions to product lines not yet receiving content development attention. Integration architecture varies substantially within this tier, with some firms achieving full ERP connectivity enabling real-time operations while others operate with batch updates, manual processes, or disconnected systems requiring reconciliation.
 

Customer experience capabilities meet baseline functionality requirements including product search, online ordering, account management, and order history visibility without sophisticated features like personalization, predictive reordering, or advanced search filters. Mobile experiences show mixed performance, with some firms implementing responsive designs providing acceptable mobile functionality while others maintain desktop-optimized approaches performing poorly on smartphones requiring excessive zooming and scrolling. ROI satisfaction concentrates in the moderate range at 37.5%, reflecting platforms functioning adequately without delivering exceptional business impact, transformative operational improvements, or returns clearly justifying continued investment expansion beyond current capability levels.

Developing Organizations

Organizations below 10% digital revenue penetration, comprising 59% of respondents in 2025, demonstrate characteristics indicating early-stage development, resource constraints limiting platform enhancement, or strategic de-emphasis of digital channels. Product data completeness frequently falls below 40%, with missing images, incomplete specifications, generic descriptions copied from manufacturer catalogs, and limited technical detail constraining platform utility for product research and specification development. Integration gaps are pronounced, with manual order entry into ERP systems, batch inventory updates introducing lag, and disconnected pricing requiring manual verification creating customer friction through stock-outs on items displayed as available and pricing discrepancies between online display and actual charge.
 

Organizational factors often underpin lower-tier positioning including resource allocation to other strategic priorities, limited executive commitment to digital transformation, sales force resistance to channel change threatening established relationships and compensation structures, or customer base characteristics including older demographics preferring traditional interaction, complex projects requiring extensive consultation, or relationship intensity making digital self-service unviable. Marketing effectiveness concentrates almost exclusively on field sales and customer service, with minimal investment in digital marketing, platform enhancement, or customer adoption programs. The pattern suggests platforms serve primarily order execution functions for existing relationships rather than demand generation engines attracting new business or expanding transaction share among current accounts.

Content Development Approaches

Organizations relying heavily on in-house content development at 44% very heavy reliance typically maintain dedicated content teams, implement formal product information management systems, and establish processes for manufacturer data onboarding and ongoing maintenance. These firms prioritize content control and customization over cost efficiency, viewing product data as strategic asset differentiating their platforms rather than operational overhead requiring minimization. The approach enables differentiation through application expertise, customer-specific guidance addressing local code requirements or installation practices, and technical detail exceeding manufacturer-provided specifications.
 

Organizations leveraging third-party content providers at 31% very heavy reliance typically face resource constraints limiting internal content development capacity or operate across broad product categories where syndicated data provides cost-effective coverage. These firms accept standardized content in exchange for rapid deployment and comprehensive SKU coverage, trading customization for completeness and speed to market. The approach works effectively for commodity products with straightforward applications though may prove insufficient for specialized items requiring technical expertise, customer-specific guidance, or regional code compliance details not included in syndicated databases serving national distribution markets.

Methodology

This analysis derives from primary survey research conducted among wholesale distribution manufacturers and distributors across multiple industry sectors including plumbing, HVACR, electrical, industrial, safety, JanSan, building materials, electronics, and gas and welding. Survey administration occurred through industry association partnerships and direct distributor outreach during 2024 and early 2025. The total sample included 896 respondents across all distribution sectors, with plumbing-specific analysis drawing from 68 respondents identifying plumbing as a primary operating sector. Cross-industry benchmarks and comparative metrics derive from the full 896-respondent sample providing context for sector-specific performance evaluation.
 

Respondent job functions concentrate in executive management at 55.1%, general management at 10.7%, and operations at 8.0%, with additional representation from marketing, finance, and sales roles. This distribution reflects targeting of decision-makers with authority over e-commerce strategy, platform investment decisions, and resource allocation priorities. Age distribution skews toward experienced professionals, with 52.6% of respondents between 46-65 years old, providing perspectives informed by extended industry tenure and operational experience spanning multiple technology adoption cycles.
 

Survey questions employed multiple formats including percentage assessments for revenue penetration and content reliance, priority rankings for strategic objectives, satisfaction scales for ROI evaluation, and effectiveness rankings for marketing vehicles. Digital maturity metrics combine platform age, feature sophistication, integration completeness, and organizational commitment indicators. Adoption metrics reflect digital revenue penetration, customer engagement levels, and transaction volume concentrations. Analysis methodology emphasizes pattern identification across performance tiers, sector comparisons, and temporal progression rather than causal inference given observational research design.
 

Statistical analysis remains descriptive, revealing distributions and relationships without attributing causation given sample size constraints within individual sectors and the cross-sectional nature of data collection. Survey methodology introduces limitations including response variability across questions with some topics generating incomplete responses, self-reported data potentially containing estimation error particularly for revenue percentages and SKU counts, and sample composition skewing toward firms actively engaged with industry associations and digital commerce initiatives. These limitations suggest results may underrepresent organizations with minimal digital presence, strategic skepticism about e-commerce investment value, or operational challenges preventing survey participation.

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Distribution Strategy Group provides strategic consulting, proprietary analytics platforms, and industry research to wholesale distribution executives. For additional information on e-commerce strategy, digital transformation, or custom research projects, contact Distribution Strategy Group.