The trade industry — compromising both the retail trade industry and the wholesale trade industry — is growing at a rapid rate due to emerging trends pushing the industry to new heights. Many sectors of the trade industry are expected to see staggering growth over the next 5 years due to emerging trends that are likely to shape the future of the global economy, such as the adoption of digital retailing.
Automobile dealers are adopting digital retailing to improve their understanding of customers’ needs and stay ahead in the highly competitive market. More retailers are now placing bulk B2B orders online due to the flexibility and convenience of these platforms and typically lower turnaround time. This is contributing to an increased shift of wholesalers and distributors towards the digital marketplace and creating an omnichannel presence for themselves. The expansion of B2B eCommerce marketplaces is also facilitating an easy transition of wholesalers to online selling.
However, despite the massive potential for future growth in numerous sectors, there are plenty of challenges ahead for the retail trade and wholesale trade industries. Due to an increase in labor costs globally, many companies need to maintain a large workforce for sales, after-sales services and support, and marketing activities. With margins always under threat from competition and other external forces, industry players are also struggling with rising labor costs. The rise in minimum and average wages due to government regulations or competition is impacting the cost that companies have to incur in securing even low-skilled jobs.
Before we dive into the future trends and challenges of trade, it is important to define the industry. BizVibe’s platform contains more than 800,000 trade companies which are segmented into 46 categories. Each category is being transformed by its own set of trends and challenges that will greatly influence the direction of the trade industry in the coming years. Below we will discuss the trends and challenges influencing major categories in the trade sectors.
Emerging Trend – Increasing Penetration of eCommerce
The purchase of fashion and accessories through online portals has been increasing over the years, and the trend has received massive support during pandemic-related lockdowns. Online sales through third-party eCommerce retailers have helped diversify the sales channels for manufacturers.
Major Challenge – Impact of COVID-19
The COVID-19 pandemic has led to severe economic challenges within the apparel sector. Demand for most categories within the apparel industry has plummeted significantly. The continued preference for working from home and social distancing norms are expected to keep the demand subdued for a prolonged time.
Emerging Trend – Development of Self-driven and Robotic Equipment
Driverless tractors, vehicles, and robotic machinery are an upcoming segment in the industry. Most of this equipment can be run in all types of weather for a prolonged working schedule, and therefore hold significant potential to increase the amount of work that can be done in a day while optimizing costs and safety. Demand for self-driven industrial vehicles and robotic equipment is still in a nascent stage but advancements in autonomous technologies are expected to bring these products into mainstream usage in the future.
Major Challenge – Shortage of Skilled Professionals
The shortage of skilled workers is increasing complexities across industries, and creating problems with quality and efficiency. The shortage will be more prominent in the longer term with an aging population, forcing operators to invest in a high-cost workforce that is appropriately skilled or high-cost technologies and automation to reduce dependence on human skills.
Emerging Trend – Growing Adoption of Organic Meat and Seafood Products
The growing awareness about the benefits of antibiotic-free meat and poultry has opened up a whole new market of organic meat and poultry products such as organic pork, organic turkey, and organic pepperoni. There is also a growing demand for plant-based vegan seafood, which is now available in varieties such as on-the-go, single-serve pouches, and different flavors. These products offer an excellent opportunity for meat and seafood product wholesalers to diversify their portfolios and cater to different customer segments.
Major Challenge – Direct-to-Consumer Strategies from Manufacturers
Manufacturers are increasingly selling their products directly to consumers through subscriptions and their own eCommerce portals. The purchase of grocery products through online portals has been increasing over the years, and the trend has received massive support during pandemic-related lockdowns. As these sales channels most often eliminate the need for an intermediary organization, wholesaling businesses are under a significant threat from these business models.
BizVibe’s platform contains more than 800,000 trade company profiles which are free to view. Each profile consists of in-depth company insights, comprising 50+ data points, including full industry trend and challenge analysis for 46 trade categories.
BizVibe company insights help provide answers to questions such as:
✓ How will industry challenges impact specific geographic regions?
✓ Which regions will emerging trends be the most prominent?
✓ What are a company’s major product and service offerings?
✓ Who are a company’s key executives and what are their roles?
✓ How is a company positioned financially?
✓ Who are a company’s major competitors?
✓ What is the risk level of doing business with a given company?
✓ What is the latest company news?
Additionally, BizVibe enables users to connect with trade companies and includes a feature that allows companies to send and respond to RFI/RFPs directly on the platform. There are trade profiles of companies from over 200 countries on BizVibe, with free access for users to discover, analyze, and connect with these trade industry companies.