Distributors Prioritized New Growth Over Account Expansion
Wholesale firms are shifting focus toward acquiring new business while balancing reliance on legacy field sales channels.
Updated on Sept. 29, 2026 in Professional Services
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A 2026 report from Phocas Software surveying over 100 wholesale distributors found that firms are prioritizing new customer growth over the expansion of existing accounts. The findings highlight shifting operational benchmarks for sales effectiveness and technology adoption in the distribution sector.
Why it matters
Distributors are recalibrating their sales strategies to prioritize win rates for new business, a shift that changes resource allocation and performance tracking. This strategic focus forces managers to balance traditional field sales methods with the increasing requirement for AI-driven insights.
Among the more than 100 surveyed wholesale distributors, 75% ranked product and usage knowledge as the most critical attribute for sales staff. Meanwhile, HVACR and plumbing firms specifically cited multi-category convenience as their customers' top priority at a 29% clip.
The players
Phocas Software
A provider of business intelligence and data analytics software specialized for the manufacturing and wholesale distribution industries.
The details
Distributors are increasingly leveraging AI tools to assist in selling, with nearly half of the industry currently utilizing the technology. Despite this digital push, firms continue to lean on traditional field or outside sales teams as their primary engine for conversion. Competitive pressure remains high for HVACR and plumbing distributors, who must navigate a mix of customer needs ranging from price sensitivity to deep technical expertise.
Timeline
The Phocas Software State of Sales in Distribution report was published in 2026.
29% of surveyed distributors plan to adopt AI for sales within the next six months.
Market Landscape
This development tracks the ongoing digital transformation in B2B wholesale sales, where AI integration is supplementing traditional, human-led sales channels. The report quantifies how firms are navigating this transition to modernize operations without sacrificing the field-based relationships.
Operators should review whether their sales incentives align with the industry-wide shift toward tracking new business win rates. Managers should specifically evaluate if their current field sales staff possess the deep product knowledge identified by 75% of peers as a top-tier success factor.
The takeaway
The move toward AI-enhanced sales suggests that the most successful distributors will be those who augment, rather than replace, their experienced field staff. Track your internal sales conversion metrics for new accounts against the broader industry shift toward acquisition-focused growth.
Further reading
For broader analysis on operational shifts, visit our Professional Services section.
Source note: This article includes information reported by The ACHR NEWS.
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