Tool & Hardware Wholesaling in Canada
Industry performance is a function of domestic manufacturing and construction output, although some operators close to the border sell to US markets as well. Over the past five years, the industry has benefited from growth in residential construction markets across North America, as well as steady growth in manufacturing markets. As a result, despite a somewhat sluggish economy, industry revenue has grown over the five years to 2018. Over the five years to 2023, IBISWorld expects the industry to experience more subdued growth. While domestic manufacturing markets are forecast to continue to slowly expand, the industry will be hampered by poor expected performance in domestic residential construction markets, with housing starts forecast to decline over the next five years. However, rising government spending and improving commodity markets should result in improving nonresidential construction figures, which will help to counteract poor performance in residential markets to some extent. Overall, revenue is expected to grow over the five years to 2023.
This industry wholesales a range of hardware products including fasteners, hand tools, power tools, locks and keys, metal knives and saw blades. Wholesalers purchase products in bulk and distribute them at competitive prices to users in the manufacturing, construction and commercial sectors. However, this industry does not distribute motor vehicle hand tools or machinists’ precision hand tools.
This report covers the scope, size, disposition and growth of the industry including the key sensitivities and success factors. Also included are five year industry forecasts, growth rates and an analysis of the industry key players and their market shares.