Since the Nordic region is a relatively small market for global players, they usually choose to work in this market via technology sales companies, rather than setting up their own sales organisations. Indutrade's main competitors are thus other technology sales companies. The market is fragmented and consists primarily of a large number of small, family-owned technology sales companies. Structurally, many family businesses are similar to Indutrade's subsidiaries and normally represent one or a few manufacturers in a select number of niches. Examples of such competitors include Eugen Wiberger in mechanical components and Rollco in linear systems. The market also has a few larger players, like Indutrade, as well as manufacturers that sell through their own sales organisations.
In some markets, Indutrade competes with specific subsidiaries of other major players, such as Addtech, B&B Tools, Latour och G&L Beijer. However, these companies do only limited business in Indutrade's niches, and Indutrade estimates that competition from these pertains to less than 10% of consolidated net sales. Competition from these companies is more tangible in the search for acquisition candidates.
Examples of major international manufacturers that compete with Indutrade through their own sales organisations include Hydac (filters), Loctite (chemical-technical products), Emhart (fasteners), and Sandvik and Seco Tools (metal cutting tools).
The Nordic market also has a number of wholesalers that distribute primarily high-volume products. Examples of such companies include Ahlsell and the Bufab Group. What these companies all have in common is that they market a broad range of products in which the degree of technical advice and customer adaptation is generally lower. The main competitive advantages of the wholesalers are broad product portfolios, logistics and low prices.
Since Indutrade operates mainly in product niches with a high-tech content which require solid knowledge of the customer’s processes, competition from these companies is limited to a small share of Indutrade’s sales. Indutrade estimates that less than 10% of the Group’s net sales face competition from pure-play wholesalers.