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Home » Distribution Industry News » Applied for AI for Distributors: 3 Lessons Distributors Can’t Ignore

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  • Published on: June 25, 2025

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  • Picture of Will Quinn Will Quinn

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Distribution Industry News

Applied for AI for Distributors: 3 Lessons Distributors Can’t Ignore

Yesterday at the Applied AI for Distributors Conference, I sat through three back-to-back sessions on automation, software, and AI in sales, logistics, and returns. Each speaker came at it from a different angle, but a clear pattern emerged: AI isn’t just a tech buzzword anymore. It’s quietly becoming the backbone of competitive distribution.

Here are the three biggest takeaways for any distribution leader looking to bring AI into the business without getting burned.

Returns Are Bleeding You Dry—But They’re Also Your Hidden Gold Mine

Let’s get one thing straight: Returns are not just a cost center. They’re a slow leak in your profitability and one of your biggest untapped opportunities for automation.

According to Continuum CEO Alex Witcpalek, B2B returns cost U.S. companies a staggering $816 billion a year. That’s not just packaging and freight, that’s customer service, accounting, warehouse labor, vendor friction, and wasted hours trying to sort out who’s responsible for what.

What blew me away was Continuum’s model: They automate the return process across customer service, warehouse, and vendor touchpoints using AI agents that manage everything from applying restocking fees to vendor approvals. And it’s not theoretical, this is happening now. Their systems are even integrated with ERP platforms and smart enough to parse Excel or Word docs to pull vendor policy data.

Their point? Don’t think of AI in returns as futuristic. Think of it as a survival tool.

Don’t Buy More Tech Until You Use the Tools You Already Pay For

Justin Johnson from Motivate laid it out plain and simple: Before you run out and chase the next AI vendor promising magic, take inventory of what you already have. Odds are, you’re not even using your current stack to 70% of its potential.

One of the most painful stats he dropped? In some companies, workers spend 72% of their day on data entry inside ERP systems. Seventy-two percent. That’s not value-add time, that’s sludge. Automation here doesn’t just save time; it changes the nature of the work your people can do.

Justin’s company hit an 85% to 90% automation success rate, climbing to 95% after just a few weeks. Why? Because they don’t just sell software, they make sure people use it. That means listening to users, building what’s needed, and making sure leadership is bought in before flipping the switch.

Lesson: AI doesn’t solve culture problems. Start with buy-in, or don’t start at all.

AI Can Talk the Talk: And It Might Just Be Your Best Salesperson

Now for the flashiest session: Chris Van Ittersum from SupplyMover showed off what voice AI is already doing in the field, and it’s not theoretical.

His voice agent can answer inbound calls, make outbound prospecting calls, process payments, chase down quotes, track orders, speak multiple languages, and even recognize whether it’s talking to a customer or a rep and adjust the script accordingly.

It’s not replacing your sales team; it’s letting your best people spend less time chasing cold leads or checking invoices and more time closing deals and building relationships.

Even better, these agents plug into most major ERP systems, and their performance is tracked just like a rep, calls, KPIs, sentiment, the whole thing. This isn’t AI for AI’s sake. It’s a tool to eliminate busy work and accelerate what already works.

And yes, customers usually don’t even realize they’re talking to a bot. Welcome to the new normal.

The Bottom Line: AI in Distribution Is About Execution, Not Theory

If you’re waiting for the perfect AI use case or the next budget cycle, you’re already behind.

You don’t need to implement everything at once. Start small, get quick wins, and build momentum. Attack the areas with the most manual work, returns, customer service, pricing, and prospecting. Let AI do the boring stuff so your people can do the high-value work.

The distribution leaders winning with AI aren’t the ones throwing money at the latest shiny platform. They’re the ones aligning tech with people, making sure their house is in order, and staying laser-focused on execution.

This conference wasn’t about future trends. It was about what’s working right now. The only question left is: What’s your next move?

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Will Quinn
Will Quinn

With over 25 years of leadership in supply chain, logistics and global distribution strategy, Will Quinn is a recognized authority in warehousing and distribution operations. A U.S. Marine Corps veteran, he spent 12 years mastering discipline, adaptability and leadership — qualities that have fueled his success in managing high-impact distribution networks for companies like Grainger, Coca-Cola, MSC Industrial Supply, WEG Electric and Cintas. As a former global distribution strategist at Infor, he spent four years helping businesses bridge the gap between cutting-edge technology and real-world distribution challenges. Will holds a Master of Science in Supply Chain Management from Elmhurst University.

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