A new analysis of industrial sourcing behavior on Thomas’ digital platform shows that 2025 was a year of rapid evolution in how manufacturers and supply chain professionals evaluate and locate suppliers, a development that could reshape distributor strategies in 2026.
The 2025 Annual Sourcing Activity Report published this month by Thomas, the long-standing industrial product and supplier discovery platform, examines procurement activity across more than 80,000 industrial product and service categories based on buyer behavior on Thomasnet.com. Thomas’ platform connects buyers with a network of more than 500,000 suppliers, and its data reflects more than 1.5 million monthly sourcing sessions by a global industrial audience.
The report highlights not only the most sought-after products and services of the year but also the areas with the fastest increases in activity compared with 2024 — offering early indicators of where demand is growing.
Service Demand Surges; Contract Manufacturing Leads
While traditional industrial products remained vital, the report reveals that services — particularly contract and private-label manufacturing — emerged as the top category sourced by buyers in 2025. Procurement teams increasingly sought partners to handle formulation, production and packaging across food, beverage, personal care, and industrial products.
This trend reflects ongoing labor shortages and cost pressures that are pushing firms to outsource production rather than expand internal capacity, according to industry analysts who follow sourcing behavior data. Sourcing activity also spiked sharply for services related to machining, fabrication, coating, stamping and plastic molding.
Experts say this shift suggests buyers are prioritizing end-to-end capabilities and production flexibility, a change that distributors may need to accommodate by expanding service offerings or collaborating more closely with contract manufacturers.
Chemicals and Strategic Inventory Categories Draw Heavy Traffic
On the product side, chemicals — including specialty formulations, coatings, and cleaning compounds — ranked as the most sourced product category in 2025, according to Thomas analysis. Buyers are actively searching for suppliers that can meet both manufacturing needs and maintenance, repair, and operations (MRO) requirements.
Procurement professionals increasingly evaluated alternative and secondary suppliers to diversify supply and reduce risk, a shift that distributors can leverage by highlighting domestic availability, certifications, and responsive delivery.
Emerging Demand: Military Equipment, Automation and Software
The most pronounced year-over-year increases in sourcing activity were registered in categories such as military equipment, automation systems, robots, prototyping services, and advanced machinery. These surges align with broader manufacturing investments in facility modernization, automation and compliance, observers say, and suggest distributors that focus on capital equipment and high-precision components may see rising demand.
Industry-Specific Sourcing Patterns Emerge
Thomas’ report also breaks down sourcing behavior by industrial sector, offering actionable insights:
- Aerospace and defense buyers showed strong interest in electrical contractors, precision machining, metal and plastic fabrication, and safety equipment, signaling continued investment in mission-critical manufacturing infrastructure.
- Automotive sourcing was dominated by core vehicle components such as driveshafts, fasteners, metal fabrication and specialty services like heat treating, underscoring ongoing platform updates and efficiency improvements.
- Food and beverage buyers concentrated on food ingredients, shrink and stretch packaging and contract manufacturing for supplements and vitamins, reflecting expansion of private-label lines and production capacity.
- Transportation and logistics categories saw growth in demand for steel, metal fabrication services, construction equipment, and material handling gear — indicators of investment in fleet and facility upgrades.
These sector patterns, drawn from actual buyer searches on the platform, provide a forward view of procurement intent well before actual orders are placed.
Digital Discovery Rises Among Younger Procurement Professionals
Demographic data contained in the report indicates that two-thirds of active buyers on the platform represent small and midsize businesses, with a significant share of users under age 45. Younger procurement professionals are more likely to initiate sourcing digitally, evaluate multiple suppliers online, and consider alternative sources before contacting sales representatives, industry analysts say.
For distributors that historically relied on relationship-driven sales and catalog familiarity, this underscores the increasing importance of digital visibility and search optimization.
Implications for Distributors
Market experts and sourcing consultants say Thomas’ data carries several implications for distributors:
- Visibility matters: As more buyers start sourcing online, distributors need stronger digital presence, searchable product data, and optimized profiles on discovery platforms.
- Service offerings are strategic: Distributors that can bundle services such as assembly coordination, kitting, fabrication intermediary work, or contract manufacturing referrals may better align with buyer demand.
- Risk diversification is a selling point: Highlighting secondary sourcing options, domestic supply and certification credentials will be critical as buyers seek resilient supply chains.
- Capital investment categories are early indicators: Categories with the fastest growth in sourcing activity may foreshadow where buyers will invest budgets in 2026.
Thomas’ sourcing activity data, by capturing what procurement professionals are searching for — not just what they purchase — offers distributors a rare early signal of where industrial demand is headed, analysts say.
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