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The 2025 State of AI in Distribution

Date

  • Published on: March 7, 2025

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The 2025 State of AI in Distribution

In this report, we share the results of our State of AI in Distribution research, which looked at where distributors are on their AI journeys and their plans for the next three to five years.
We found that:
  • Distributors overwhelmingly see AI as important. It’s no longer theoretical – it’s actively being deployed.
  • Usage is rapidly increasing, especially in marketing and website applications.
  • Efficiency is currently a key driver of AI investment for distributors.
  • Distributors are reaping the greatest efficiencies from automation in fulfillment, warehouse operations, the order-to-cash cycle and sales processes.
  • Generative AI (GenAI) is already embedded in the daily work of nearly three-quarters of distributors’ teams.
  • AI will reshape the workforce in the wholesale distribution industry, reducing headcount by as much as a third or more over the next five years as staff move from repetitive tasks to higher-value roles.
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