Enjoy complimentary customisation on priority with our Enterprise License!
North America Maintenance, Repair, and Overhaul (MRO) Distribution Market is estimated to increase by USD 30.88 billion and grow at a CAGR of 2.43% between 2022 and 2027.
The growth of the market depends on several factors, including the increasing penetration of Industry 4.0, increasing product penetration in the manufacturing industry on account of the standardization of critical services and equipment, and the increased use of robots to ensure uninterrupted industrial operations.It also includes an in-depth analysis of drivers, trends, and challenges. Furthermore, the report includes historic market data from 2017 to 2021.
Study Period | 2023-2027 |
Base Year For Estimation |
2022 |
CAGR | 2.43% |
Historic period |
2017 - 2021 |
Fastest Growing Region |
North America at 100% |
Largest Segment |
Application |
Market Forecast 2023-2027
Our segment comprises two primary segments, each with its respective sub-segments for further detailed analysis within specific national markets.
Application Segment Analysis:
The chemicals segment is estimated to witness significant growth during the forecast period. They play a crucial role in the chemical industry by supplying products and equipment that are required for the upkeep of production processes. Some of the main MRO products are items such as pumps, valves, hoses, gaskets, and other spare parts that are required to maintain and repair important equipment.
The chemicals segment was the largest segment and was valued at USD 43.15 billion in 2017. An ideal efficient MRO system ensures that chemical plants operate smoothly, minimize downtime, and reduce the risk of accidents due to equipment failure. Hence, there is a high demand for this segment which will significantly contribute to the market growth. Most chemical industries are heavily dependent on these MRO systems. For example, in the US, the Occupational Safety and Health Administration (OSHA) regulations mandate the use of safety equipment, such as gloves, protective clothing, and respirators, in chemical plants to protect workers from exposure to hazardous chemicals. MRO distributors supply these safety products, thus ensuring that chemical plants comply with the safety regulations and provide a safe working environment for employees. Hence, such factors are expected to drive the growth of the segment which in turn will drive the growth in North America.
Based on type, the segment is classified into industrial, electrical facility, electronics, and others. Industrial MRO comprises all the processes, equipment, and supplies required for the upkeep of industrial equipment and machinery and to ensure their efficient operation. It is essential for the smooth operation of manufacturing, production, and other industrial processes. There is an increasing demand for industrial MRO as the manufacturing processes require more advanced and specialized equipment and machinery that need regular maintenance and repairs due to automation. Hence, such factors are expected to drive the growth of this segment which in turn will drive the market growth in North America.
Companies are implementing various strategies, such as strategic alliances, partnerships, mergers and acquisitions, geographical expansion, and product/service launches, to enhance their presence in the market.
Applied Industrial Technologies Inc: The company offers chain couplings and filtration units.
AWC Inc: The company offers automated isolation valves.
We also have detailed analyses of the market’s competitive landscape and offer information on 20 market players, including:
Technavio report provides an in-depth analysis of the market and its players through combined qualitative and quantitative data. The analysis classifies vendors based on their business approaches, including pure-play, category-focused, and diversified. Vendors are specially categorized into dominant, leading, strong, tentative, and weak, based on their quantitative data analysis.
Our researchers studied the data for years, with 2022 as the base year and 2023 as the estimated year, and presented the key drivers, trends, and challenges for the market.
This can be referred to as a concept that allows industrial manufacturing units to achieve higher efficiency, greater safety, predictive maintenance of machinery, and increased profitability. There is a growing implementation of Industrial 4.0. across several industries to optimize material flows and detect errors at the initial stages of the lifecycle of a product. Hence, automation is an essential component of Industrial 4.0 which offer the desired functionality to the whole ecosystem such as less human intervention, and ensures higher throughput, efficiency, reliability, and safety. Thus, it will positively impact the market growth. Hence, as the adoption of Industrial 4.0 increases, there will be a corresponding increase in demand for MRO for automation solutions which, in turn, will drive the growth of the market during the forecast period.
There has been an increasing frequency of maintenance protocols across industries due to the advent and widespread usage of sensors and smart devices, in most industries. Several preventive maintenance practices are executed by manufacturer guidelines whereas inventory management is aimed at keeping adequate components on hand to meet maintenance demands. As a result, there are inherent inefficiencies in these processes. However, manufacturers are better equipped to assess equipment performance and maintenance needs with the increasing adoption of sensors and Internet of Things (IoT) technology, thereby, reducing or eliminating the cost inefficiencies of outdated procedures substantially. Thus, it will positively impact the market. Hence, such applications are expected to drive the market during the forecast period.
Due to separate MRO requirements for manufacturers, distributors, and shipping businesses, it is difficult to manage MRO across the entire supply chain. Hence, weak or missing MRO processes can pose a significant threat to market growth. Some of these weak or missing MRO processes include kitting, gray Inventory, and preservative measures. Thus, it will negatively impact the market growth Therefore, such weak or missing MRO processes and other challenges in the MRO value chain, including limited integration in the value chain, are expected to hinder the growth of the market during the forecast period.
The market is a critical component of the region's manufacturing sector and major manufacturing industries, especially the automotive industry. With a focus on maintenance, repair, and overhaul services (MRO), companies in this market are enhancing delivery efficiency and competitive pricing to meet the demands of automotive companies and other industrial sectors.
PumpMan is a key player in providing MRO services for the water sector and industrial products, offering predictive maintenance services through industrial Internet-of-things (IIoT) solutions. The market's growth is influenced by operational costs, productivity, and the need for scheduled maintenance processes to prevent machinery or equipment failure. With rapid industrialization and a focus on operational efficiencies, These channels are seeking potential partners and technology & service outsourcing providers to improve process efficiency and reduce labor costs. The market's landscape is characterized by market concentration and the threat of substitutes, highlighting the importance of competitive benchmarking and brand images in attracting end-user industries.
North America MRO Distribution Market Scope |
|
Report Coverage |
Details |
Page number |
144 |
Base year |
2022 |
Historic period |
2017-2021 |
Forecast period |
2023-2027 |
Growth momentum & CAGR |
Accelerate at a CAGR of 2.43% |
Market growth 2023-2027 |
USD 30.88 billion |
Market structure |
Fragmented |
YoY growth 2022-2023(%) |
2.04 |
Competitive landscape |
Leading Vendors, Market Positioning of Vendors, Competitive Strategies, and Industry Risks |
Key companies profiled |
A.R. Thomson Group, Applied Industrial Technologies Inc., AWC Inc., BDI, Bisco Industries, BSC Industries Inc., Capitol Bearing and Hydraulics, Distribution Solutions Group Inc., DOALL SAWS, ERIKS N.V., Genuine Parts Co., Gregg Distributors LP, Hillman Solutions Corp., Hisco Inc., Kimball Midwest, R.S. Hughes Co. Inc., Singer Industrial, SunSource, W.W. Grainger Inc., and Wajax Corp. |
Market dynamics |
Parent market analysis, Market forecasting, Market growth inducers and obstacles, Fast-growing and slow-growing segment analysis, COVID-19 impact and recovery analysis and future consumer dynamics, and Market condition analysis for the forecast period. |
Customization purview |
If our report has not included the data that you are looking for, you can reach out to our analysts and get segments customized. |
1 Executive Summary
2 Market Landscape
3 Market Sizing
4 Historic Market Size
5 Five Forces Analysis
6 Market Segmentation by Application
7 Market Segmentation by Type
8 Customer Landscape
9 Geographic Landscape
10 Drivers, Challenges, and Trends
11 Vendor Landscape
12 Vendor Analysis
13 Appendix
Get lifetime access to our
Technavio Insights
Cookie Policy
The Site uses cookies to record users' preferences in relation to the functionality of accessibility. We, our Affiliates, and our Vendors may store and access cookies on a device, and process personal data including unique identifiers sent by a device, to personalise content, tailor, and report on advertising and to analyse our traffic. By clicking “I’m fine with this”, you are allowing the use of these cookies. Please refer to the help guide of your browser for further information on cookies, including how to disable them. Review our Privacy & Cookie Notice.