Office Supply Stores

Office Supply Stores

Brief Excerpt from Industry Overview Chapter:

Companies in this industry sell a wide range of office supplies, equipment, and furniture to businesses and consumers and may perform some business services. Major companies include Office Depot and Staples (both based in the US); Lyreco and Manutan (both in France); Officeworks (Australia); OTTO Office and Pelikan (both based in Germany); and Ryman (UK).

COMPETITIVE LANDSCAPE

Demand is driven by the level of business activity. The profitability of individual companies depends on effective merchandising, pricing, and an efficient distribution model. Large companies have economies of scale in purchasing and the ability to stock wider ranges of products. Small companies can compete by providing superior customer service and by offering specialty items. The US industry is highly concentrated: the 50 largest companies account for about 85% of industry revenue.

PRODUCTS, OPERATIONS & TECHNOLOGY

Major product categories include office, school, and packaging supplies (about 45% of revenue), office equipment and furniture (about 10%), and computers and peripheral equipment (about 20%). Larger office supply retailers may offer technology assistance and copy and printing services. Larger office supply retailers may provide technology assistance and copy and printing services.