Bad chemistry: Declining demand for laboratory testing services is expected to constrain industry revenue growth

The Laboratory Supply Wholesaling industry in Canada distributes laboratory, scientific and school equipment and supplies. Since professional laboratory and scientific equipment account for nearly three-fourths of industry sales, industry revenue closely follows the performance of the scientific and technical service industries. The looming threat of disintermediation has negatively influenced industry wholesalers that distribute school supplies in addition to other niche products. Smaller operators have been more adversely affected by this phenomenon, whereas large, vertically integrated companies have been largely insulated from this effect due to their own distribution subsidiaries...read more.

Industry Statistics & Market Size
Revenue
$3bn
Annual Growth 14-19
-0.6%
Forecast Growth 19-24
Profit
Employment
2,717
Businesses
462

Industry Threats & Opportunities

  • The looming threat of disintermediation has negatively influenced operators that distribute school supplies and other products
  • Demand from laboratory testing services has decreased
  • Demand from testing laboratories is expected to grow
  • Industry Report - Industry Key Buyers Chapter

    The Laboratory Supply Wholesaling industry in Canada experiences a low level of market share concentration. Employment within the industry is concentrated on the lower end of the scale, with 39.1% of operators employing between one and four employees and 96.9% employing fewer than 100 workers. Market share concentration varies among product lines. For example, laboratory products and scientific instrumentation both experience a higher level of market share concentration compared with school supplies or surveying equipment because many major players are vertically integrated, benefit from economies of scale and often hold brand-specific patents on certain industry products...purchase to read more.

    Additional Insights for the Laboratory Supply Wholesaling Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Laboratory Supply Wholesaling Industry are

  • Strong supplier relationships
  • Ability to ship products to diverse locations
  • Ability to provide many different products and services
  • IBISWorld analysts also discuss how external factors such as Demand from professional, scientific and technical services and Research and development expenditure in the Laboratory Supply Wholesaling industry impact industry performance..

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    What's in this report

    What is the Laboratory Supply Wholesaling Industry?

    Companies in this industry wholesale laboratory, scientific and school equipment, instruments and supplies. This industry excludes companies that predominantly distribute medical, hospital and dental equipment and supplies.

    Industry Products
  • Laboratory equipment and furniture
  • School supplies
  • Scientific equipment
  • Other professional equipment
  • Value-added services
  • Industry Activities
  • Wholesaling analytical instruments such as chromatographic instruments, photometers and spectrographs
  • Wholesaling architectural, drafting, engineering, surveying and veterinary equipment and supplies
  • Wholesaling blackboards
  • Wholesaling laboratory equipment, including balances and scales, except dental, medical and ophthalmic equipment
  • Wholesaling professional instruments, equipment and supplies, except dental, medical and ophthalmic supplies
  • Wholesaling school equipment and supplies, except books and furniture
  • Wholesaling scientific instruments and scientific laboratory equipment
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • Demand from professional, scientific and technical services
  • Research and development expenditure
  • Demand from laboratory testing services
  • Demand from educational services
  • Industrial capacity utilization

  • Current Performance
  • Research and development expenditure
  • Laboratory testing services pressure revenue growth
  • Pharmaceutical demand boosts revenue
  • Industry structure
  • Chart: Revenue Growth

  • Industry Outlook
  • Rising regulation
  • A turn to services
  • Restructuring
  • Table: Laboratory Supply Wholesaling Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Laboratory Supply Wholesaling Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Architects in Canada
  • Geophysical Services in Canada
  • Surveying & Mapping Services in Canada
  • Laboratory Testing Services in Canada
  • Scientific Research & Development in Canada
  • Educational Services In Canada

  • Key Selling Industries
  • Household Furniture Manufacturing in Canada
  • Medical Device Manufacturing in Canada
  • Navigational Instrument Manufacturing in Canada

  • Products & Services
  • Scientific equipment
  • Laboratory equipment and furniture
  • Value-added services
  • Other professional equipment
  • School supplies
  • Chart: Laboratory Supply Wholesaling Industry Products and Services Segmentation

  • Demand Determinants
    Major Markets
  • Healthcare
  • Industrial and applied markets
  • Academic and educational institutions
  • Diagnostics and other
  • Government facilities (excluding educational institutions)
  • Chart: Major Market Segmentation for the Laboratory Supply Wholesaling Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
    ProfitWagesPurchasesDepreciationMarketingRentUtilitiesOther costs
  • Chart: Cost Structure Benchmarking – Sector vs Laboratory Supply Wholesaling

  • Basis of Competition
    Internal competitionExternal competition
    Barriers to Entry
  • Table: Barrier to Entry Checklist for the Laboratory Supply Wholesaling Industry

  • Industry Globalization
    Thermo Fisher Scientific Inc., Avantor Inc.,
  • Table: Thermo Fisher Scientific Inc. - financial performance
  • Table: Avantor Inc. - financial performance

  • Capital Intensity
  • Chart: Level of Capital Intensity for the Laboratory Supply Wholesaling Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Table: Industry Data for the Laboratory Supply Wholesaling Industry
    Includes:
  • Industry Revenue (2010-2024)
  • Industry Gross Product (2010-2024)
  • Establishments (2010-2024)
  • Businesses (2010-2024)
  • Employment (2010-2024)
  • Wages (2010-2024)
  • Wages (2010-2024)
  • Purchases (2010-2024)
  • Profit (2010-2024)
  • Depreciation (2010-2024)
  • Marketing (2010-2024)
  • Rent (2010-2024)
  • Utilities (2010-2024)
  • Other (2010-2024)
  • Research and development expenditure in Canada (2010-2024)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Disintermediation
  • A popular trend within retail and manufacturing industries where producers supply goods directly to stores, eliminating the middleman.
  • Mergers And Acquisitions (M&A)
  • The buying, selling and combining of companies.
  • Research And Development (R&D)
  • Creative work undertaken by a company to increase the stock of knowledge, which can then be applied to developing a new product or improving an existing one.
  • What Our Customers Say

    Why buy this report?

    IBISWorld’s Laboratory Supply Wholesaling market research report provides the latest industry statistics and industry trends, allowing you to identify the products and customers driving revenue growth and profitability. The industry report identifies the leading companies and offers strategic industry analysis of the key factors influencing the market.

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
    • Quickly build competitive intelligence
    This report on Laboratory Supply Wholesaling:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding of industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Laboratory Supply Wholesaling market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Laboratory Supply Wholesaling, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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