Essentials Magazine Essentials Winter 2019 | Page 6

DISRUPTIVE FORCES Shaping the Distribution Landscape BY MARK P. HUBBARD W hen I am not consid- ering the stubborn business question of “…how to differentiate on the sole basis of product features, forms and functions?” I am usually considering how chang- es within distribution channels are affecting the marketplace for educational furniture, fix- tures and equipment (FF&E). A careful analysis and response to the latter inquiry is, in my view, far more complicated and perhaps never more important. 6 essentials | winter 2019 In this article, I will attempt to describe what I believe are the most powerful and compelling forc- es applying an increasing amount of pressure upon the educational furnishings and equipment mar- ket. Please note, my thoughts are offered with extraordinary respect and appreciation for the degree of complexity inherent to the design of the education supply distribution model. There has been a sizable redis- tribution of decision authority in education FF&E. More than ever, suppliers and distributors are ap- pealing to chief academic officers, chief technology officers, district superintendents, school principals and teachers to buy products and services. Because these relatively new customer types are less likely than their predecessors to make price the most important variable in the FF&E decision calculus, they are more likely to gather a broad- er data set. As a result, buyers are spending more time researching in- dependently, collecting more input from cohorts and accessing a wider range of digital resources. Accord- ing to a July 2017 survey done by Trust Radius, 78% of buyers said they spend more time researching purchases than in the previous five years; 75% said that they use more sources than predecessor to re- search and evaluate purchases; and 52% said more people are helping to make purchase decisions for their company. Responsively, the newest