When you have $36+ billion in sales, are private, and have a net profit of at least $1.8 billion, you have money to invest into the business. This is Sonepar.

This is the company that has invested much in eCommerce and, more importantly, online order / project management services to provide an omni-channel information resource to its customers and suppliers. Additionally, the company has invested in massive RDCs while automating them with the latest in warehouse management systems and Kardex. Further the company is deploying sales specialists in its operating companies to pursue data centers and healthcare opportunities, at a minimum, while investing in corporate resources to guide these initiatives. The company is also doing more corporate level marketing to generate vertical brand awareness.

And this is aside from continued acquisition activity (as we understand they are “active” in the space with at least one announcement pending.)

So, it shouldn’t be a surprise that Sonepar is making a major investment in AI. They have the resources to create a bespoke offering. While they may leverage some 3^rd parties, they are partnering with Microsoft, whom they worked with on their eCommerce initiatives, to accelerate their AI journey.

Sonepar Shares AI Journey

According to a LinkedIn posting by Fabrice del Aguila, Sonepar’s SVP Ai, Data, and Digital Factory:

“Sonepar is establishing the foundations of Agentic AI at scale for the B2Bdistribution of electrical equipment and services — and we are doing it with a strategic, long‑term partnership with Microsoft at the core.

Today in Paris, I had the pleasure of meeting with Charles Lamanna President, Business & Industry Copilot at Microsoft.

Our discussion confirmed how deeply aligned our visions are: Agentic AI will redefine productivity and customer value across our industry.

At Sonepar, we see Agentic systems as an exoskeleton for our 24,000 sales associates — orchestrating automation of repetitive tasks, augmenting decision‑making and next best action, and empowering our sales teams to deliver more relevant, data‑driven solutions to customers worldwide. This will be provided in 2026, worldwide, through our omnichannel platform.

Thanks to our strategic collaboration with Microsoft, we are accelerating the deployment of secure, enterprise‑grade Agentic capabilities across our operations. This partnership enables us to:

• Leverage the latest innovations in Microsoft Business Apps & Agents
• Build scalable AI architectures aligned with global governance and compliance
• Deliver more personalized, efficient customer experiences
• Boost commercial productivity at every step of the value chain

We are entering a new phase of intelligent automation in B2B distribution – where human expertise is amplified, not replaced, by Agentic AI.

Proud to see Sonepar shaping the future of our sector together with Microsoft.

This is just the beginning.”

Is it a service play? A productivity play? Will it enable them to grow, either topline or bottom line, at an accelerated pace? All questions but, they are clearly saying “AI will be important to the business.”

Few others can compete similarly.

Competing with Sonepar with AI

While AI is discussed as a business leveler, and enabler, the leveling comes down to resources … vision, people skills, and / or financial resources.

Many electrical distributors are talking AI. In fact, at the two NAED regionals and at the NEMRA annual conference, AI was, topically, front and center. It was conference sessions, there were exhibitors, and one-on-ones discussions about it. A number of people are doing something with it within their business … but it is typically not “custom.” It is AI capabilities being integrated into other software. It is usage of one of the LLMs (ChatGPT, Gemini, Claude, etc.). Or it is implementation of an AI-inspired software solution.

Last week we launched an AI eBook tailored to distributors. It is called “The AI-Enabled Distributor: From Pilot to Profit: A Field Guide.” This is a 120-page book that goes from primer to selection and implementation process and also mentions 32 companies we’ve had familiarity with that, today, can help distributors compete with Sonepar.

There are also 13 companies that shared a “deeper dive” on their solutions – Band, Blue Ridge, Canals, Distributor Data Solutions, DISTRO, IDEA, Infor, Motivate, Mydatacatcher, Parpsec, Patchworks, Prokeep and Pull Logic and who can help accelerate distributors.

The report is available for only $39 and AD IESD members will be receiving the report for free, compliments of AD.

Distributors can compete with Sonepar, they just don’t need to go it alone. Their best path forward is to

• Develop a vision
• Identify and conceive applications
• Determine resources … internal and external
• Utilize tools (companies) that are developing solutions and stitch together a network of proven providers.
• Understand the capabilities of ChatGPT, Gemini, Claude, Perplexity, and others to know how / when to utilize them.

Yes “clean” data helps but, no one will ever have perfectly clean data. Starting is better than perfection, and 3^rd parties can help. And an AI data governance policy can be developed (but a policy is only good if it is followed, so training and ongoing utilization is more important.)

And with the cost of the 3^rd parties changing regularly, and companies targeting different size distributors, there are solutions for all. In fact, yesterday, I spoke with a company whose core customer base is distributors in the $5-20 million range (and yes, they will sell to larger companies!)

Moving Forward on Your AI Journey

Sonepar is saying “AI will help us improve our business.” It could be a competitive edge that helps them with share gain and potentially improved profitability. Their approach can work for them, but they don’t have to have the “AI advantage.” A wide array of 3^rd parties can help distributors compete and then leverage their differentiator … their people.

The key is “do something.” Perhaps the first step is acquiring our book (and if you are an AD IESD member, reach out to AD’s IESD group to request your copy or email me to advise you are an AD member and I’ll facilitate.) Second step is become acquainted with some of the companies mentioned above or those in the book. And then begin to develop your vision and identify opportunities.

We (Channel Marketing Group) are helping some develop their vision and see opportunities. We can act as a guide and can also refer to others that have deeper knowledge in selected areas … in effect, help being a sherpa for you.

Sonepar is investing in AI. How will other distributors compete?

As an FYI, at last week’s NEMRA conference, during my Future Proof presentation I shared that 50% of reps will be AI-enabled within three years.