Essendant is closing the book on the business that defined it for more than a century.
Essendant is one of the largest wholesale distributors. The Deerfield, Illinois-based company has decided to exit the independent office products dealer channel. Its decision underscores both the decline of the traditional office supplies market and Essendant’s accelerating shift toward ecommerce-driven distribution.
The company confirmed the decision in an early October communication to customers. It described its choice as part of a long-term strategy to optimize operations and strengthen service. Essendant said it would now focus on faster-growing markets including janitorial and sanitation, foodservice and technology distribution.
Why Essendant is exiting the office products market
The exit is significant because Essendant, founded as United Stationers, before adopting its current name in 2015, helped invent the modern office products wholesale model. For decades, it served as a critical link between manufacturers and the thousands of independent dealers that sold office supplies to businesses nationwide.
Essendant’s decision follows years of contraction in the office supplies sector. U.S. office supplies sales across both physical and digital retail channels totaled $11.5 billion in 2024, a 5% decline from the prior year as unit demand fell 2%, according to research firm Circana. It projects another 2% drop in 2025 before the market stabilizes through 2027.
Circana’s April analysis found that ongoing inflation is continuing to shape consumer spending patterns, keeping shoppers focused on value. The April report noted that brands refining their pricing, promotions and product assortments are likely to gain an advantage as market conditions begin to stabilize.
Essendant’s office products exit is as an opportunity to reallocate resources toward its growing digital operations. The company is expanding a program called Connected Commerce, which integrates its national fulfillment network and digital infrastructure to help brands and resellers manage product data, inventory visibility and pricing across multiple channels.
Essendant says Connected Commerce connects its U.S. fulfillment centers — capable of next-day delivery to 98% of the country — to major marketplaces, ecommerce systems and nine of the top 10 national retailers. The platform already supports more than 1,300 brands and 560 suppliers.
Essendant’s shift away from office products signals a recognition that distribution success now depends as much on digital reach and platform integration as on physical logistics. A company that once defined the office-supply supply chain is now redefining what a distributor looks like in the digital age.
Sign up
Sign up for a complimentary subscription to Digital Commerce 360 B2B News. It covers technology and business trends in the growing B2B ecommerce industry. Contact Mark Brohan, senior vice president of B2B and Market Research, at mark@digitalcommerce360.com. Follow him on Twitter @markbrohan. Follow us on LinkedIn, X (formerly Twitter), Facebook and YouTube.
Favorite