New Kid Devouring the Block

In the decade since Staples and then Office Depot opened their first stores, the superstore concept has claimed a much larger share of office-product manufacturer shipments. Dollar volume shipped by U.S. office-product manufacturers to various resellers:

1986 Resellers

Mass market: 6%

Wholesalers: 29%

Large commercial contract dealers: 18%

Small/medium retailers: 20%

Other: 27%

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1995 Resellers

Mass market: 13%

Superstores: 20%

Wholesalers: 18%

Large commercial contract dealers: 27%

Small/medium retailers: 4%

Other: 18%

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Office-Product Superstores

1986: 0.3%

1995: 20.3%

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Small/Medium Retailers

1986: 19.9%

1995: 4.0%

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Large Commercial Dealers

1986: 18.2%

1995: 26.9%

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Wholesalers

1986: 28.7%

1995: 18.0%

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Mass Market

1986: 5.9%

1995: 12.8%

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Other

1986: 27.1%

1995: 18.0%

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Market Definitions

* Office-product superstores: Staples, Office Depot, etc. Low prices to home office and small business customers; next-day delivery of medium-sized phone and fax orders. Two have established commercial contract divisions offering greater discounts to large-volume purchasers.

* Small/medium retailers: Typical dealer operates one store with about $250,000 to $500,000 in annual sales.

* Large commercial contract dealers: Used by large businesses and organizations; offer high level of service and low prices in return for large volume. Consists of independent dealers and contract divisions of Staples and Office Depot.

* Wholesalers: Typically sell to traditional small and medium-sized retail stores and commercial contract dealers.

* Mass market: Chains such as Kmart, Wal-Mart, Target, Sears and Montgomery Ward. Geared toward back-to-school, home-office and small-business buyers.

* Other: Includes mail-order, direct sales, government purchases and warehouse clubs like Price/Costco.

Source: Business Products Industry Assn.

Researched by JANICE L. JONES / Los Angeles Times