Warehouse tenants renewing leases signed in the pandemic era are seeing renewal rates two to three times higher than five years ago as industrial real estate prices remain high despite rising vacancy rates and slowing new construction. Average asking rents in the fourth quarter have increased 61% from Q4 2019 to $10.13 per square foot, according to Cushman & Wakefield.

The National Association of Wholesaler-Distributors filed an amicus brief with the US Supreme Court last week urging it not to lift an injunction blocking enforcement of the Corporate Transparency Act. The CTA's beneficial ownership information requirement forces businesses to report controlling or ownership entities to the Treasury Department. NAW Chief Government Affairs Officer Brian Wild said the CTA's "intrusive and costly reporting requirements exceed Congress's constitutional authority and violate core freedoms," adding businesses deserve certainty and are "currently caught in a disruptive cycle," unsure of whether they must comply with the law.

American consumers expect inflation to rise significantly over the next year and beyond, with the University of Michigan's survey showing one-year inflation expectations jumping to 3.3% in January. Concerns over potential tariffs and Trump-era economic policies, coupled with a strong labor market, are driving inflation fears and dampening consumer sentiment, while economists expect the Federal Reserve to keep rates steady.

Worker pay increases showed signs of slowing in December, with wages rising 0.3% and the annual increase falling to 3.9% from 4.0%. The decline could mark a potential crest after a period of rising wages since last summer that followed several years of slowing compensation. Wages continue to increase more rapidly than prepandemic, but rising productivity has offset wage gains.

Real-time visibility is critical to reducing supply chain disruptions, improving efficiency and helping distributors maintain strong relationships with carriers, writes Alvys CEO Nick Darman. Electronic logging devices and transportation management systems provide up-to-the-minute data on deliveries, helping distributors optimize warehouse operations and quickly adapt to changing circumstances.

Flooding events accounted for 70% of weather-related supply chain disruptions in 2024, according to a report from Everstream Analytics that predicted flooding will be the top issue in 2025 due to elevated ocean temperatures. The report notes that other causes of disruption include cyberattacks, geopolitical instability and restrictions on trade of rare minerals and metals.

To boost team performance, leaders should focus on individual strengths, set specific goals and provide positive feedback, according to Kate Rehling. Recognizing achievements and using data to drive motivation are also key strategies.

Micromanagement can be a significant barrier to team success, often stemming from leaders' inexperience and lack of confidence. It leads to decreased productivity and employee dissatisfaction, with 59% of workers having experienced it. Leaders can overcome micromanagement by building trust, clearly defining goals, and practicing self-awareness, management experts say.

Join us in Washington, D.C., January 27-29 for NAW's Executive Summit, bringing together the best and brightest leaders from the wholesale distribution industry. Learn more here.

Benchmark your sales and growth expectations for 2025 with MDM’s annual industry forecast, review of macroeconomic and distribution-specific trends, and the latest exclusive Baird-MDM MarketPulse survey insights. Join Baird Senior Research Analyst David Manthey, NetSuite VP Ranga Bodla and MDM Strategic Advisor Tom Gale on Thursday, Jan. 16, at 1 p.m. for the data and insights on how to best navigate the conflicting market signals shaping 2025.

Prioritize your organization's greatest asset — your people. NAW’s premier education programs, such as the online Management Academy and the in-depth Distribution Leadership Program at THE Ohio State University, are designed to equip your high-potential employees with the skills and insights they need to lead and succeed. Ensure your rising stars are prepared to drive your business forward by investing in their growth today. Learn more about how NAW can help you develop the leaders of tomorrow.