Built on independence

Here, Mark Hughes, Managing Director of National Buying Group (NBG), shares his perspective on the evolving role of independents, the value of buying groups and what merchants need most right now.

The strength of the independent merchant

Independent builders’ merchants continue to play a critical role in the health of the construction industry, particularly through their deep understanding of local markets.

For Mark Hughes, this local knowledge is what sets them apart. Independents can take a more granular approach to service, stock and credit, often supporting customers in ways larger national chains cannot.

This often extends beyond transactional relationships. With longer staff tenure and stronger customer familiarity, independents build trust that is difficult to replicate at scale, particularly during periods of uncertainty.

“In my experience, independents tend to fare better in downturns. They keep the people, they keep the stock and when the market comes back, they’re ready.”

— Mark Hughes, Managing Director, NBG

“Commitment to stock, service and people gives merchants the confidence to plan properly. That’s what ultimately helps them deliver for their customers.”

— Derrick McFarland, Managing Director, Keystone Lintels

Resilience through the downturn

The last few years have presented significant challenges, from fluctuating demand to rising costs. Yet historically, independent merchants have often emerged from downturns in a stronger position.

Rather than stripping back resources, many independents maintain investment in stock and people, recognising the long-term value of both. This allows them to respond quickly as demand returns, while others are still rebuilding.

The role of buying groups

In an increasingly competitive market, buying groups play a crucial role in helping independents compete with national chains. For Hughes, the purpose is clear: to create a more level playing field in a market where scale matters.

Beyond purchasing power, buying groups provide operational support, reducing administrative burden and allowing merchants to focus on customers.

There is also a strong sense of collaboration, with members sharing knowledge and working together to solve challenges.

Partnerships that work for everyone

As relationships between merchants, buying groups and suppliers evolve, long-term, sustainable partnerships are becoming increasingly important.

Where that balance exists, it creates the conditions for stronger collaboration across the supply chain. From a supplier perspective, the benefit goes beyond pricing alone.

What merchants are facing today

Despite signs of market stabilisation, pressures remain significant. Rising costs, shrinking margins and reduced volumes continue to challenge merchants. Increased competition is driving price pressure, while delayed payments and cost inflation impact the wider supply chain.

How independents can differentiate

In a competitive market, differentiation is critical and this is where independents have a clear advantage.

That agility is supported by a more personal approach to the business and a willingness to hold stock and respond quickly to customer needs.

Looking ahead

While the merchant landscape will continue to evolve, the fundamentals remain the same. Strong relationships, consistent supply and a deep understanding of customer needs will underpin success. For independent merchants, those strengths are already firmly in place.

In a market defined by both pressure and opportunity, those who stay close to their customers, invest for the long term and build the right partnerships will be best placed to grow as confidence returns.

“The playing field will never be completely level, but it doesn’t need to be. It just needs to be level enough for independents to compete, and that’s where buying groups play their role.”

— Mark Hughes, Managing Director, NBG