Perspective from Logiframe

Why NetSuite Is the Best ERP for Wholesale Businesses Making $20M-$80M

Written by Wienanto Tanuwidjaja | Feb 5, 2025 10:02:30 AM

As an ERP Consultant specializing in NetSuite, I have worked with numerous wholesale and distribution businesses that struggle with managing inventory, supply chain inefficiencies, and financial complexities. When businesses reach $20M - $80M in annual revenue, their operational needs demand a scalable, cost-effective ERP solution. That’s where NetSuite stands out.

In Cloud ERP for Wholesale and Distribution, NetSuite is the strong Challenger in Gartner's Magic Quadrant for Product-Centric Enterprises. Yes, large ERP vendors dominate the market with Oracle Fusion Cloud ERP, SAP S/4HANA Cloud, and Microsoft Dynamics 365, but NetSuite provides the ideal solution to mid-market wholesale and distribution businesses by delivering robust functionality without excessive costs or complexity.

Table of Content:

1. NetSuite: The Best ERP for Scaling Wholesale and Distribution Companies
2. How NetSuite Elevates Wholesale and Distribution Businesses
3. Gartner’s Recognition: NetSuite vs. Enterprise ERP Solutions
4. Final Verdict: Why NetSuite is the #1 Choice for Wholesale and Distribution (Mid-Market)

NetSuite: The Best ERP for Scaling Wholesale and Distribution Companies

In the most recent Gartner’s latest Magic Quadrant for Cloud ERP for Product-Centric Enterprises, NetSuite is recognized as a Challenger—a testament to its ability to compete with much larger enterprise ERP solutions while offering a more scalable, cost-effective alternative. Here’s why:

  • Enterprise-grade ERP functionality tailored for wholesale and distribution businesses.

  • Lower TCO than SAP S/4HANA and Oracle Fusion without sacrificing capability.

  • Faster deployment, with less IT maintenance for mid-market businesses.

  • Native cloud architecture makes integrations easy and scaling painless.

But rather than positioning Challenger as a weakness, we own up to it: NetSuite is the best balance of functionality, flexibility, and affordability for wholesale and distribution businesses between $20M-$80M in revenue.

How NetSuite Addresses Wholesale and Distribution Businesses

1. Software as a Service (SaaS) - No Hardware to be Purchased

  • No need to set up hardware, develop software, or manage an infrastructure team.

  • With NetSuite, the system is ready to use with partners such as Logiframe that take responsibility for configuration, customization, and integration to the specific needs of your company.

  • Quick setup with no installation and no hardware configuration.

  • Absolutely no IT costs in terms of hardware maintenance and/or system upgrades..

2. Infrastructure as a Service (IaaS) - Enterprise-Grade Security & Uptime

  • Built for the cloud from day one, running on Oracle Cloud Infrastructure (OCI).

  • 99.96% uptime with a 99.7% Service Level Commitment (SLC), ensuring security and business continuity.

  • Replicate data automatically to ensure business continuity because of seamless backup and disaster recovery.

3. Platform as a Service (PaaS) - Seamless Integration & Customization

  • Configurable to your specific business needs, making data management and daily operations easier.

  • Built to integrate with REST API and webhooks, ensuring seamless connectivity with other operational software.

4. Software Upgrades & Scalability

  • Two major upgrades per year, along with regular enhancements from Oracle.

  • Start with just the modules you need and scale as your business grows.

  • Upgrade computing power and storage seamlessly as your company expands. 

5. NetSuite OneWorld Module - Multi-Entity Management

  • Manage multiple subsidiaries, business units, and legal entities in one unified system.

  • Intercompany accounting and reconciliation make it easier to handle financial operations.

  • Complete multi-currency support in more than 190 currencies, as well as tax compliance in more than 100 countries.

  • Embedded audit trails, access logs, and analytics for full transparency and compliance.

Also Read: Introduction to NetSuite Dashboards

 

Gartner’s Recognition: NetSuite vs. Enterprise ERP Solutions

In the most recent Gartner Magic Quadrant for Cloud ERP for Product-Centric Enterprises, research indicates that industry leading organizations are:

  • 3x more likely to integrate CRM with ERP, improving customer relationships.

  • 72% more likely to use analytics in ERP, leading to better demand forecasting.

  • 31% more likely to have real-time visibility across operations, optimizing efficiency. 

It does all this in a very cost-effective manner. NetSuite can be easily deployed for organizations engaged in wholesale and distribution having annual revenues from $20M - $80M.

Final Verdict: Why NetSuite is the #1 Choice for Wholesale and Distribution (Mid-Market)

In fact, NetSuite offers the best balance of power, affordability, and scalability for wholesalers and distributors making between $20 million and $80 million in revenue. Being positioned as a Challenger in Gartner's Magic Quadrant further substantiates its strengths in enabling mid-market businesses to optimize inventory, improve supply chain efficiency, and reduce costs.

Being an ERP Consultant specializing in NetSuite, I have been fortunate enough to see that with the right ERP system, business transformations do take place. If your wholesale and distribution business is ready to scale efficiently, then NetSuite offers the ideal mix of functionality and cost efficiency that enables growth.

Now, let's discuss how NetSuite can drive efficiency in the processes of your wholesale and distribution business. Contact us today!