Trex Company’s Exclusivity Strategy Drives Shifts in the Distribution Landscape
13 November 2024 - 11:29PM
Business Wire
Trex Company, Inc. (NYSE:TREX), the world’s largest manufacturer
of wood-alternative decking and railing and a leader in
high-performance, low-maintenance outdoor living products, is
providing an update on its program to expand exclusivity with its
existing partners to include its railing products.
Since the end of the third quarter of 2024, two of Trex’s
exclusive decking distributors have become exclusive distributors
for the Company’s newly expanded railing product portfolio, which
now includes premium cable and specialty glass systems, along with
steel, aluminum and composite solutions designed to give builders
and homeowners more options beyond PVC and wood.
Longtime Trex distributor Snavely Forest Products announced in
mid-October that it will sell Trex railing exclusively through its
nationwide distribution network and, in early 2025, will add
Colorado to its service areas.
Earlier today, Trex announced the strengthening of its
relationship with Boise Cascade, a leading U.S. distributor of
building products. Trex will be the only brand of decking and
railing products distributed by Boise locations participating in
the Trex program, including incremental distribution gains in New
Jersey and the surrounding region.
Earlier this week, Trex’s distribution relationship with Capital
Lumber, which serves western U.S. markets, was terminated. A
driving factor for this change was Trex’s focus on ensuring its
distribution partners remain committed to the success of both
decking and railing. As this realignment takes place over the
coming months, existing Trex distributors will continue to service
the western U.S. markets.
Commenting on distributor exclusivity for Trex® products, Bryan
Fairbanks, President and CEO, noted, “We have been working with our
distribution partners over the past year to drive exclusivity in
both decking and railing. These efforts are now in the execution
phase, launching new railing products, changing existing
distribution territories, and updating commercial agreements. With
the further implementation of this strategy, we anticipate that all
North American distribution partners will be exclusive to Trex in
both decking and railing. This sets the stage for Trex to
significantly increase our penetration of the highly fragmented
$3.3 billion residential railing market by doubling our share from
6% to 12% over the next five years.”
Mr. Fairbanks continued, “Trex has long sought to have either
dual or triple distribution in our sales territories. This ensures
healthy market competition and safeguards against disruptions while
guaranteeing product availability. Meanwhile, discussions are
underway to further strengthen distribution in the western U.S.
markets.”
About Trex Company
For more than 30 years, Trex Company [NYSE: TREX] has invented,
reinvented and defined the composite decking category. Today, the
company is the world’s #1 brand of sustainably made,
wood-alternative decking and deck railing, and a leader in high
performance, low-maintenance outdoor living products. The
undisputed global leader, Trex boasts the industry’s strongest
distribution network with products sold through more than 6,700
retail outlets across six continents. Through strategic licensing
agreements, the company offers a comprehensive outdoor living
portfolio that includes deck drainage, flashing tapes, LED
lighting, outdoor kitchen components, pergolas, spiral stairs,
fencing, lattice, cornhole and outdoor furniture – all marketed
under the Trex® brand. Based in Winchester, Va., Trex is proud to
have been named America’s Most Trusted® Outdoor Decking* 4 Years in
a Row (2021-2024). The company was also recently included on
Barron’s list of the 100 Most Sustainable U.S. Companies 2024,
named one of America’s Most Responsible Companies 2024 by Newsweek
and ranked as one of the 100 Best ESG Companies for 2023 by
Investor’s Business Daily. For more information, visit Trex.com.
You may also follow Trex on Facebook (trexcompany), Instagram
(trexcompany), X (Trex_Company), LinkedIn (trex-company), TikTok
(trexcompany), Pinterest (trexcompany) and Houzz
(trex-company-inc), or view product and demonstration videos on the
brand’s YouTube channel (TheTrexCo).
*Trex received the highest numerical score in the proprietary
Lifestory Research 2021-2024 America’s Most Trusted® Outdoor
Decking studies. Study results are based on experiences and
perceptions of people surveyed. Your experiences may vary. Visit
www.lifestoryresearch.com.
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Brenda K. Lovcik Senior Vice President and CFO 540-542-6300 Lynn
Morgen/Casey Kotary ADVISIRY Partners 212-750-5800
Trex (NYSE:TREX)
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