NAICS 423620 Quarterly Industry Report
Electrical and Electronic Appliance, Television, and Radio Set Merchan
Comprehensive industry research for valuation professionals, business owners, buyers, and lenders
NAICS Code: 423620Sector: Wholesale Trade (42)Updated: Q1 2026
About This Report
This Fair Market Value industry report for NAICS 423620 draws on data from the U.S. Census Bureau[5] economic profiles, Bureau of Labor Statistics[6] employment surveys, and SBA size standard publications[7]. Our research team tracks appliance shipment data, housing construction activity, and consumer electronics demand to provide valuation context for household appliance wholesale operations. Updated quarterly, each data point is sourced to its originating federal or institutional database.
Industry Snapshot
Key metrics for the electrical and electronic appliance, television, and radio set merchan industry.
Industry Definition & Overview
Household Appliances, Electric Housewares, and Consumer Electronics Merchant Wholesalers (NAICS 423620) encompasses establishments primarily engaged in the merchant wholesale distribution of household-type gas and electric appliances (except water heaters and heating stoves), room air-conditioners, and household-type audio or video equipment. Product categories include refrigerators, washing machines, dryers, dishwashers, microwave ovens, vacuum cleaners, small kitchen appliances, televisions, household video cameras, home audio systems, and related consumer electronics.
The appliance and consumer electronics wholesale channel connects manufacturers with retail dealers, home builders, property managers, and institutional buyers. Major appliance distribution involves specialized logistics including white-glove delivery, installation coordination, and reverse logistics for damaged units. According to the U.S. Census Bureau[5], about 2,138 businesses operated in this industry with approximately 51,000 employees. Water heaters and heating stoves are excluded from this classification.
The consumer electronics segment has been disrupted by direct-to-consumer shipping models and the decline of traditional electronics retailers. Major appliance distribution remains more dependent on wholesale channels because of the complexity of delivery, installation, and service coordination. Smart home device distribution has emerged as a newer product category, alongside traditional appliance and entertainment electronics. Many distributors provide builder program services, coordinating appliance packages for new residential construction and multifamily property development projects across the country.
What's Included in This Industry
- Major household appliance wholesale distribution (refrigerators, washers, dryers)
- Small kitchen appliance wholesale operations
- Vacuum cleaner and floor care wholesale distribution
- Television and home theater wholesale operations
- Room air conditioner wholesale distribution
- Home audio equipment wholesale operations
- Household video camera wholesale distribution
- Microwave oven and cooking appliance wholesaling
- Humidifier and dehumidifier wholesale distribution
- Smoke detector and home safety device wholesale operations
NAICS Classification Hierarchy
| Level | Description | Code |
|---|---|---|
| Sector | Wholesale Trade | 42 |
| Subsector | Merchant Wholesalers, Durable Goods | 423 |
| Industry Group | Household Appliances and Electrical and Electronic Goods Merchant Wholesalers | 4236 |
| NAICS Industry | Household Appliances, Electric Housewares, and Consumer Electronics Merchant Wholesalers | 42362 |
| National Industry | Household Appliances, Electric Housewares, and Consumer Electronics Merchant Wholesalers | 423620 |
Related NAICS Codes
| Code | Description | Relationship |
|---|---|---|
| 423610 | Electrical Apparatus and Equipment, Wiring Supplies, and Related Equipment Merchant Wholesalers | Electrical apparatus and equipment merchant wholesalers distribute commercial electrical supplies rather than the household appliances and consumer electronics here |
| 423690 | Other Electronic Parts and Equipment Merchant Wholesalers | Other electronic parts merchant wholesalers distribute discrete electronic components rather than assembled consumer electronics and household appliances |
| 423220 | Home Furnishing Merchant Wholesalers | Home furnishing merchant wholesalers distribute decorative home products that complement but are classified separately from household appliances |
| 335210 | Small Electrical Appliance Manufacturing | Small electrical appliance manufacturing produces toasters, blenders, and other small appliances distributed through household appliance wholesale channels |
| 335220 | Major Household Appliance Manufacturing | Major household appliance manufacturing produces refrigerators, washers, and dryers that flow through wholesale distribution to retailers and builders |
| 423430 | Computer and Computer Peripheral Equipment and Software Merchant Wholesalers | Computer equipment merchant wholesalers distribute computing devices that complement but are classified separately from consumer electronics products |
Geographic Concentration
Top states by share of national establishments.
| # | State | % Est. | Total Est. |
|---|---|---|---|
| 1 | California | 23.1% | 588 |
| 2 | Florida | 10.6% | 270 |
| 3 | New York | 8.9% | 226 |
| 4 | Texas | 7.7% | 196 |
| 5 | New Jersey | 4.9% | 125 |
| 6 | Illinois | 4.6% | 116 |
| 7 | Georgia | 2.8% | 72 |
| 8 | Ohio | 2.6% | 66 |
| 9 | Pennsylvania | 2.0% | 52 |
| 10 | North Carolina | 2.0% | 50 |
% Of Establishments
0%
23%
Source: County Business Patterns, U.S. Census Bureau[3]
SBA Lending Summary
440
Total SBA Loans
$144.7M
Total Loan Volume
$329K
Average Loan Size
10 yrs
Average Loan Term
10.57%
Average Interest Rate
1,960
Jobs Supported
Source: SBA 7(a) Program Data, U.S. Small Business Administration — FY 2025[4]
Key Insight: The SBA[7] classifies Household Appliances, Electric Housewares, and Consumer Electronics Merchant Wholesalers under NAICS 423620 with a size standard of 225 employees. Industry industry includes both large national appliance distributors and smaller regional operations. Many independent distributors serving local dealer networks and builder programs operate below the SBA ceiling. Qualifying firms can access SBA lending programs[8] for warehouse expansion, delivery fleet investments, and inventory financing to support the capital-intensive major appliance distribution model. Eligible businesses can access SBA 7(a) loans[9] for working capital, equipment, and acquisition financing, while 504 loans[10] support major fixed-asset purchases including real estate and heavy machinery.
Top SBA Lenders
| # | Lender | Loans | Volume | Avg Loan |
|---|---|---|---|---|
| 1 | Newtek Bank, National Association | 72 | $48.0M | $667K |
| 2 | Platinum Bank | 16 | $20.8M | $1.3M |
| 3 | TD Bank, National Association | 48 | $9.2M | $191K |
| 4 | Northeast Bank | 56 | $8.7M | $155K |
| 5 | U.S. Bank, National Association | 24 | $5.5M | $230K |
Frequently Asked Questions
Common questions about this industry.
What types of businesses are classified under NAICS 423620?
NAICS 423620 covers merchant wholesalers distributing household gas and electric appliances, room air conditioners, televisions, home audio systems, vacuum cleaners, small kitchen appliances, and related consumer electronics. Per the U.S. Census Bureau[5], about 2,138 businesses operated in this industry with approximately 51,000 employees.
How is NAICS 423620 organized within the classification hierarchy?
This code belongs to Industry Group 4236 (Household Appliances and Electrical and Electronic Goods Merchant Wholesalers), Subsector 423 (Merchant Wholesalers, Durable Goods), and Sector 42 (Wholesale Trade). It shares Industry Group 4236 with 423610 (electrical equipment and wiring) and 423690 (other electronic parts).
What is the SBA size standard for NAICS 423620?
The SBA[7] sets the size standard at 225 employees. Businesses below this threshold qualify as small businesses for federal contracting preferences and SBA-backed loan programs.
Which NAICS codes are most closely related to 423620?
Electrical equipment wholesalers (423610) handle commercial supplies separately. Electronic parts wholesalers (423690) distribute discrete components. Major appliance manufacturers (335220) and small appliance makers (335210) supply products. Per Census Bureau NAICS references[11], water heaters and heating stoves are excluded from this code.
What industries interact most with household appliance wholesalers?
Appliance retailers and home centers (444110) are primary customers. Residential builders (236118) purchase through builder programs. Major appliance manufacturers (335220) and consumer electronics makers (334310) supply inventory. Per Bureau of Labor Statistics[6] data, housing starts and consumer spending patterns influence appliance wholesale demand.
What specific activities are included in NAICS 423620?
Activities include distributing refrigerators, washers, dryers, dishwashers, microwaves, televisions, home audio systems, vacuum cleaners, room air conditioners, smoke detectors, and small kitchen appliances. Many distributors provide white-glove delivery, installation coordination, and builder appliance package programs. Per Census Bureau definitions[5], water heaters and heating stoves are excluded.
Can household appliance wholesalers access SBA loans?
Yes. Distributors with fewer than 225 employees qualify for SBA loan programs[8] including 7(a) loans for inventory financing and working capital, 504 loans for warehouse and delivery facilities, and microloans for fleet vehicles and equipment. Major appliance inventory requires substantial warehouse space and working capital.
Where are household appliance wholesalers concentrated in the United States?
Distribution operations follow population and housing construction patterns. States with large populations and active housing markets like Texas, Florida, California, Georgia, and the Carolinas support major appliance wholesale operations. National distributors operate regional warehouse hubs near major metro areas to serve dealer delivery requirements and builder program commitments across their territories.
Sources & References
Government datasets and editorial sources used in this report.
- [1]U.S. Bureau of Labor Statistics, Quarterly Census of Employment and Wages bls.gov
- [2]U.S. Census Bureau, Economic Census census.gov
- [3]U.S. Census Bureau, County Business Patterns census.gov
- [4]U.S. Small Business Administration, SBA 7(a) Loan Program Data data.sba.gov
- [5]U.S. Census Bureau census.gov
- [6]Bureau of Labor Statistics bls.gov
- [7]SBA size standard publications sba.gov
- [8]SBA lending programs sba.gov
- [9]SBA 7(a) loans sba.gov
- [10]504 loans sba.gov
- [11]Census Bureau NAICS references census.gov
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