REVENUE

6 Months Ended

Jun. 30, 2020

Revenue from Contract with Customer [Abstract]

REVENUE

REVENUE

Company revenue is primarily comprised of MRO product sales and related activities, such as freight and services. Total service revenue is not material and accounted for approximately 1% of the Company's revenue for the three and six months ended June 30, 2020 and 2019, respectively.

Grainger serves a large number of customers in diverse industries, which are subject to different economic and market specific factors. The Company's presentation of revenue by industry most reasonably depicts how the nature, amount, timing and uncertainty of Company revenue and cash flows are affected by economic and market specific factors. The following table presents the Company's percentage of revenue by reportable segment and by major customer industry:

	Three Months Ended June 30,
	2020						2019
	U.S.		Canada		Total Company (2)		U.S.		Canada		Total Company (2)
Government	24	%	10	%	17	%	19	%	6	%	14	%
Heavy Manufacturing	15	%	16	%	15	%	19	%	20	%	17	%
Light Manufacturing	13	%	7	%	10	%	13	%	6	%	11	%
Transportation	5	%	10	%	5	%	5	%	8	%	5	%
Healthcare	11	%	—	%	8	%	7	%	—	%	5	%
Commercial	7	%	10	%	6	%	10	%	9	%	8	%
Retail/Wholesale	10	%	3	%	8	%	8	%	4	%	7	%
Contractors	9	%	10	%	7	%	10	%	11	%	8	%
Natural Resources	2	%	29	%	3	%	3	%	32	%	4	%
Other (1)	4	%	5	%	21	%	6	%	4	%	21	%
Total	100	%	100	%	100	%	100	%	100	%	100	%
Percent of Total Company Revenue	72	%	4	%	100	%	72	%	5	%	100	%

	Six Months Ended June 30,
	2020						2019
	U.S.		Canada		Total Company (2)		U.S.		Canada		Total Company (2)
Government	21	%	10	%	16	%	18	%	6	%	13	%
Heavy Manufacturing	17	%	17	%	16	%	19	%	21	%	18	%
Light Manufacturing	13	%	6	%	10	%	13	%	6	%	11	%
Transportation	5	%	10	%	5	%	6	%	8	%	5	%
Healthcare	10	%	—	%	7	%	7	%	—	%	5	%
Commercial	8	%	9	%	7	%	10	%	9	%	8	%
Retail/Wholesale	10	%	4	%	8	%	8	%	4	%	7	%
Contractors	9	%	9	%	7	%	10	%	10	%	8	%
Natural Resources	2	%	29	%	3	%	3	%	32	%	4	%
Other (1)	5	%	6	%	21	%	6	%	4	%	21	%
Total net sales to external customers	100	%	100	%	100	%	100	%	100	%	100	%
Percent of Total Company Revenue	72	%	4	%	100	%	72	%	5	%	100	%

(1) Other category primarily includes revenue from individual customers not aligned to major industry segment, including small businesses and consumers, and intersegment net sales.

(2) Total Company includes other businesses, which include the Company's endless assortment businesses and operations in the United Kingdom (U.K.) and Mexico and accounts for approximately 24% of revenue for the three and six months ended June 30, 2020 and 23% of revenue for the three and six months ended June 30, 2019.

Total accrued sales returns were approximately $26 million and $25 million as of June 30, 2020 and December 31, 2019, respectively and are reported as a reduction of Accounts receivable, net. Total accrued sales incentives were approximately $54 million and $57 million as of June 30, 2020 and December 31, 2019 and are reported as part of Accrued expenses. The Company had no material unsatisfied performance obligations, contract assets or liabilities as of June 30, 2020 and December 31, 2019.