Power Tool Sales and Marketing Strategies for B2B Retailers
Power tools are vital for both professionals and consumers. The demand for power tools is at or near pre-pandemic levels despite a slowdown owing to the COVID-19 outbreak in 2021.
In terms of dollar share, Home Depot leads all outlets in sales of power tools. Lowe's is close behind. However, both are being pushed by China-made power tools.
Tip 1: Commit to a brand
Many industrial products manufacturers prioritize sales over marketing. This is because a long-term sale requires a lot of back-and-forth communication and a thorough understanding of the product. This type of communication is not suitable for emotional marketing strategies.
However, industrial tools manufacturing companies must rethink their approach to marketing. The digital world has raced past traditional manufacturers who rely on a small circle of retailers and distributors to sell their products.
One of the most important factors in selling power tools is brand commitment. When a buyer is committed to a specific brand and brand, they are less responsive to the messages of competitors. They are also more likely to buy the product of the customer again and to recommend them to others.
It is essential to have a well-planned strategy to be successful in the American market. This means adjusting your tools to meet local needs, positioning your brand in a strategic manner, and leveraging distribution channels and marketing platforms. Collaboration with local authorities as well as associations and experts is also crucial. When you do this you can ensure that the power tools you purchase be in compliance with the regulations of the country and standards.
Tip 2: Know Your Products
Retailers need to be knowledgeable about the products they offer especially in a marketplace that places such a high importance on the quality of products. This will allow them to make informed choices about the products they can offer their customers. This knowledge can also make the difference between a successful sale and a bad one.
Knowing which tool is ideal for a particular project will help you match the right tool to your customer's needs. You'll build trust and loyalty among your customers. power tool shops will also give you confidence that you're providing an entire solution.
Understanding DIY culture trends can also help you understand the needs of your customers. As an example the increasing number of homeowners are taking on home improvement projects that require the use of power tool. This can result in an increase in sales of these tools.
According to DurableIQ, DeWalt is the leader in power tool units with 16 percent. However, Ryobi and Craftsman have seen their shares decrease year-overyear. However the fact that both in-store and online purchases are increasing.
Tip 3: Offer Full-Service Repair
The most common reason a consumer makes a power purchase is to either replace one that has broken down or to take on a new project. Both of these can be used to increase sales and add-on sales.
According to the Home Improvement Research Institute's (HIRI) 2020 Power Tools and Accessories Product Purchase Tracking Study, 35 percent of purchases of power tools were the result of an anticipated replacement. The customers might require additional accessories, or upgrade to a better-performing model.
Whether your customer has experience in DIY or is just beginning the hobby they will need to replace the carbon brushes, drive cords and power cords of their tools in time. Being on top of these important items will help your customer make the most of their investment.
Technicians consider three key items when buying power tools: application, how it will be used and safety. These aspects allow technicians to make informed choices when it comes to selecting the right tools for their repair and maintenance work. This allows them to improve the effectiveness of their tools and lower the cost of ownership.
Tip 4: Keep current with the latest technology
The latest power tools, like are equipped with smart technology that enhances the user experience and differentiates them from those who rely upon old battery technology. Wholesalers of B2B who stock and sell these tools could increase sales by targeting professional and tech-savvy contractors.
For Karch the company, which has more than three decades of experience and a 12,000-square-foot department for tools, staying up with the latest technologies is crucial. "Manufactures are constantly changing the look of their products" Karch says. "They used to keep their designs for five or ten years, but now they're changing them each year."
B2B wholesalers must not only take advantage of the latest technologies, but also upgrade their existing models. By adding lightweight materials and adjustable handles, wholesalers can decrease fatigue caused by long-term use. These features are essential to many contractors working in the field who utilize the tools for a long period of time. The market for power tools is divided into the consumer and professional segments. This means that major players are constantly working to improve their designs and develop new features to reach a wider public.
Tip 5: Create a Point of Sales
The ecommerce landscape has changed the market for power tools. Advancements in data collection methods allow professionals in the field to get an overall perspective of market trends which allows them to design inventory and marketing strategies more effectively.
Point of sale (POS) data for instance, allows you to track the types of projects DIYers tackle when purchasing power tools and accessories. Knowing the kinds of projects that your customers are working on enables you to provide additional sales and opportunities for upselling. It also helps you to anticipate the needs of your customers, ensuring that you have the correct products on hand.
Furthermore, transaction data allows you to identify market trends and adjust your production cycles accordingly. For example, you can make use of this information to track fluctuations in your brand's or retail partner market shares and help you adapt your product strategies to consumer preferences. Similarly, you can use POS data to optimize inventory levels and reduce the chance of overstocking. It can also be used to assess the effectiveness of promotional campaigns.
Tip 6: Establish a Point of Service
Power tools is a lucrative complex market that requires substantial sales and marketing efforts to remain competitive. In the past, gaining a competitive advantage in this market was accomplished by establishing prices or positioning of products. However, these strategies are no longer effective in today's multichannel environment, where information is easily shared.
Retailers who make a point of providing a high-quality service are more likely to keep customers and build brand loyalty. Mike Karch, the president of Nue's Hardware and Tools, in Menomonee falls, Wisconsin, runs a 12,000 square-foot power tool section. In the beginning, his store featured several brands, but when he began listening to the customers of contractors and found that the majority were loyal to a particular brand.
To make a mark in their customers' business, Karch and his team first ask their customers what they would like to accomplish using the tool, before showing them the options available. This gives them confidence to recommend the most effective tool for the job and builds trust with the customer. Customers who are familiar with their product well are less likely to blame their supplier for a tool failure during the course of work.
Tip 7: Be a guru in customer service
The market for power tools has become a highly competitive market for hardware retailers. People who have had success in this category tend to make a strong commitment to a particular brand instead of simply carrying a few manufacturers. The amount of space a retailer can devote to a category may also influence how many brands they are able to carry.
Customers often need assistance when they visit to purchase a power device. Sales associates can offer the best guidance to customers looking to replace a broken device or completing an upgrade project.
Mike Karch, president of Nue's Hardware and Tools in Menomonee Falls, Wisconsin, says his sales associates at the store are trained to ask the right questions in order to make the sale. They begin by asking the customer about what he or she plans to use the product. "That's how you determine what kind of tool they need," he says. The next step is to inquire about the project and what level of experience the customer has with different types of projects.
Tip 8: Be sure to be sure to mention your warranty
The warranties of the power tool makers are quite different. Some companies offer a complete warranty, while others offer more limited warranties or refuse to cover certain tools. Before making a purchase it's important that retailers know the differences. Customers will only buy tools from companies who provide a warranty.
Mike Karch, president of Nue's Hardware and Tools in Menomonee Falls, Wisconsin, has a 12,000 square-foot power tools department as well as an in-house repair shop that handles 50 lines of tools. He has observed that many of his contractors are loyal to a particular brand. So, he chooses to carry a limited number of brands rather than offer samples of various products.
He also appreciates that his employees can have one-on-one meetings with vendors to discuss new products and provide feedback. This type of personal interaction is essential because it builds trust between the store's clients and employees. Building strong relationships with suppliers could lead to discounts on future purchases.