Power Tool Sales and Marketing Strategies for B2B Retailers
Power tools are essential for both professionals and consumers. The demand for power tools is at or close to pre-pandemic levels despite a slowdown owing to the COVID-19 epidemic in 2021.
Home Depot is the leader in the sales of power tools by dollar share. Lowe's is second in line. Both are however being pushed by China-made power tools.
Tip 1: Make an Efficacious Brand Commitment
Many industrial product manufacturers place an emphasis on sales than marketing. This is due to the fact that the long-term sales process requires a lot back-and-forth communication and detailed knowledge of the product. This type of communication does not allow for emotional consumer marketing techniques.
Nevertheless, industrial tools manufacturing companies should think about rethinking their approach to marketing. The digital age has overtaken traditional manufacturing companies that rely on a small group of distributors and retail outlets to sell their products.
A key to selling power tools is brand commitment. If a client is committed to a certain brand they are less receptive to competitors' communications. They are also more likely to purchase the products of the brand they are loyal to and to recommend them to others.
To have a positive impact on the United States market, you must develop a well-planned strategy. This involves adapting tools to local requirements, positioning brands in a manner that is competitive and leveraging marketing platforms and distribution channels. It is also crucial to collaborate with local authorities, industry associations, and experts. You can be assured that your power tool is in line with the standards and regulations of the country when you follow these guidelines.
Tip 2: Know Your Products
In a marketplace where quality of the product is so important, retailers should know the products they offer. This will enable them to make informed choices about what they offer their customers. This information can make the difference between a good sale and a poor one.
For instance knowing which tool is best suited to the particular task will allow you to connect your customer with the right tool for their needs. This will aid in building trust and loyalty with your customers. It will also give you confidence that you're offering an entire solution.
Understanding DIY cultural trends can help you understand your customers' requirements. As an example the increasing number of homeowners are taking on home renovation projects requiring the use of power tools. This could lead to a spike in the sale of these tools.
According to DurableIQ, DeWalt is the leader in power tool units at 16 percent. However, Ryobi and Craftsman have seen their shares decrease year-overyear. However sales in stores and online are growing.
Tip 3: Offer Full-Service Repair
The most common reason that a buyer makes a purchase is to either replace one that has been damaged or broken, or to embark on the task of a new one. Both offer opportunities for upsells and add-on sales.
According to the Home Improvement Research Institute (HIRI) 2020 Tracking Study of Power Tools and Accessories 35 percent of all purchases for power tools are the result of planned replacements. These customers may require additional accessories, or upgrade to a better-performing model.
No matter if your customer is an experienced DIYer or just starting out in the hobby, they'll likely require replacement of their carbon brushes for power tools, drive belts and power cords as time goes by. These items will ensure your customer gets the most out of their investment.
When buying power tools, technicians look at three aspects: the tool's application the power source, and safety. These aspects help technicians make informed choices when selecting the right tools for maintenance and repair tasks. This helps them optimize the performance of their tools and reduce the cost of ownership.
Tip 4: Continue to Keep Up with Technology
The most recent battery tools, for instance are equipped with smart technology that improves the user's experience and differentiates them from competitors who still depend on older 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 2,000-square-foot department for tools, staying up with the latest technology is vital. "Manufactures are constantly changing the design of their products," Karch says. "They used hold their designs for 5 or 10 years but now they change them every year."
In addition to embracing modern technologies, B2B wholesalers should also be looking to improve existing models. By incorporating lightweight materials as well as adjustable handles, wholesalers can lessen fatigue from long-term use. These features are important for a lot of professionals who must utilize the tools for lengthy durations. The power tool industry is divided between consumer and professional groups. This means that the major players are constantly striving to improve their designs and create new features in order to reach a wider audience.
Tip 5: Create a Point of Sales
The e-commerce market has changed the power tools market. Advancements in data collection methods have enabled business professionals to get an overall perspective of market trends, allowing them to shape strategies for inventory and marketing more efficiently.
Using data from the point of sale (POS), you can track DIY projects that customers undertake when buying power tools and accessories. Knowing the kinds of projects your customers are working on allows you to offer add-on sales and upsell opportunities. It helps you anticipate your customers' needs to ensure that you have the appropriate products on hand.
You can also use transaction data to determine trends in the market, and then adjust production cycles in line with these trends. For instance, you can make use of this information to track fluctuations in your retail partners' and your brand's market shares. This allows you to align your strategy for product to the preferences of consumers. POS data can also be used to improve inventory levels, reducing the risk of overstocking. It is also used to determine the effectiveness of promotions.
Tip 6: Create a Point of Service
Power tools are a complicated market with high profits that requires a significant amount of sales and marketing effort to remain competitive. The traditional methods to gain an advantage in this field have been through pricing or product positioning--but these methods are no longer effective in today's omnichannel marketplace in which information is dispersed rapidly.
Retailers who provide a high level 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, located in Menomonee Falls, Wisconsin, runs a 12,000 square-foot power tool section. His initial department featured various brands. However when he spoke to contractors, he discovered that they were loyal to their favorite brand.
To be successful in their business, Karch and his team first ask their customers what they would like to accomplish using the tool, before showing them what they have available. This gives them the confidence to recommend the appropriate tool for a job, and also builds trust with customers. Customers who are familiar with their product are less likely than others to blame the store for the failure of a device on the job.
Tip 7: Be a customer service guru
Power tool retailers are facing an extremely competitive market. People who succeed in this area tend to be more committed to a specific brand rather than to carry a variety of manufacturers. The amount of space that a retailer can devote to a specific category could determine the number of brands they carry.
When powertoolsonline visit a store to purchase a power tool they may need assistance choosing a product. Sales associates can provide the best advice to customers who are seeking to replace a damaged device or completing a renovation project.
Mike Karch, the president of Nue's Hardware and Tools, located in Menomonee Falls, Wisconsin, said that his store's staff is educated to ask questions that could result in an offer. They begin by asking questions about what the buyer is planning to do with the tool, he adds. "That's how you determine what kind of tool you need," he says. The next step is to inquire about the project and what level of experience the client has with different types of projects.
Tip 8: Create an End of Warranty
The manufacturers of power tools differ greatly in their warranty policies. Certain manufacturers offer a full warranty, while others offer a limited warranty or do not offer warranties for certain tools. Before making a purchase it is essential that retailers understand the differences. Customers will only buy tools from companies that provide a warranty.
Mike Karch, president of Nue's Hardware and Tools in Menomonee Falls, Wisconsin, has a 12,000 square-foot power tool department as well as an repair shop in-house that handles 50 lines of tools. He has discovered that a lot of his clients are brand loyal. So, he chooses to carry a select few brands rather than carry samples of different products.
He also appreciates that his employees have the opportunity to have one-on-one meetings with vendors to discuss new products and share feedback. This type of personal interaction is essential since it builds trust between the store's customers and employees. Building strong relationships with suppliers could result in discounts on future purchases.