Power Tool Sales and Marketing Strategies for B2B Retailers
Power tools are vital for both professionals and consumers. The demand for power tools remains at or near pre-pandemic levels despite a slowdown due to the COVID-19 epidemic that will hit in 2021.
In terms of dollar share, Home Depot leads all outlets in sales of power tools. Lowe's is second in line. However, both are confronting stiff competition from Chinese-made power tools.
Tip 1: Create an Efficacious Brand Commitment
Many manufacturers of industrial products prioritize sales over marketing. This is because the long-term selling process requires a lot back-and-forth communication and detailed knowledge of the product. This kind of communication does not lend itself to emotional consumer marketing tactics.
However, industrial tools manufacturing companies should consider rethinking their approach to marketing. The digital age has raced past traditional manufacturers who rely on a small group of distributors and retailers for sales.
Brand commitment is a key element in the sale of power tools. When a customer is adamant about a particular brand, they are less sensitive to competitor's messages. They are also more likely to purchase the product of the customer again and to recommend them to friends and family.
power tool shop need a well-planned plan to be successful in the US market. This involves adapting tools to local requirements, positioning brands in a manner that is competitive and using marketing platforms and distribution channels. It is also important to cooperate with local authorities as well as industry associations and experts. You can be certain that your power tool is in line with the standards and regulations of the country when you do this.
Tip 2: Know Your Products
In a world where product quality is crucial, retailers should be aware of the products they offer. This will help them make informed decisions about what they sell. This knowledge could make the difference between making a successful or a bad purchase.
Knowing that a certain tool is suitable for a particular project will help you match the right tool to the needs of your customer. You'll build trust and loyalty with your customers. This will help you feel confident that you're providing an entire service.
Understanding DIY cultural trends can help you understand the needs of your customers. For example, a growing number of homeowners are undertaking home improvement projects that require the use of power tools. This can lead to an increase in sales of these tools.
According to power tools deals , DeWalt leads in power tool unit share at 16%, while Ryobi and Craftsman brands have seen their share decrease year-over-year. Despite this, online and in-store sales are increasing.
Tip 3: Offer Full-Service Repair
The most frequent reason why that a buyer makes a purchase is to either replace one that has broken down or to take on an entirely new project. Both of these can be used to increase sales 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. Customers may require additional accessories or upgrade to a higher-performing model.
Whether your customer is an experienced DIYer or new to the hobby, they'll likely need to replace their carbon brushes for power tools, drive belts and power cords as time goes by. Being on top of these important items will help your customer make the most of their investment.
When purchasing power tools, technicians consider three factors: the application, the power source and security. These aspects help technicians make informed choices when it comes to selecting the appropriate tools for their maintenance and repair tasks. This helps them maximize the performance of their tool and lower the cost of owning it.
Tip 4: Keep Keeping Up with Technology
The most recent power tools, for example they feature smart technology that enhances user experience and sets them apart from those who rely on old-fashioned battery technology. Wholesalers in B2B who carry and sell these devices can boost sales by targeting professional and tech-savvy contractors.
For Karch, whose business has more than three years of experience and a 12,000 square-foot tool department, staying current with new technologies is essential. "Manufactures are constantly adjusting the design of their products," he says. "They used to keep their designs for five or 10 years, but they're now changing them every year."
In addition to embracing most recent technologies, B2B wholesalers should also focus on improving existing models. For instance, by adding adjustable handles and lightweight materials, they can reduce the fatigue caused by prolonged use. These features are essential for a lot of professionals who have to use the tools for long periods. The market for power tools is split into professional and consumer groups. This means that the biggest players are always working to improve their designs and create new features to reach a wider market.
Tip 5: Create a Point of Sales
The e-commerce landscape has transformed the power tools market. Data collection methods have improved and business professionals can gain a better understanding the market. This allows them to develop more effective marketing and inventory strategies.
Using information from the point of sale (POS) You can track DIY projects your customers undertake when buying power tools and other accessories. Knowing the type of projects your customers are undertaking enables you to provide additional sales and opportunities to upsell. It also allows you to anticipate the requirements of your customers making sure you have the correct products on hand.
Additionally, transaction data can help you to spot trends in the market and adjust production cycles in line with. You could, for instance, use this data to monitor changes in your retail partners' and your brand's market share. This will allow you to align your strategy for product to consumer preferences. In the same way, you can utilize POS data to optimize levels of inventory and decrease the risk of stocking up. It is also used to assess the effectiveness of promotional campaigns.
Tip 6: Be a good neighbor
Power tools are a complex market with high profits that requires a substantial amount of marketing and sales efforts to remain in the game. In the past, gaining a competitive advantage in this market was achieved through pricing or positioning products. However, these tactics are not effective in today's omnichannel environment where information is readily available to be shared.
Retailers who make a point of providing a high-quality service are more likely to keep customers and build brand loyalty. Mike Karch, president of Nue's Hardware and Tools in Menomonee Falls in Wisconsin, operates a 12,000-square-foot power tool department. At first, the department offered a sampling of brands, but as he began to listen to contractor customers and found that the majority were loyal to a particular brand.
Karch and his staff ask their customers what they intend to do with the tool before presenting them with the possibilities. This gives them confidence to recommend the most effective tool for the job, and builds trust with the customer. Customers who know their product are less likely to blame their supplier for a tool malfunction during the course of work.
Tip 7: Become a master of customer service
Power tool retailers are facing an extremely competitive market. The retailers that are successful in this category tends to be more loyal to a single brand than to carry a variety of manufacturers. The amount of space that retailers can dedicate to a specific category could influence how many brands they can carry.
When customers come in to purchase an electric tool and require assistance, they usually need help choosing a product. Whether they are replacing an old model that is broken or tackling the task of renovating Customers need advice from sales representatives.
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 to help make an offer. They begin by asking what the customer is planning to use the tool, he says. "That's the way to determine the type of tool they need," he says. Then, they inquire about the project and the level of experience the client has with different types of projects.
Tip 8: Make sure to mention your warranty
Power tool manufacturers vary greatly in their warranty policies. Some manufacturers offer a comprehensive warranty, while others offer more limited warranties or do not cover certain tools. Before buying a product, it is crucial that the retailer understands the distinctions. Customers will only purchase tools from companies that back them up.
Mike Karch, president of Nue's Hardware and Tools in Menomonee Falls, Wisconsin, has a 12,000-square-foot power tool department and an in-house repair shop that handles 50 kinds of tools. He has learned that many of his contractors are loyal to a particular brand. So, he chooses to carry a limited number of brands instead of trying to carry a variety of products.
He also likes the fact that his employees meet with vendors one-on-one to discuss new products and share feedback. This personal contact is crucial because it helps build trust between the store's clients and employees. Having good relationships with suppliers may lead to discounts on future purchases.