Power Tool Sales and Marketing Strategies for B2B Retailers

Power tools are essential for both consumers and professionals. Despite an expected slowdown in 2021 due to the COVID-19 virus, demand remains close to or at levels prior to the pandemic.

In terms of outlet dollar share, Home Depot leads all outlets when it comes to sales of power tools. Lowe's is second in line. Both are however confronting stiff competition from Chinese-made power tools.

Tip 1: Make a Brand Commitment

A lot of manufacturers of industrial products place emphasis on sales over marketing. This is due to the fact that the long-term sales process involves a lot of back and forth communication and a thorough understanding of the product. This kind of communication isn't ideal for marketing that is based on emotion.

However, industrial tools manufacturing companies should think about rethinking their approach to marketing. The digital age has overtaken traditional manufacturing companies that rely on a few retailers and distributors for sales.

A key to power tool sales is brand loyalty. If a customer is committed to a brand, they will be less prone to messages from competitors. They are also more likely to purchase the client's products again and to recommend them to others.

You require a well-planned strategy to have an impact on the US market. This includes adapting your tools to meet local needs, positioning your brand in a competitive manner, and leveraging marketing channels and distribution channels. Collaboration with local authorities and associations, as well as experts is also essential. You can be sure that your power tool is in line with the standards and regulations of the country when you follow these guidelines.

Tip 2: Be aware of Your Products

In a world where product quality is important, retailers must be aware of the products they offer. This will help them make informed choices about what they offer their customers. This knowledge can also make the difference between a good sale and a poor one.

For instance, knowing that a tool is ideal for the particular task will help you match your customer with the best prices on power tools tool to meet their needs. You'll earn trust and a sense of loyalty among your customers. It will also give you the confidence that you're providing a complete solution.

In addition, understanding the trends in DIY culture will help you know what your customers are looking for. For instance, a growing number of homeowners are taking on home renovation projects that require the use of power tools. This could lead to a rise in sales of power tools.

According to Durable IQ, DeWalt leads in power tool share of 16%, however Ryobi and Craftsman brands have seen their share drop year-over-year. Despite this sales in stores and online are increasing.

Tip 3: Offer Full-Service Repair

The majority of consumers purchase power tools to repair an old one or tackle an upcoming project. Both present opportunities for upsells and additional 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 better-performing model.

Your customer may have experience in DIY or is just beginning the hobby, they will have to replace carbon brushes, drive cords, and power cords of their power tools in time. Keeping up with these essentials will allow your customer to make the most of their investment.

Technicians must consider three important aspects when making power tool purchases: application, how it will be operated and safety. These aspects allow technicians to make informed decisions when choosing the right tools for their maintenance and repair work. This enables them to maximize the performance of their tool and lower the cost of owning it.

Tip 4: Always Keep Up With Technology

For instance, the latest battery tools have advanced technology that enhances the user experience and differentiates them from other tools that depend on old-fashioned battery technology. B2B wholesalers who stock and sell these tools could increase sales by focusing on professionals and contractors who are tech-savvy.

Karch's business, which has more than 30 years of experience and a 12,000 square foot tooling department, is a testament to the importance of keeping current with the latest technologies. He states that manufacturers are constantly changing their product designs. "They used to keep their designs for five or 10 years, but they're now changing them every year."

B2B wholesalers should not just embrace the latest technologies but also enhance their existing models. For instance, by adding adjustable handles and lightweight materials, they can lessen the strain caused by long use. These features are essential to professionals who employ the tools for a long period of time. The market for power tools is divided into consumer and professional groups which means that the major players are always working on enhancing their designs and creating new features that will appeal to a wider audience.

Tip 5: Make a Point of Sales

The ecommerce landscape has changed the power tool market. Modern methods for data collection have enabled business professionals to get an entire perspective of market trends which allows them to design strategies for inventory and marketing more effectively.

Point of sale (POS) information for instance, allows you to monitor the kinds of projects DIYers tackle when they purchase power tools and other accessories. Knowing the kinds of projects your customers are working on enables you to offer additional sales and opportunities for upselling. It also helps you to anticipate the requirements of your customers and ensure that you have the appropriate products available.

You can also utilize transaction data to spot trends in the market and adjust production cycles accordingly. You can, for example make use of this information to track fluctuations in your brand's and retail partners market share. This will allow you to align product strategies to consumer preferences. Additionally, you can make use of POS data to optimize inventory levels and reduce the risk of overstocking. It can also assist you to evaluate the effectiveness of promotional campaigns.

Tip 6: Establish an Point of Service

Power tools are a complex market that is high-profit and requires a substantial amount marketing and sales efforts to remain in the game. The classic ways to gain an advantage in this industry have been by positioning or pricing products. However, these strategies are no longer effective in today's omnichannel marketplace where information is shared in such a rapid manner.

Retailers who make a point of providing excellent service are more likely to retain customers and develop brand loyalty. Mike Karch, president of Nue's Hardware and Tools in Menomonee Falls in Wisconsin is the owner of a 12,000-square-foot department for power tools on line (Going at Aeust). His department initially featured several brands. However, as he listened to contractors, he realized that they were loyal to their preferred brand.

To win their customers, Karch and his team first ask customers what they'd like to achieve 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 are less likely to blame the retailer for the failure of a device on the job.

Tip 7: Make a point of customer service

power tool stores near me tool retailers are facing an extremely competitive market. People who have had success in this category tend to have a strong commitment to a particular brand instead of simply carrying a sampling of manufacturers. The size of the space that a retailer needs to devote to this category can also affect the amount of brands it is able to carry.

Customers usually require assistance when they visit to purchase a power tool. Sales associates can provide professional guidance to customers looking to replace a broken device or completing a renovation project.

Mike Karch, president of Nue's Hardware and Tools in Menomonee Falls, Wisconsin, says his store's sales associates are trained to ask the right questions to help make the sale. They start by asking what the customer plans to use the tool for according to him. "That's the most important factor to consider when deciding the kind of tool to offer them," he adds. Then they ask about the experience of the customer with various types of projects and the project.

Tip 8: Create a Point of Warranty

The makers of power tools vary widely in their warranty policies. Some are completely comprehensive, while others are stingy or even do not cover certain components of the tools at all. Before buying a product, it is essential that retailers understand the differences. Customers will only buy tools from companies that will 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 tools online that handles 50 lines of tools. He has learned that many of his contractors are brand loyal. Therefore, he prefers to carry only a few brands rather than offer samples of various products.

He is also pleased that his employees are able to meet with vendors one-on-one to discuss new products and share feedback. This personal contact is important as it helps build trust between the store and the customers. Good relationships with suppliers could even result in discounts on future purchases.