Power Tool Sales and Marketing Strategies for B2B Retailers
Power tools are vital for both professionals and consumers. Despite an expected slowdown in 2021 due to the COVID-19 pandemic, the demand is still at or near pre-pandemic levels.
In terms of outlet dollar share, Home Depot leads all outlets when it comes to sales of power tools. Lowe's follows closely behind. Both are however confronting stiff competition from Chinese-made power tools.
Tip 1: Commit to a brand
A lot of manufacturers of industrial products place emphasis on sales over marketing. This is because the long-term selling process requires a lot of back-and-forth communication as well as a detailed understanding of the product. This kind of communication does not allow for emotional consumer marketing techniques.
Nevertheless, industrial tools manufacturing companies should consider rethinking their approach to marketing. The digital age has overtaken traditional manufacturers who depend on a few distributors and retail outlets for sales.
The key to power tool sales is brand loyalty. When a customer is loyal to a brand and is loyal to a brand, they are less prone to the messages of competitors. They are also more likely to buy the products of the brand they are loyal to and to recommend them to others.
To be successful on the United States market, you must have an organized strategy. This involves adapting tools to local requirements, positioning brands in a manner that is competitive and leveraging marketing platforms and distribution channels. Collaboration with local authorities and associations, as well as experts is also essential. 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: Be aware of Your Products
Retailers should be familiar with the products they offer especially in a marketplace which places a great importance on the quality of products. This will allow them to make informed choices about the products they sell. This knowledge can make the difference between making a successful or bad sale.
Knowing that a certain tool is suitable for a project will assist you in matching the perfect tool to the needs of your customer. This will aid in building trust and loyalty with your customers. It will also give you the confidence that you're providing an entire solution.
In addition, understanding the trends in DIY culture can help you better understand what your customers want. For instance the increasing number of homeowners are taking on home renovations that require the use of power tool. This could lead to an increase in sales of these tools.
According to DurableIQ, DeWalt is the leader in power tool units with 16%. However, Ryobi and Craftsman have seen their share decrease year-over-year. However the fact that both in-store and
online tools shopping tool shop,
Suggested Reading, purchases are increasing.
Tip 3: Offer Full-Service Repair
The most frequent reason why a consumer makes a power tool purchase is to replace one that has broken down or to take on an entirely new project. Both provide opportunities for upsells or 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 for power tools resulted from an anticipated replacement. These customers may require additional accessories or upgrade to a more powerful model.
If your customer is experienced in DIY or is new to the hobby, they will need to replace their carbon brushes, drive cords and power cords of their tools over 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 applications, how it will be powered and safety. These aspects help technicians make informed choices about the
best quality tools tools to use for their maintenance and repairs. This will help them maximize the effectiveness of their tools and lower the cost of ownership.
Tip 4: Continue to Keep Up with Technology
For example, the latest power tools feature smart technology that improves the user experience and sets them apart from competitors that still rely on old battery technology. Wholesalers of B2B that offer and sell these tools can increase sales by targeting professionals and contractors who are technologically advanced.
For Karch, whose business has more than three decades of experience and a 2,000-square-foot tool department, keeping up with new technologies is essential. "Manufactures are constantly adjusting the design of their products," he says. "They used to hold 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. By incorporating lightweight materials and adjustable handles, wholesalers can reduce fatigue due to prolonged use. These features are crucial for professionals who employ the tools for a long period of time. The market for power tools is divided into consumer and professional groups and this means that the biggest players are always working on improving their designs and developing new features to reach a wider audience.
Tip 5: Create an Point of Sale
The landscape of e-commerce has transformed the
power tool store tool market. Data collection techniques have been improved allowing business professionals to gain a better understanding the market. This allows them to develop more efficient inventory and marketing strategies.
Point of sale (POS) data, for instance, allows you to keep track of the types of projects DIYers undertake when they purchase tools and accessories. Knowing what projects your customers are working on enables you to offer upsells and additional products. It helps you anticipate the needs of your customers to ensure that you have the appropriate products on hand.
Moreover, transaction data enables you to spot trends in the market and adjust your production cycles accordingly. You can, for example utilize this data to track fluctuations in your retail partners' and your brand's market shares. This will allow you to align your product strategies to the preferences of consumers. POS data can also be utilized to optimize levels of inventory, reducing the risk of stocking up. It can also be used to determine the effectiveness of promotional campaigns.
Tip 6: Make a Point of Service
Power tools are a complicated market with high profits that requires a substantial amount marketing and sales effort to stay in the game. In the past, getting a competitive advantage in this market was accomplished by establishing prices or positioning of products. But these methods are not as effective in the current multichannel environment, where information is easily available to be shared.
Retailers who provide a high level of providing excellent service are more likely to keep customers coming back 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. His initial department featured a variety of brands. However, as he listened to contractors, he realized that they were loyal to their favorite brand.
Karch and his team ask their customers what they intend to do with the tool prior to showing them the alternatives. This gives them the confidence to recommend the right tool for the job and also builds trust with customers. Customers who are familiar with their product are less likely to blame the store for a failure of a tool for the job.
Tip 7: Be a customer service guru
The power tool market has become a highly competitive market for hardware retailers.