Power Tool Sales and Marketing Strategies for B2B Retailers
Power tools are essential for both professionals and users. Despite an expected slowdown in 2021 due to the COVID-19 virus, the demand is still at or near 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 isn't far behind. Both are however confronting stiff competition from Chinese-made power tools.
Tip 1: Make an Engagement to Brands
Many manufacturers of industrial products place a higher priority on sales and marketing. This is because the long-term sales process requires a lot back-and-forth communication and a thorough understanding of the product. This type of communication does not permit emotional marketing strategies.
However, companies that make industrial tools need to rethink their marketing strategy. The digital age has overtaken traditional companies that rely on a select group of distributors and retail outlets to sell their products.
The key to selling power tools is brand loyalty. If a client is adamant about a particular brand, they are less sensitive to the messages of competitors. They are also more likely to buy the client's products again and to recommend them to others.
It is essential to have a well-planned strategy to have an impact on the American market. This means adapting tools to local requirements and positioning brands in a competitive manner, and making use of distribution and marketing platforms channels. Collaboration with local authorities as well as associations and experts is also crucial. By doing so you can be sure that your power tools comply with the country's regulations and standards.
Tip 2: Be aware of Your Products
Retailers should be familiar with the products they sell especially in a marketplace which places a great value on product quality. This will enable them to make informed decisions about what they are selling. This information can make the difference between a good sale and a poor one.
Knowing which tool is perfect for a project will aid in matching the right tool to the needs of your customer. You'll earn trust and loyalty with your customers. It will also give you the confidence that you're providing a complete solution.
Understanding DIY cultural trends can help you understand your customers' requirements. As an example, more homeowners are undertaking home improvement projects that require 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 sales 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 on the rise.
Tip 3: Offer Full-Service Repair
The most frequent reason why for a person to make a power tool purchase is to replace one that is 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 a planned replacement. These customers may require additional accessories or upgrade to a higher-performing model.
No matter if your customer is an experienced DIYer or is new to the hobby, they'll need to replace their carbon brushes for power tools drive belts, drive belts, and power cords with time. These items will ensure your customer reaps the maximum benefit out of their investment.
Technicians consider three key items when purchasing power tools applications, how it will be used and safety. These aspects help technicians make informed choices about the best tools to use for their repairs and maintenance tasks. This allows them to maximize the effectiveness of their tool and reduce the cost of owning it.
Tip 4: Stay up to date with technology
For instance, the latest power tools feature intelligent technology that enhances users' experience and sets them apart from competitors that still rely on older battery technology. Wholesalers in B2B who carry and sell these devices can increase sales by focusing on professional and tech-savvy contractors.
For Karch who's business has more than three years of experience and a 12,000-square-foot tool department, staying current with the latest technologies is crucial. He states that manufacturers are constantly changing their designs for their products. "They used to hold their designs for five or 10 years, but they're now changing them every year."
B2B wholesalers should not just adopt the latest technology, but also enhance their existing models. For instance, by incorporating adjustable handles and lightweight materials, they can reduce the fatigue caused by prolonged use. power tool shops are essential for many contractors working in the field who utilize the tools for a long period of time. The power tools industry is divided into professional and consumer groups and this means that the biggest players are always working on improving their designs and developing new features to reach more people.
Tip 5: Create a Point of Sale
The online marketplace has transformed the market for power tools. The advancements in data collection techniques allow business professionals to gain an overall overview of market trends which allows them to design strategies for inventory and marketing more effectively.
Utilizing information from the point of sale (POS) You can track DIY projects your customers undertake when buying power tools and accessories. Knowing the types of projects your customers are undertaking enables you to offer add-on sales and opportunities to upsell. It allows you to anticipate your customers' needs to ensure that you have the right products on your shelves.
Furthermore, transaction data allows you to detect trends in the market and adjust your production cycles accordingly. For instance, you can use this data to monitor changes in your brand's and the market share of your retail partners which allows you to match your product strategies to consumer preferences. POS data can also be utilized to optimize inventory levels, reducing the chance of overstocking. It is also used to determine the effectiveness of promotional campaigns.
Tip 6: Make an Point of Service
Power tools is a high-profit complex market that requires significant marketing and sales efforts to stay competitive. The classic ways to gain a strategic advantage in this industry were by establishing pricing or positioning of products, but these tactics no longer work in the omnichannel world of today where information is distributed so quickly.
Retailers who provide a high level of providing excellent 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. The department was initially home to several brands. However, as he listened to contractors, he realized that they were loyal to their favorite brand.
To make a mark in their customers' business, Karch and his team first ask customers what they'd like to achieve with the tool, then show them the tools they have available. This gives them the confidence to recommend the appropriate tool for the job, and it increases trust with their customers. Customers who know their product well are less likely to blame their retailer for a malfunctioning tool during the course of work.
Tip 7: Become a customer service guru
The power tool market has become a highly competitive market for retailers of hardware. People who succeed in this area tend to be more devoted to a single brand rather than to carry a variety of brands. The amount of space that retailers can dedicate to a category may also influence how many brands they carry.
When customers come in to purchase a power tool, they often need help selecting the right product. Sales associates can offer the best advice to customers who are looking to replace a damaged tool or are planning the renovation of their home.
Mike Karch, the president of Nue's Hardware and Tools, in Menomonee falls, Wisconsin, said that the employees at his store are educated to ask questions that will result in a sale. They start by asking what the customer is planning to use the tool, he says. "That's the way to determine what kind of tool they require," he says. The next step is to inquire about the project and the level of experience they have with different types of projects.
Tip 8: Make sure to be sure to mention your warranty
The manufacturers of power tools differ greatly in their warranty policies. Some are completely comprehensive, while others aren't as generous or refuse to cover certain parts of the tools at all. It's important for retailers to know the distinctions before purchasing, as customers will buy tools from firms that provide them with 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 in-house repair shop that handles 50 models of tools. He has realized through the years that a majority of his contractors are loyal to their brands, which is why he focuses on a limited number of brands rather than attempting to offer a wide range of products.
He also appreciates that his employees have the ability to meet with vendors one-on-1 to discuss new products and exchange feedback. This type of personal interaction is crucial because it helps to establish trust between the store and the customers. Good relationships with suppliers could even lead to discounts for future purchases.