Power Tool Sales and Marketing Strategies for B2B Retailers
Power tools are a staple for both consumer and professional use. Despite an expected slowdown in 2021 due to the COVID-19 pandemic, demand remains near or at levels prior to the pandemic.
power tool store near me is the leader in power tool sales based on dollar share. Lowe's is close behind. But both companies are being pushed by China-made power tools.
Tip 1: Create an Efficacious Brand Commitment
Many manufacturers of industrial products prioritize sales over marketing. This is due to the fact that the long-term sales process involves a lot of back and forth communication and detailed knowledge of the product. This type of communication is not suitable for emotional marketing strategies.
However, industrial tool manufacturing companies should think about rethinking their marketing strategy. The digital age has accelerated over traditional manufacturers who depend on a small group of distributors and retailers for sales.
Brand commitment is a key aspect in the sales of power tools. When a customer is adamant about a particular brand and brand, they are less responsive to competitors' communications. Moreover, they are more likely to purchase the product of the client again and recommend it to others.
You need a well-planned plan to have an impact on the American market. This means adapting your tools to local needs and positioning brands in a way that is competitive, and leveraging marketing platforms and distribution channels. Collaboration with local authorities, associations and experts is also crucial. By doing so you can ensure 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 are selling especially in a marketplace which places a great importance on the quality of products. This will enable them to make informed decisions about what they are selling. This knowledge can make the difference between making a successful or bad sale.
For example knowing that a particular tool is ideal for the particular task can help you connect your customer with the best tool to meet their requirements. This will help you build trust and loyalty with your customers. This will give you confidence that you provide the complete service.
Additionally, understanding the trends in DIY culture can help you comprehend what your customers want. For example, a growing number of homeowners are taking on home improvement projects that require the use of power tools. This can result in a surge in the sale of power tools.
According to Durable IQ, DeWalt leads in power tool unit share, which is 16%, although Ryobi and Craftsman brands have seen their share decrease year-over-year. However, both online and in-store purchases are increasing.
Tip 3: Offer Full-Service Repair
The majority of people purchase power tools to repair the broken one or tackle an upcoming project. Both offer opportunities for upsells and additional sales.
According to the Home Improvement Research Institute's (HIRI) 2020 Power Tools and Accessories Product Purchase Tracking Study, 35 percent of power tool purchases resulted from a planned replacement. The customers might require additional accessories, or upgrade to a better-performing model.
If your customer is experienced in DIY or is just beginning the hobby, they will have to replace their carbon brushes, drive cords, and the power cords on their power tools in time. These items will ensure your customer reaps the maximum benefit out of their investment.
Technicians must consider three important aspects when buying power tools the application, the way it will be powered and safety. These aspects allow technicians to make informed decisions when choosing the right tools for maintenance and repair tasks. This helps them maximize the efficiency of their tools and lower the expense of owning it.
Tip 4: Keep Keeping Up with Technology
The most recent power tools, for example they feature smart technology that improves the user's experience and sets them apart from those who rely on old-fashioned battery technology. B2B wholesalers who stock and sell these tools can increase sales by targeting professionals and contractors who are tech-savvy.
Karch's business, with more than 30 years of experience, and a 12,000 square foot tool department is a testimony to the importance of staying up-to-date with the latest technology. He says that manufacturers are constantly changing their designs for their products. "They used to hold their designs for five or 10 years, but now they're changing them each year."
B2B wholesalers need to not only embrace the latest technologies but also upgrade their existing models. For instance, by adding adjustable handles and lightweight materials, they can reduce the strain caused by long use. These features are crucial for many professional contractors who use the tools for a lengthy period of time. The market for power tools is divided between consumer and professional groups. This means that the major players are always working to improve their designs and develop new features in order to reach a wider market.
Tip 5: Create a point of Sale
The e-commerce landscape has transformed the market for power tools. Data collection methods have improved allowing business professionals to gain a better understanding the market. This allows them to develop more effective inventory and marketing strategies.
By utilizing information from the point of sale (POS), you can track DIY projects that customers are completing when purchasing power tools and other accessories. Knowing the type of projects that your customers are working on allows you to offer additional sales and opportunities to upsell. It helps you anticipate your customers' needs, so that you always have the right products on hand.
Additionally, transaction data can help you to spot trends in the market and adjust your production cycles accordingly. For example, you can use this data to monitor changes in your brand's and retail partner market shares and help you match your product strategies to consumer preferences. POS data can also be used to improve inventory levels, reducing the chance of overstocking. It is also used to assess the effectiveness of promotions.
Tip 6: Be a good neighbor
Power tools is a lucrative, complex market that requires significant marketing and sales efforts in order to remain competitive. The most common methods of gaining a strategic advantage in this market have been through pricing or product positioning--but these strategies are no longer effective in today's multichannel marketplace where information is shared in such a rapid manner.
Retailers who focus on service are more likely to keep customers and build brand loyalty. Mike Karch, president of Nue's Hardware and Tools in Menomonee Falls, Wisconsin is the owner of a 12,000-square-foot power tool department. His department initially featured a variety of brands. However when he spoke to contractors, he realized that they were loyal to their favorite brand.
To make a mark in their customers, Karch and his team first ask customers what they'd like to achieve with the tool before showing them the tools they have available. This gives them the confidence to recommend the best tool for the job and it creates trust with customers. Customers who are familiar with their product are less likely to blame the retailer for the failure of a tool for the job.
Tip 7: Make a Point of Customer Service
The market for power tools has become a highly competitive market for hardware retailers. The retailers that have had success in this area tend to make a firm commitment to a particular brand instead of simply carrying a sampling of manufacturers. The amount of space a retailer is able to devote to a category may also affect the number of brands they are able to carry.
When customers come in to purchase an electric tool and require assistance, they usually need help selecting the right product. Sales associates can offer the best guidance to customers looking to replace a damaged device or completing the renovation of their home.
Mike Karch, the president of Nue's Hardware and Tools, in Menomonee falls, Wisconsin, said that his store's staff is trained to ask questions that could result in an offer. They begin by asking questions about what the customer plans to use the tool, he adds. "That's the best way to determine what kind of tool they need," he says. The next step is to inquire about the project and what kind of experience the client has with various types of projects.
Tip 8: Make a Point of Warranty
The makers of power tools vary widely in their warranty policies. Certain manufacturers offer a full warranty, whereas others offer a limited warranty or do not offer warranties for certain tools. Before purchasing a tool, it's important that retailers know the differences. Customers will only purchase tools from companies who back them up.
Mike Karch is the president of Nue's Hardware and Tools, located in Menomonee, Wisconsin. He has a 12,000 square foot power tool shop and repair shop on site that repairs 50 different lines of tools. He has discovered over time that a lot of his contractors are brand loyal, so he focuses on the most popular brands rather than attempting to offer a variety of products.
He is also happy that his employees have the ability to meet with vendors one-on-one to discuss new products and share feedback. This personal contact is crucial since it builds trust between the store's customers and employees. Good relationships with suppliers may even result in discounts on future purchases.