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 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. However, both are confronting stiff competition from Chinese-made power tools.
Tip 1: Commit to a brand
Many manufacturers of industrial products put more emphasis on sales and marketing. This is because a long-term purchase requires a lot of back and forth communication and in-depth knowledge of the product. This kind of communication does not allow for emotional consumer marketing techniques.
However, companies that make industrial equipment should reconsider their marketing strategy. The digital age has accelerated past traditional manufacturers who rely on a few retailers and distributors to sell their products.
One of the most important factors in selling power tools is brand loyalty. If a client is committed to a specific brand they are less receptive to competitor's messages. In addition they are more likely to purchase the item of the customer again and recommend it to others.
You need a well-planned plan to be successful in the American market. This means adjusting your tools to meet local needs, positioning your brand in a strategic manner, and leveraging distribution channels and marketing platforms. Collaboration with local authorities, associations and experts is also crucial. You can be certain that your power tool is in line with the standards and regulations of the country if you follow these guidelines.
Tip 2: Be aware of Your Products
Retailers need to be knowledgeable about the products they are selling especially in a marketplace that places such a high value on the quality of the product. This will enable them to make informed decisions about the products they offer their customers. This information can make the difference between a successful sale and a bad one.
Knowing that a certain tool is ideal for a project will aid in matching the right tool to your customer's needs. This will aid in building trust and loyalty with your customers. This will help you feel confident that you are offering the complete service.
Understanding DIY culture trends can also aid in understanding your customers' requirements. For instance, a rising number of homeowners are tackling home renovation projects that require the use of power tools. This could lead to a rise in the sales of power tools.
According to DurableIQ, DeWalt is the leader in power tool units at 16 percent. However, Ryobi and Craftsman have seen their share decrease year-over-year. However the fact that sales on both stores and online are on the increase.
Tip 3: Offer Full-Service Repair
Most consumers purchase power tools to repair an old one or tackle a new project. Both provide opportunities for upsells or 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 often require additional accessories or may require upgrading to better quality models.
No matter if your customer is an experienced DIYer or new to the hobby, they'll require replacing their carbon brushes for power tools as well as drive belts and power cords as time goes by. These basic items will ensure that your customer gets the most out of their investment.
Technicians take into consideration three main aspects when making power tool purchases: application, how it will be used and safety. These factors help technicians make informed decisions about the best tools to use for their repairs and maintenance work. This enables them to maximize the performance of their tool and lower the cost of owning it.
Tip 4: Keep up to date with technology
The most modern power tools, like they feature smart technology that improves the user's experience and sets them aside from those who rely on old-fashioned battery technology. B2B wholesalers who stock and sell these devices can increase sales by focusing on professionals and contractors who are tech-savvy.
Karch's business, with over 30 years of experience and a 12,000 square foot department for tools is a testament to the importance of keeping up-to-date with new technologies. "Manufactures are constantly changing the design of their products," he says. "They used to hold their designs for five or 10 years, but now they are changing them every year."
B2B wholesalers should not just embrace the latest technologies but also upgrade their existing models. For instance, by incorporating adjustable handles and lightweight materials, they can help reduce the fatigue that comes from prolonged use. These features are crucial for many contractors working in the field who utilize the tools over a long period of time. The power tools industry is divided into consumer and professional groups which means that the major players are constantly improving their designs and developing new features to appeal to an even larger audience.
Tip 5: Create a point of Sales
The ecommerce landscape has changed the market for power tools. Data collection techniques have been improved allowing business professionals to get a better understanding of the market. This allows them to create more efficient inventory and marketing strategies.
By utilizing data from the point of sale (POS) using data from the point of sale (POS), you can track DIY projects your customers complete when purchasing power tools and accessories. Knowing what projects your customers are working on permits you to increase sales and provide extras. It allows you to anticipate the needs of your customers to ensure that you have the right products on your shelves.
Furthermore, Powertoolsonline.Uk transaction data allows you to spot trends in the market and adjust production cycles in line with. For instance, you can utilize this data to track fluctuations in your brand's and retail partners' market shares. This allows you to align your product strategies with consumer preferences. Additionally, you can make use of POS data to improve inventory levels and reduce the risk of stocking up. It can also help you to evaluate the effectiveness of promotions.
Tip 6 Tip 6: Be a good neighbor
Power tools is a high-profit, complex market that requires substantial marketing and sales efforts in order to stay competitive. In the past, getting an advantage in this market was accomplished through pricing or positioning products. However, these tactics are not as effective in the current multichannel environment, where information is easily communicated.
Retailers who focus on service are more likely to retain 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. Initially, his department featured several brands, but when he listened to the customers of contractors, he discovered that the majority were loyal to a particular brand.
Karch and his team ask their customers what they intend to do with the tool before showing them the options. This gives them the confidence to recommend the right tool for the job, and creates trust with customers. Customers who are familiar with their product are less likely to blame the store for the failure of a tool for the job.
Tip 7: Create a point of customer service
The power tool market has become a highly competitive category for hardware retailers. The retailers that are successful in this category tends to be more devoted to a single brand than to carry a variety of brands. The amount of space a retailer must dedicate to this category could also affect how many brands it can carry.
When customers come in to purchase power tools, they often need help selecting the right product. Sales associates can provide expert guidance to customers seeking to replace a damaged tool or undertaking the renovation of their home.
Mike Karch, the president of Nue's Hardware and Tools, located in Menomonee Falls, Wisconsin, said that the staff at his store is educated to ask questions that could lead to the sale. They begin by asking questions about what the buyer is planning to use the tool, he adds. "That's the way to determine what kind of tool they need," he says. Next, they ask about the project and the level of experience the client has with various types of projects.
Tip 8: Create a Point of Warranty
The warranty policies of the manufacturers of power tools are very different. Some companies offer a complete warranty, while others offer more limited warranties or refuse to cover certain tools. Before making a purchase it's important that retailers know the distinctions. Customers will only purchase tools from companies that guarantee their products.
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 repair shop within the premises that can handle 50 lines of tools. He has discovered that a lot of his clients are brand loyal. Therefore, he prefers to carry a select few brands rather than carry samples of different products.
He also appreciates that his employees are able to meet with vendors in person to discuss new products and give feedback. This personal contact is crucial because it builds trust between the store's clients and employees. Good relationships with suppliers could even result in discounts on future purchases.