Power Tool Sales and Marketing Strategies for B2B Retailers
Power tools are essential for both professionals and consumers. Despite the fact that 2021 will see a slowdown due to the COVID-19 pandemic, demand remains near or at levels prior to the pandemic.
In terms of dollar share, Home Depot leads all outlets in power tool sales. Lowe's is close behind. Both are however facing stiff competition from China-manufactured power tools.
Tip 1: Create an Efficacious Brand Commitment
Many manufacturers of industrial products put an emphasis on sales over marketing. This is because a long-term sales requires a lot of back and forth communication and a thorough understanding of the product. This kind of communication doesn't allow for emotional consumer marketing tactics.
Nevertheless, industrial tools manufacturing companies must rethink their marketing strategy. The digital age has overtaken traditional manufacturing companies that rely on a few retailers and distributors for sales.
Brand commitment is a key element in the sale of power tools. If a customer is loyal to a particular brand they are less sensitive to communications from competitors. Additionally they are more likely to purchase the item of the customer time and time again and recommend it others.
You require a well-planned strategy to be successful in the US market. This means adapting your tools to local needs, positioning brands in a competitive manner, and leveraging marketing platforms and distribution channels. It is also important to work with local authorities, industry associations, and experts. When you do this, you can be confident that your power tools conform to the laws of the country and standards.
Tip 2: Be aware of Your Products
Retailers need to be knowledgeable about the products they are selling, especially in a market that places such a high value on the quality of the product. This will help them make informed decisions about what they are selling. This information can be the difference between making a good or a poor sale.
Knowing which tool is suitable for a project will assist you in matching the perfect tool to the requirements of your customer. You'll earn trust and loyalty with your customers. This will ensure that you are offering an entire service.
In addition, understanding the trends in DIY culture will help you comprehend what your customers want. For instance the increasing number of homeowners are taking on home improvement projects that require the use of power tool. This could lead to a rise in sales of power tools.
According to DurableIQ, DeWalt is the leader in power tool units with 16%. However, Ryobi and Craftsman have decreased their share year-over-year. Despite this, both online and in-store purchases are increasing.
Tip 3: Offer Full-Service Repair
The majority of consumers purchase power tools to repair the broken one or tackle a new 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 purchases of power tools were the result of an anticipated replacement. Customers may require additional accessories, or upgrade to a more powerful model.
If your customer is an experienced DIYer or just starting out in the hobby, they will likely require replacing their carbon brushes for power tools, drive belts and power cords over time. These items will ensure your client gets the most from their investment.
Technicians must consider three important aspects when making power tool purchases the application, the way it will be operated and safety. These factors help technicians make informed choices about the best tools to use for their repairs and maintenance tasks. This will help them maximize the performance of their tools and reduce the cost of ownership.
Tip 4: Keep up-to-date with the latest technologies.
For instance, the most recent power tools feature advanced technology that enhances the user experience and sets them apart from competitors that still rely on older battery technology. Wholesalers of B2B that carry and sell these devices can increase sales by focusing on professionals and contractors who are technologically advanced.
For Karch, whose business has more than three decades of experience and a 12,000-square-foot tool department, staying current with new technologies is essential. He says that manufacturers are constantly changing their product designs. "They were able to hold their designs for five or 10 years, but now they are changing them each year."
B2B wholesalers need to not only adopt the latest technology, but also upgrade their existing models. By incorporating lightweight materials and adjustable handles, wholesalers can lessen fatigue due to long-term use. These features are crucial for professionals who employ the tools for a lengthy period of time. The industry of power tools is divided into consumer and professional groups and this means that the biggest players are always working on improving their designs and introducing new features that will appeal to more people.
Tip 5: Make a Point of Sales
The e-commerce landscape has transformed the power tools market. Modern methods for data collection have allowed business professionals to get an overall perspective of market trends which allows them to design strategies for inventory and marketing more effectively.
By utilizing data from the point of sale (POS) using data from the point of sale (POS), you can track DIY projects that customers complete when purchasing power tools and accessories. Knowing what projects your customers are working on permits you to upsell and offer extras. It allows you to anticipate your customers' needs, so that you always have the right products on the market.
You can also utilize transaction data to identify trends in the market, and then adjust production cycles in line with these trends. For instance, you can, use this data to track fluctuations in your brand's and retail partners market share. This allows you to align your strategy for product to the preferences of consumers. POS data can also be used to optimize inventory levels, which reduces the chance of overstocking. It can also assist you to assess the effectiveness of promotional campaigns.
Tip 6: Be a good neighbor
Power tools are a complex, high-profit market that requires a significant amount of marketing and sales efforts to remain competitive. In the past an advantage in this market was accomplished through pricing or positioning products. But these methods are not as effective in the current world of omnichannels where information is easily available to be shared.
Retailers who provide a high level of providing excellent service are more likely to retain customers and develop 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. Initially, his department featured several brands, but when he listened to customers who were contractors, he learned that most were brand loyal.
To be successful in their customers' business, Karch and his team first ask customers what they want to do using the tool, before showing them the tools they have available. This gives them the confidence to recommend the best tool for the job and builds trust with the customer. Customers who are familiar with their product are less likely than others to blame the retailer for the failure of a device on the job.
Tip 7: Become a customer service guru
The power tool market has become a highly competitive category for retailers of hardware. The retailers that are successful in this category tends to be more committed to a specific brand rather than to carry a variety of brands. The amount of space that retailers can dedicate to a specific category could affect the number of brands they carry.
When customers visit a store to purchase an electric tool they may need assistance selecting a product. Sales associates can offer professional advice to customers who are seeking to replace a damaged device or completing an upgrade project.
Mike Karch, president of Nue's Hardware and Tools in Menomonee Falls, Wisconsin, says his sales staff is educated to ask the right questions to make an offer. They start by asking what the buyer is planning to use the tool for according to him. "That's how you decide what kind of tool they need," he says. Next, they ask about the project and what kind of experience the customer has with different types of projects.
buy power tools online : Make an End of Warranty
Power tool manufacturers vary greatly in their warranty policies. Some manufacturers offer a comprehensive warranty, while others are more limited or do not cover certain tools. Before buying a product, it's important that retailers know the differences. Customers will only buy tools from companies that back them up.
Mike Karch is the president of Nue's Hardware and Tools, located in Menomonee, Wisconsin. He has an 12,000 square foot power tool department as well as an on-site repair shop that repairs 50 different types of tools. He has discovered that a lot of his clients are loyal to a particular brand. Therefore, he prefers to carry a limited number of brands instead of trying to carry a variety of products.
He also likes that his employees can get one-on-one time with vendors to discuss new products and provide feedback. This personal contact is important because it helps to build trust between the store and its customers. Good relationships with suppliers could lead to discounts on future purchases.