Power Tool Sales and Marketing Strategies for B2B Retailers
Power tools are a staple for both professional and personal use. Despite the fact that 2021 will see a slowdown due to the COVID-19 virus, demand remains near or at pre-pandemic levels.
Home Depot is the leader in power tool sales by dollar share. Lowe's follows closely. Both are however confronting stiff competition from Chinese-made power tools.
Tip 1: Be committed to a brand
A lot of manufacturers of industrial products place emphasis on sales over marketing. This is because a long-term purchase requires a lot of back-and-forth communication and in-depth knowledge of the product. This type of communication is not conducive to emotional marketing tactics.
Nevertheless, industrial tools manufacturing companies should think about rethinking their approach to marketing. The digital world has raced past traditional companies that rely on a small circle of retailers and distributors for sales.
Brand commitment is a key factor in power tool sales. When a buyer is adamant about a particular brand and brand, they are less responsive to the messages of competitors. In addition, they are more likely to purchase the client's product again and recommend it to others.
To be successful in the United States market, you need to have an organized strategy. This includes adapting your tools to meet the local requirements and positioning your brand in a strategic way, and making use of distribution channels and marketing platforms. It is also important to work with local authorities and industry associations as well as experts. You can be sure that your power tool will meet the requirements and standards of the country if you follow these guidelines.
Tip 2: Be aware of Your Products
Retailers should be familiar with the products they are selling especially in a marketplace that places such a high importance on the quality of products. This will help them make informed choices about the products they are selling. This knowledge can also make the difference between a successful sale and a bad one.
For instance knowing which tool is suitable for specific projects will allow you to match your customer with the best tool for their needs. This will help you build trust and loyalty with your customers. It will also give you confidence that you're offering a complete solution.
Understanding DIY cultural trends can help you understand your customers' needs. For instance, a rising number of homeowners are taking on home improvement projects which require power tools. This can result in an increase in the sales of these tools.
According to Durable IQ, DeWalt leads in power tool share of 16%, however Ryobi and Craftsman brands have seen their share drop year-over-year. Despite this, online and in-store sales are increasing.
Tip 3: Offer Full-Service Repair
The most frequent reason why for a person to make a power 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 (HIRI) 2020 Tracking Study of Power Tools and Accessories 35 percent of all power tool purchases are the result of planned replacements. These customers may require additional accessories or upgrade to a higher-performing model.
Whether your customer has experience in DIY or is new to the hobby they will need to replace their carbon brushes, drive cords and the power cords on their power tools over time. These basic items will ensure that your client gets the most out of their investment.
When purchasing power tools, technicians consider three factors: the application, the power source and safety. These aspects help technicians make informed choices when selecting the right tools for their maintenance and repair work. 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
The most modern battery tools, for instance are equipped with smart technology that enhances user experience and sets them apart from those who depend on older battery technology. B2B wholesalers who stock and sell these tools could increase sales by targeting professional and tech-savvy contractors.
Karch's business, which has more than 30 years of experience and a 12,000 square feet department for tools, is a testament to the importance of staying current with the latest technologies. He says that manufacturers are constantly changing their product designs. "They were able to hold their designs for 5 or 10 years but now they alter them each year."
B2B wholesalers need to not only embrace the latest technologies but also improve existing models. By adding lightweight materials and adjustable handles, wholesalers can lessen fatigue from long-term use. These features are important for a large number of professionals who must make use of the tools for long durations. The power tools industry is divided into professional and consumer groups and this means that the biggest players are constantly enhancing their designs and creating new features to reach an even larger audience.
Tip 5: Create a Point of Sales
The online marketplace has changed the power tool market. Advancements in data collection methods have enabled professionals in the field to get an overall overview of market trends which allows them to design marketing and inventory strategies more efficiently.
Utilizing information from the point of sale (POS), you can track DIY projects your customers are completing when purchasing power tools and accessories. Knowing the type of projects that your customers are undertaking enables you to provide additional sales and opportunities for upselling. It also allows you to anticipate the requirements of your clients and ensure that you have the appropriate products available.
Moreover, transaction data enables you to spot trends in the market and adjust production cycles accordingly. For example, you can make use of this information to track fluctuations in your brand and the market share of your retail partners, enabling you to adapt your product strategies to consumer preferences. Similarly, you can use POS data to improve inventory levels and reduce the risk of stocking up. It also helps to assess the effectiveness of promotions.
Tip 6: Create an Point of Service
Power tools is a profitable complex market that requires significant marketing and sales efforts in order to stay competitive. In the past, gaining a competitive advantage in this market was accomplished by establishing prices or positioning of products. But these methods are not effective in today's world of omnichannels where information is readily communicated.
Retailers who concentrate on service are more likely to keep customers 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 department. In the beginning, his store featured various brands, but as he began listening to contractor customers, he discovered that the majority were loyal to a particular brand.
Karch and his team ask their customers what they would like to do with a tool prior to showing them the alternatives. This gives them the confidence to recommend the most effective 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 tool for the job.
Tip 7: Be a master of customer service
The power tool market has become a very competitive area for hardware retailers. People who have had the most success in this market tend to make a firm commitment to a particular brand rather than merely carrying a few manufacturers. power tool deals of the space a retailer has to dedicate to this category could be a factor in how many brands it can carry.
When customers come in to purchase power tools, they often need help selecting the right product. When they're replacing an old one that is broken or tackling an upgrade project, customers need expert advice from sales representatives.
Mike Karch, the president of Nue's Hardware and Tools, in Menomonee falls, Wisconsin, said that the staff at his store is trained to ask questions that can result in a sale. They start by asking what the customer plans to use the tool for according to him. "That's the key to determining the type of tool to offer them," he adds. The next step is to inquire about the project and what level of experience the client has with different types of projects.
Tip 8: Create a Point of Warranty
The makers of power tools vary widely in their warranty policies. Some are completely complete, while others aren't as generous or refuse to cover certain aspects of the equipment. Before buying a product, it is crucial that the retailer understands the distinctions. Customers will only buy tools from companies who guarantee their products.
power tools cheap , 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 lines of tools. He has learned that many of his clients are loyal to their brands. So, he chooses to carry only a few brands rather than offer samples of various products.
He also likes that his employees meet with vendors one-on-one to discuss new products and share feedback. This kind of interaction is vital because it builds trust between the store's customers and employees. Building strong relationships with suppliers could result in discounts on future purchases.