Power Tool Sales and Marketing Strategies for B2B Retailers
Power tools are essential for both professionals and consumers. The demand for power tools remains at or close to pre-pandemic levels despite a slowdown owing to the COVID-19 epidemic that will hit in 2021.
Home Depot is the leader in sales of power tools in terms of dollar share. Lowe's is not far behind. Both are competing with power tools manufactured in China.
Tip 1: Be committed to a brand
Many manufacturers of industrial products put an emphasis on sales than marketing. This is because a long-term sales requires a lot back-and forth communication and detailed product knowledge. This kind of communication does not lend itself to emotional consumer marketing strategies.
However, companies that manufacture industrial tools need to rethink their marketing strategy. The digital age has overtaken traditional manufacturing companies that rely on a small group of distributors and retail outlets to sell their products.
Brand commitment is a key factor in power tool sales. When a buyer is committed to a specific brand they are less receptive to competitors' communications. They are also more likely to purchase the client's products again and to recommend them to friends and family.
To have a positive impact to be successful in the United States market, you must develop a well-planned strategy. This means adjusting your tools to meet the local requirements and positioning your brand in a competitive way, and making use of distribution channels and marketing platforms. It is also crucial to work with local authorities, industry associations, and experts. When you do this you can be sure that the power tools you purchase comply with the country's regulations and standards.
Tip 2: Know Your Products
Retailers need to be knowledgeable about the products they sell particularly in a market which places a great importance on the quality of products. Click At this website will help them make informed choices about the products they offer their customers. This knowledge could make the difference between a successful or a poor sale.
For example, knowing that a tool is best suited to a particular project will allow you to connect your customer with the right tool for their requirements. You'll build trust and a sense of loyalty among your customers. It will also give you confidence that you're offering an entire solution.
Understanding DIY cultural trends can help you better understand the needs of your customers. For instance, a rising number of homeowners are taking on home improvement projects that require power tools. This can result in an increase in sales of these tools.
According to DurableIQ, DeWalt is the leader in power tool sales with 16 percent. However, Ryobi and Craftsman have decreased their share year-over-year. Despite this the fact that sales on both stores and online are on the increase.
Tip 3: Offer Full-Service Repair
The most common reason for a person to make a power tool purchase is to replace a tool that has been damaged or failed or to embark on a new project. Both offer opportunities for upsells 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 for power tools resulted from an anticipated replacement. Customers often require additional accessories or may require an upgrade to better performing models.
If your customer is experienced in DIY or is just beginning the hobby, they will need to replace their carbon brushes, drive cords and the power cords on their power tools over time. Making sure they are up to date with these essentials will allow your customer to get the most value from their investment.
When purchasing power tools, technicians take into consideration three factors: the application, the power source and security. These factors aid technicians in making informed choices about the best tools to use in their maintenance and repairs. This helps them maximize the performance of their tool and reduce the cost of owning it.
Tip 4: Always Keep Up With Technology
The most modern power tools, like are equipped with smart technology that improves the user's experience and sets them apart from competitors who still rely on old-fashioned battery technology. Wholesalers in B2B who carry and sell these tools could increase sales by focusing on tech savvy contractors and professionals.
For Karch who's business has more than three decades of experience and a 12,000 square-foot tool department, keeping up with new technologies is essential. 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."
In addition to embracing the latest technologies, B2B wholesalers should also concentrate on improving their existing models. By incorporating lightweight materials and adjustable handles, wholesalers can lessen fatigue due to prolonged use. These features are essential for many professionals who must use the tools for long durations. The market for power tools is divided into professional and consumer groups which means that the major players are constantly enhancing their designs and creating new features that will appeal to a wider audience.
Tip 5: Create a point of Sale
The online marketplace has changed the power tool market. Advancements in data collection methods allow professionals in the field to get an overall view of market trends, allowing them to shape marketing and inventory strategies more effectively.
Point of sale (POS) data for instance, allows you to keep track of the types of projects that DIYers are working on when purchasing tools and accessories. Knowing what projects your customers are working on allows you to offer upsells and additional products. It helps you anticipate your customers' needs, so that you always have the right products in your shelves.
You can also utilize transaction data to determine trends in the market, and then adapt production cycles accordingly. For instance, you could use this data to monitor fluctuations in your brand and market share of retail partners which allows you to align your product strategies with consumer preferences. In the same way, you can utilize POS data to optimize inventory levels and reduce the chance of overstocking. It can also be used to determine the effectiveness of promotional campaigns.
Tip 6: Create an Point of Service
Power tools is a profitable complex market that requires significant marketing and sales efforts to remain competitive. In the past an advantage in this market was achieved by pricing or positioning products. However, these strategies are not effective in today's omnichannel environment where information is easily available to be shared.
Retailers who make a point of providing excellent service are more likely to retain customers and develop brand loyalty. Mike Karch, president of Nue's Hardware and Tools in Menomonee Falls, Wisconsin, operates a 12,000-square-foot power tool department. At first, the department offered a sampling of brands, but when he began to listen to the customers of contractors and found that the majority were loyal to a particular brand.
Karch and his team ask their customers what they plan to do with the tool before showing them the alternatives. This gives them the confidence to recommend the right tool for a job, and also increases trust with their 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: Become a guru in customer service
The market for power tools has become a highly competitive market for retailers of hardware. Those who are successful in this category tends to be more loyal to a single brand rather than to carry a variety of brands. The size of the space a retailer has to devote to the category may be a factor in how many brands it can carry.
When customers go in to purchase power tools, they often need help selecting a product. Sales associates can offer expert advice to customers who are seeking to replace a damaged tool or are planning an upgrade project.
Mike Karch, president of Nue's Hardware and Tools in Menomonee Falls, Wisconsin, says his store's sales associates are educated to ask the right questions to make the sale. He says they start by asking the customer what they intend to do with the product. "That's how you determine what kind of tool they require," he says. Then they ask about the customer's experience with different types projects and the project.
Tip 8: Be sure to mention your warranty
The warranties of the manufacturers of power tools are quite different. Certain manufacturers offer a full warranty, while others offer more limited warranties or do not offer warranties for certain tools. It's crucial for retailers to know the differences prior to making a purchase, because customers will purchase tools from companies that offer warranties.
Click At this website is the president of Nue's Hardware and Tools, located in Menomonee, Wisconsin. He has a 12,000 square foot power tool shop and an on-site repair shop that repairs 50 different brands of tools. He has observed that many of his contractors are loyal to a particular brand. Therefore, he prefers to carry only a few brands instead of trying to offer samples of various products.
He is also happy that his employees are able to meet with vendors in person to discuss new products and share feedback. This personal contact is important because it helps establish trust between the store and its customers. Good relationships with suppliers may even result in discounts for future purchases.