Power Tool Sale: It's Not As Difficult As You Think
Power Tool Sales and Marketing Strategies for B2B Retailers
Power tools are crucial for both consumers and professionals. Despite a slowdown in 2021 due to the COVID-19 pandemic demand remains near or at pre-pandemic levels.
In terms of dollar share, Home Depot leads all outlets in power tool sales. Lowe's is second in line. Both are however confronting stiff competition from Chinese-made power tools.
Tip 1: Create an Efficacious Brand Commitment
Many industrial products manufacturers prioritize sales over marketing. This is due to the fact that the long-term sales process requires a lot back-and-forth communication and a thorough understanding of the product. This type of communication does not allow for emotional consumer marketing tactics.
But, companies that produce industrial tools should rethink their marketing strategy. The digital age has accelerated over traditional manufacturers who depend on a small group of retailers and distributors for sales.
Brand commitment is an important aspect in the sales of power tools. If a client is committed to a certain brand they are less receptive to the messages of competitors. In addition, they are more likely to buy the product of the client time and time again and recommend it others.
You need a well-planned plan to have an impact on the US market. This involves 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 and associations, as well as experts is also essential. You can be certain that your power tool will meet the standards and regulations of the country if you do this.
Tip 2: Be aware of Your Products
In a world where quality of the product is so crucial, retailers should be aware of the products they offer. This will enable them to make informed decisions about the products they can offer their customers. This knowledge could make the difference between making a successful or bad sale.
Knowing which tool is suitable for a specific project will aid in matching the right tool to the requirements of your customer. You will build trust and loyalty with your customers. It will also give you the confidence that you're providing the complete solution.
Understanding DIY culture trends can help you better understand your customers' requirements. For instance, more homeowners are undertaking home improvement projects that require the use of power tool. This can lead to an increase in the sales of these tools.
According to Durable IQ, DeWalt leads in power tool unit share, which is 16%, however Ryobi and Craftsman brands have seen their share drop year-over-year. Despite this sales in stores and online are growing.
Tip 3: Offer Full-Service Repair
The majority of consumers purchase power tools to replace an old one or tackle the new project. Both offer opportunities for upsells or add-on 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 an anticipated replacement. the best power tools to buy may require additional accessories or upgrade to a more powerful model.
Whether your customer is a seasoned DIYer or is new to the hobby, they'll need to replace their power tools' carbon brushes as well as drive belts and power cords with time. These essentials will ensure that your client gets the most out of their investment.
special power tools take into consideration three main aspects when buying power tools the application, the way it will be powered and safety. These aspects help technicians make informed choices when selecting the right tools for maintenance and repair tasks. This helps them optimize the performance of their tools and reduce the cost of ownership.
Tip 4: Always Keep Up with Technology
The most modern battery tools, for instance are equipped with smart technology that improves the user's experience and sets them aside from competitors who still rely upon old battery technology. Wholesalers of B2B who stock and sell these tools could increase sales by focusing on professionals and contractors who are tech-savvy.
Karch's company, which has more than 30 years of experience, and a 12,000 square foot department for tools is a testimony to the importance of staying up-to-date with the latest technology. "Manufactures are constantly changing the look of their products," he says. "They used hold their designs for 5 or 10 years but now they change their designs every year."
B2B wholesalers must not only embrace the latest technologies but also upgrade their existing models. By adding lightweight materials and adjustable handles, wholesalers can lessen fatigue caused by prolonged use. These features are crucial for many professionals who must utilize the tools for lengthy periods. The industry of power tools is divided into consumer and professional groups, which means that major players are always working on enhancing their designs and creating new features to reach a wider audience.
Tip 5: Create an Point of Sale
The e-commerce landscape has transformed the market for power tools. Data collection techniques have been improved and business professionals can get a better understanding of the market. This allows them to develop more efficient inventory and marketing strategies.
Using data from the point of sale (POS) You can track DIY projects that customers are completing when purchasing power tools and accessories. Knowing the kinds of projects that your customers are working on enables you to offer additional sales and opportunities to upsell. It helps you anticipate your customers' needs to ensure that you have the right products in the market.
You can also utilize transaction data to determine trends in the market, and then adjust production cycles in line with these trends. You could, for instance make use of this information to monitor changes in your retail partners' and your brand's' market shares. This will allow you to align product strategies to consumer preferences. Additionally, you can make use of POS data to optimize levels of inventory and decrease the risk of stocking up. It can also be used to evaluate the effectiveness of promotional campaigns.
Tip 6: Establish an Point of Service
Power tools is a high-profit, complex market that requires significant marketing and sales efforts to remain competitive. The most common methods of gaining a strategic advantage in this field have been by positioning or pricing products. However, these tactics no longer work in today's multichannel marketplace where information is distributed rapidly.
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. The department was initially home to several brands. However, as he listened to contractors, he discovered that they were loyal to their preferred brand.
To make a mark in their customers, Karch and his team first ask their customers what they'd like to achieve using the tool, before showing them the options available. This gives them the confidence to recommend the appropriate tool for a job, and increases trust with their customers. Customers who are familiar with their product well are less likely to blame their vendor for a tool failure during the course of work.
Tip 7: Become a master of customer service
Power tool retailers are facing an extremely competitive market. Those who have seen success in this area tend to make a strong commitment to a particular brand rather than simply carrying a sampling of manufacturers. The amount of space a retailer can devote to a category may also influence how many brands they are able to carry.
When customers come in to purchase power tools and require assistance, they usually need help selecting a product. Sales associates can offer expert advice to customers looking to replace a damaged tool or undertaking a renovation project.
Mike Karch, president of Nue's Hardware and Tools in Menomonee Falls, Wisconsin, says his sales staff is trained to ask the right questions to help make an offer. He says they begin by asking the customer about what they plan to use the product. "That's the most important factor to consider when deciding what kind of tool to offer them," he adds. Next, they ask about the project and what kind of experience they have with various types of projects.
Tip 8: Create a Point of Warranty
Power tool manufacturers vary greatly in their warranty policies. Some are fully comprehensive, while others are stingy, or refuse to cover certain parts of the equipment. It's important for retailers to know the differences prior to making a purchase, because buyers will purchase tools from companies that back them up.
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 in-house that handles 50 models of tools. He has realized over the years that many of his customers who are contractors are loyal to a particular brand, so the company prefers to stick to only a few brands rather than carry a sampling of different products.
He also likes that his employees get one-on-one time with vendors to discuss new products and give feedback. This personal contact is crucial because it helps build trust between the store's customers and employees. Good relationships with suppliers can even result in discounts on future purchases.