Beware Of These “Trends” About Power Tool Sale

Power Tool Sales and Marketing Strategies for B2B Retailers

Power tools are essential for both professional and consumer use. Despite a slowdown in 2021 due to the COVID-19 pandemic, demand remains close to or at pre-pandemic levels.

Home Depot is the leader in sales of power tools in terms of dollar share. Lowe’s is close behind. But both companies are being pushed by China-made power tools.

Tip 1: Make a commitment to a brand

Many manufacturers of industrial products place a higher priority on sales and marketing. This is because the long-term selling process requires a lot of back-and-forth communication and detailed knowledge of the product. This type of communication is not conducive to emotional marketing tactics.

But, companies that produce industrial tools need to rethink their marketing strategy. The digital age has overtaken traditional manufacturers who depend on a small group of distributors and retail outlets for sales.

Brand commitment is a key aspect in the sales of power tools. If a client is committed to a brand they are less prone to the messages of competitors. In addition they are more likely to buy the product of the client repeatedly and recommend it to others.

To be successful in the United States market, you must have a well-planned strategy. This means adjusting your tools to meet the local requirements and positioning your brand in a strategic manner, and leveraging marketing channels and distribution channels. It is also important to collaborate with local authorities as well as industry associations and experts. By doing so you can be sure that your power tools will be in compliance with the regulations of the country and standards.

Tip 2: Be aware of Your Products

Retailers must be aware of the products they are selling, especially in a market which places a great value on the quality of the product. This will allow them to make informed decisions about the products they offer their customers. This information can be the difference between making a good or a poor sale.

For instance knowing which tool is suitable for the particular task will allow you to match your client with the appropriate tool for their requirements. You’ll earn trust and loyalty among your customers. It will also give you the confidence that you’re providing the complete solution.

In addition, understanding the trends in DIY culture will help you comprehend what your customers want. For instance, a growing number of homeowners are tackling home improvement projects that require the use of power tools. This could lead to a rise in the sales of power tools.

According to Durable IQ, DeWalt leads in power tool unit share, which is 16%, while Ryobi and Craftsman brands have seen their share decline year-over-year. However the fact that sales on both stores and online are increasing.

Tip 3: Offer Full-Service Repair

The majority of people purchase power tools to replace the broken one or tackle the 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 purchases for power tools are the result of planned replacements. These customers typically require additional accessories, or need to upgrade to higher performance models.

Your customer may have experience in DIY or is new to the hobby, they will need to replace the 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.

Technicians must consider three important aspects when making power tool purchases: application, how it will be operated and safety. These factors help technicians make informed decisions about the best tools to use in their repairs and maintenance tasks. This enables them to maximize the effectiveness of their tool and reduce the cost of owning it.

Tip 4: Keep Keeping Up with Technology

The latest power tools, for example, offer smart technology which improves the user’s experience and sets them apart from rivals who rely upon old battery technology. Wholesalers in B2B who stock and sell these devices can increase sales by targeting professional and tech-savvy contractors.

Karch’s company, which has more than 30 years of experience, and a 12,000 square foot tool department is a testimony to the importance of staying current with the latest technologies. He says that manufacturers are constantly changing their product designs. “They used to keep their designs for five or ten years, but now they’re changing them every year.”

B2B wholesalers should not just embrace the latest technologies but also upgrade their existing models. By adding lightweight materials and adjustable handles, wholesalers can decrease fatigue caused by long-term use. These features are essential for many professionals who have to make use of the tools for long periods 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 introducing new features to reach an even larger audience.

Tip 5: Create a Point of Sales

The online marketplace has transformed the power tools market. Modern methods for data collection have allowed professionals in the field to get an entire overview of market trends, allowing them to shape strategies for inventory and marketing more efficiently.

Using data from the point of sale (POS) You can track DIY projects that customers complete when purchasing power tools and other accessories. Knowing what projects your customers are working on enables you to increase sales and provide additional products. It helps you anticipate the needs of your customers to ensure that you have the right products in your shelves.

Additionally, transaction data can help you to identify market trends and adjust production cycles accordingly. For instance, you can make use of this information to track fluctuations in your retail partners’ and your brand’s market shares. This allows you to align product strategies to consumer preferences. Additionally, you can make use of POS data to optimize levels of inventory and decrease the chance of overstocking. It also helps to assess the effectiveness of promotions.

Tip 6: Be a good neighbor

Power tools are a tangled, high-profit market that requires a significant amount of sales and marketing effort to remain in the game. In the past, getting a competitive advantage in this market was achieved through pricing or positioning products. But these methods are no longer effective in today’s world of omnichannels where information is readily available to be shared.

Retailers who focus on service are more likely to retain customers and build brand loyalty. Mike Karch, president of Nue’s Hardware and Tools in Menomonee Falls in Wisconsin, operates a 12,000-square-foot department for power tools. In the beginning, his store featured a sampling of brands, but as he began to listen to contractor customers and found that the majority were brand loyal.

Karch and his staff ask their customers what they intend to accomplish using a tool before showing them the alternatives. This gives them the confidence to recommend the best tool for a job, and increases trust with their customers. Customers who are familiar with their product are less likely to blame the retailer for a malfunction of a tool for the job.

Tip 7: Become a master of customer service

The market for power tools has become a highly competitive category for retailers of hardware. The retailers that are successful in this area tend to be more loyal to a single brand rather than to carry a variety of brands. The amount of space a retailer can devote to a specific category could influence how many brands they can carry.

Customers often need assistance when they visit to buy a power tool. Sales associates can provide professional advice to customers who are looking to replace a damaged tool or undertaking an upgrade project.

Mike Karch, the president of Nue’s Hardware and Tools, located in Menomonee Falls, Wisconsin, said that the employees at his store are educated to ask questions that can lead to an offer. He says they begin by asking the buyer what they plan to use the product. “That’s the key to determining the kind of tool to market them,” he adds. The next step is to inquire about the project and the level of experience the customer has with different types of projects.

Tip 8: Be sure to make mention of your warranty

The warranties of power tool manufacturers are quite different. Certain manufacturers offer a full warranty, whereas others offer a limited warranty or do not cover certain tools. It is crucial for retailers to understand these differences before buying, since buyers will purchase tools from firms that provide them with a warranty.

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 repair shop tools online (https://www.powertoolsonline.uk/) on site that repairs 50 different lines of tools. He has discovered over time that a lot of his contractor customers are brand loyal, so he focuses on only a few brands rather than attempting to offer a wide range of products.

He also appreciates that his employees have the opportunity to get one-on-one time with vendors to discuss new products and give feedback. This type of personal interaction is essential since it builds trust between the customers and employees. Building strong relationships with suppliers could result in discounts on future purchases.