Power Tool Sales and Marketing Strategies for B2B Retailers

Power tools are essential for both consumer and professional use. The demand for power tools is at or near pre-pandemic levels despite a slowdown due to the COVID-19 outbreak in 2021.

Home Depot is the leader in power tool sales in terms of dollar share. Lowe's is second in line. Both are however confronting stiff competition from Chinese-made power tools.

Tip 1: Commit to a brand

Many manufacturers of industrial products prioritize sales over marketing. This is because a long-term sale requires a lot of back and forth communication and detailed product knowledge. This kind of communication doesn't permit emotional marketing tactics.

However, industrial tool manufacturing companies should think about rethinking their approach to marketing. The digital world has surpassed traditional manufacturing companies that rely on a small group of retailers and distributors to sell their products.

The key to selling power tools is brand commitment. If a customer is committed to a brand, they will be less prone to messages from competitors. They are also more likely to purchase the products of the brand they are loyal to and to recommend them to friends and family.

To be successful to be successful in the United States market, you must develop a well-planned strategy. This means adapting tools to local requirements and positioning brands in a manner that is competitive and making use of distribution and marketing platforms channels. Collaboration with local authorities and associations, as well as experts is also crucial. You can be sure that your power tool will meet the standards and regulations 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 particularly in a market which places a great importance on the quality of products. cordless power tools will help them make informed choices about what they can offer their customers. This knowledge can also make the difference between a successful sale and a bad one.

For example knowing that a particular tool is best suited to the particular task can help you connect your customer with the best tool to meet their requirements. This will aid in building trust and loyalty with your customers. This will give you confidence that you're providing the complete service.

Understanding DIY culture trends can aid in understanding your customers' requirements. For example, a growing number of homeowners are taking on home improvement projects which require power tools. This could lead to a spike in the sale of these tools.

According to DurableIQ, DeWalt is the leader in power tool units with 16 percent. However, Ryobi and Craftsman have seen their shares decrease year-overyear. Despite this the fact that both in-store and online purchases are increasing.

Tip 3: Offer Full-Service Repair

The most common reason for a person to make a power purchase is to replace one that has failed or to embark on a new project. Both of these can be used to increase sales and additional 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.

If your customer is a seasoned DIYer or just starting out in the hobby, they'll likely need to replace their power tools' carbon brushes as well as drive belts and power cords as time goes by. These basic items will ensure that your client gets the most from their investment.

When buying power tools, technicians look at three factors: the application, the power source and safety. These factors allow technicians to make informed choices when it comes to selecting the right tools for their maintenance and repair tasks. This enables them to maximize the effectiveness of their tool and lower 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 aside from competitors who still depend on older battery technology. Wholesalers in B2B who carry and sell these tools could increase sales by focusing on tech savvy contractors and professionals.

Karch's business, with more than 30 years of experience, and a 12,000 square foot tooling department is a testimony to the importance of keeping current with the latest technologies. He states that manufacturers are constantly changing their designs for their products. "They used to hold their designs for five or ten years, but now they alter their designs every year."

In addition to taking advantage of the most recent technologies, B2B wholesalers should also focus on improving existing models. By incorporating lightweight materials and adjustable handles, wholesalers can decrease fatigue due to long-term use. These features are crucial for a large number of professionals who have to make use of the tools for long periods. The power tool industry is split into the consumer and professional segments. This means that the biggest players are constantly striving to improve their designs and create new features in order to reach a larger audience.

Tip 5: Make a Point of Sale

The e-commerce market has changed the market for power tools. Advancements in data collection methods have enabled business professionals to get an entire view of market trends and help them develop inventory and marketing strategies more effectively.

Point of sale (POS) information can, for example, allow you to monitor the kinds of projects that DIYers are working on when purchasing tools and accessories. Knowing the kinds of projects your customers are working on enables you to offer add-on sales and opportunities for upselling. It allows you to anticipate the needs of your customers, so that you always have the right products in your shelves.

You can also utilize transaction data to spot trends in the market, and then adapt production cycles accordingly. For example, you can use this data to monitor changes in your brand's and market share of retail partners and help you adapt your product strategies to consumer preferences. Similarly, you can use POS data to optimize levels of inventory and decrease the chance of overstocking. It can also be used to evaluate the effectiveness of promotions.

Tip 6: Make a Point of Service

Power tools is a high-profit complex market that requires significant marketing and sales efforts in order to stay competitive. In the past, getting a competitive advantage in this market was achieved by pricing or positioning products. However, these strategies are not as effective in the current multichannel environment, where information is readily available to be shared.

Retailers who make a point of providing a high-quality service are more likely to retain customers and develop brand loyalty. Mike Karch, the president of Nue's Hardware and Tools, located in Menomonee Falls, Wisconsin, runs a 12,000 square-foot power tool section. Initially, his department featured several brands, but when he began listening to the customers of contractors, he learned that most were loyal to a particular brand.

To make a mark in their customers' business, Karch and his team first ask their customers what they would like to accomplish with the tool before showing them the options available. This gives them the confidence to recommend the appropriate tool for a job, and it builds trust with customers. Customers who are familiar with their product are less likely to blame the store for a failure of a tool for the job.

Tip 7: Become a customer service guru

Power tool retailers face a fiercely competitive market. People who succeed in this area tend to be more committed to a single brand than to carry a variety of brands. The amount of space a retailer must devote to this category can be a factor in how many brands it can carry.

Customers often need assistance when they visit to buy a power tool. Sales associates can provide expert guidance to customers seeking to replace a damaged tool or undertaking the renovation of their home.

Mike Karch, the president of Nue's Hardware and Tools, located in Menomonee Falls, Wisconsin, said that the employees at his store are trained to ask questions that will lead to an offer. He says they begin by asking the buyer what they intend to do with the item. "That's the most important factor to consider when deciding the type of tool to offer them," he adds. Then, they inquire about the customer's experience with various types of projects and the project.

Tip 8: Make sure to mention your warranty


Power tool manufacturers vary greatly in their warranty policies. Some are completely comprehensive, while some are stingy or even refuse to cover certain parts of the tool at all. It's crucial for retailers to understand these differences before making a purchase, because customers will purchase tools from firms that provide them with a warranty.

Mike Karch, president of Nue's Hardware and Tools in Menomonee Falls, Wisconsin, has a 12,000-square-foot power tool department and an repair shop within the premises that can handle 50 lines of tools. He has learned that many of his contractor clients are loyal to their brands. Therefore, he prefers to carry only a few brands rather than carry samples of different products.

He also likes that his employees can get one-on-one time with vendors to discuss new products and give feedback. This kind of interaction is essential because it helps to establish trust between the store and its customers. Good relationships with suppliers may lead to discounts on future purchases.