How to Sell Power Tools: Tips for Businesses

If you are wondering whether selling power tools is a good business option, we want to assure you it’s a smart business decision. The Elektrowerkzeug industry has been growing steadily in recent years, driven by several key trends. These include the ongoing growth of the construction industry, the rising popularity of do-it-yourself (DIY) home improvement projects, and the increasing application of power tools in various manufacturing processes.

These factors combine to create the ideal opportunity for businesses to benefit from the growing demand for power tools, making it a smart and potentially profitable venture. To help you get started, we’ve put together a list of practical tips for selling power tools effectively.

1. Segment Your Customers

Strategic selling begins with knowing your customers. Identifying different customer segments helps power tool suppliers tailor products, marketing, and services so different customer groups have the tools they need to accomplish their tasks.

Businesses can segment their power tools for DIY enthusiasts, professional tradespeople, and construction and manufacturing contractors.

2. Build a Strong Relationship with Wholesale Supplier Sales Representatives

Acting as the foundation of any supplier business is a strong relationship with your wholesale supplier, specifically the wholesale supplier sales representatives. Carefully cultivated collaboration with manufacturers is invaluable and can lead to numerous strategic advantages for suppliers:

• Gain early or even exclusive knowledge of and access to new products or product lines, earning a competitive advantage.
• Enjoy preferential pricing agreements and bulk discounts.
• Receive manufacturer support with co-branded marketing campaigns and promotions, boosting brand visibility and sales.
• Gain deep understanding of product features, enabling better technical support and customer service.
• Help to improve products by alerting manufacturers to customer demands.

In short, building and maintaining a solid partnership fosters mutual trust and lays the foundation for long-term success.

3. Offer a Quality Product Line

It stands to reason that a business selling power tools must have a quality power tool line. The best option is to focus on top power tool brands in the world. Supplying only the top power tool brands ensures customer satisfaction, ultimately boosting your business.

Offer Tools to Suit Different Customers and Professionals

Power tool customers range from DIY enthusiasts to professionals, whose needs differ. Stock tools that meet these different use cases. DIY users look for affordable tools that are easy to operate for home projects. Tradespeople like painters, plumbers, electricians, and carpenters need robust high-performance tools that will last for many projects. Manufacturers will visit your store for industrial-grade tools built for heavy-duty tasks. Professionals working in the automotive need specialized tools tailored for fixing vehicles.

Stock Tools for Every Conceivable Task

Power tools are required for an endless range of tasks, from drilling, driving fasteners, cutting, sanding, grinding, polishing, spray painting, and soldering. Make sure you offer a wide range of tools for customers to tackle any task.

Include a Mix of Power Sources

Power tools come in several types based on their power source: corded, cordless, pneumatic (air-powered), and occasionally gas-powered models.

Keep in mind that battery-operated, cordless power tools are increasingly being used. Power tools powered by lithium-ion batteries are specifically gaining traction. Focusing on cordless power tools may offer a competitive advantage to suppliers as the need for battery efficiency and mobility keep growing.

Stock Accessories

Keep the accessories fully stocked. Any professional power tool user and veteran DIY enthusiast will tell you that accessories enhance the functionality and versatility of their power tools, and that without them, they are limited in the range of projects they can tackle.

Be First with New Products

Professional users and early adopters are always on the lookout for the latest models, which promise better performance, improved battery life or advanced features.

Being first with new products puts your business ahead of competitors and signals that the business is a leader in the power tool industry with strong connections. It builds reputation and customer trust, laying the foundation for long-term business success.

There is one caveat, though. The business must have firsthand experience using any new tool it promotes so early adopters can receive firsthand reports on the product’s features and plus points.

Decide Whether to Specialize In One or Two Top Brands, or a Wide Range

There are pros and cons to both choices. We highlight them below.

When selling power tools, there are many factors to consider, but you can give your business a winning chance if you focus on stocking tools from top power tool manufacturers.

4. Display Your Product Judiciously

Competition among distributors is rife. A well-organized and attractive display can be the difference between satisfied customers and feet leaving the store for a better customer experience. Consider which area of your store enjoys high visibility and be strategic about what you display there – would it best serve your store to put the latest innovative power tool there, or should your most high-end product be displayed there?

Make use of custom-made storage solutions like tool racks, peg boards, tool shelves, and tool stands to organize your tool supply properly and attractively. In a disorganized store customers can’t find what they need, and store assistants can’t help them quickly either.

Another logical display solution is to display tools according to professional usage, such as dedicated displays for woodwork, plumbing, electrical work, gardening, and building tasks.

Also, enable customers to see how a product works by allowing them to see products out of the box and connected to fully charged batteries.

5. Provide Sterling Customer Service

Power tools can be complicated and intimidating. In fact, in-depth knowledge of product features and how to use products are key to making a sale.

Therefore, it’s crucial to train staff so they can provide professional customer service and in-depth product knowledge. Sales assistants who can explain and compare tools stand a better chance of making a sale for your business.

Power tool technology and tool designs are constantly changing.. These factors complicate the sales process for store assistants. Keep your assistants abreast of changes to product lines to boost their confidence when communicating with professional contractors.

Consider offering a full-service repair shop. Having your own repair shop means you will always have power tool experts on site to give customers proper advice on what tools to buy for their projects and how to use their tools so they don’t break down and last long.

Running a repair shop is a guaranteed strategy to gain loyal customers and offers a competitive advantage since many power tool stores don’t offer repair services.

6. Leverage Cross-selling

Cross-selling allows power tool businesses to recommend products that complement a customer’s primary purchase. The tactic benefits both the seller and the customer: the business increases the value of the sale, and the customer benefits from a more comprehensive purchase, avoiding return trips to the store.

Here are some suggestions for implementing cross-selling

• When a customer wants to buy a certain item, find out what task the tool will be used for and offer applicable accessories that could facilitate the task. For instance, someone looking to buy a drill may need bit sets, a spare battery, a carrying case, and safety goggles.
• Display items strategically. For example people who buy sanders will need sheets of various grits. Similarly, display drills and drill bits, and fasteners near each other. Compartmentalize your power tool display strategically so that tools that are often used together are placed near each other.
• Create tool combos. For instance, a Deck-Building Combo, consisting of a circular saw, impact driver, and deck screws.
• If you have an e-commerce store, display the following notices on product pages: “Frequently Bought Together” or “You Might Also Like”.Power tool technology and tool designs are constantly changing.

Train all staff on useful add-ons for various products, stressing that they should point out the savings and other benefits to customers.

7. Create an Online Presence

While most people still buy power tools in-store, online sales are increasing. In 2023, in-store sales accounted for 68% of all purchases, but the rate of purchases made in-store was down 1.3 points year-over-year, with online purchases accounting for 27% of all power tool purchases. The point is, in time, an online store will become indispensable for power tool distributors.

Strongly consider creating an e-commerce store, as it can deliver several benefits for your business. In the first place, online is where your potential customers are – most people do online research when they want to buy something, especially when the purchase is an investment in their earning potential. You want your power tool purchase to pop up on the first page of Google when someone is looking for an angle grinder, a drill, a saw, or any other tool they need for their project.

An e-commerce store is another opportunity for cross-selling and upselling. Plus, it allows you to gain customer insights to improve customer service.

FAQs

Is it a good time to start a power tool business?

Yes, it is. The power tool market is growing on the back of increased construction projects initiated by governments and a surge in residential renovations.

What certifications and qualifications are needed for electric tool distribution?

Power tool distributors must adhere to a number of standards and safety requirements. These include ISO 9001, the world’s most widely recognized quality management system standard, and ISO 14001, an environmental management system certification to protect the environment against business impact. You may also need certifications such as CE (in Europe), UL (in the U.S.), depending on the market.

What power tools should be in my inventory?

Start with high-demand, versatile tools like drills, impact drivers, angle grinders, circular saws, and heat guns.

How do I find reliable suppliers or manufacturers?

Use B2B marketplaces, trade shows, or industry directories to vet suppliers. Look for those with ISO certification, good customer reviews, and solid warranties.

Also, consult online resources for top power tool manufacturers.

Abschluss

Knowing your customers, partnering with reliable wholesale suppliers, and offering a strong product line form the basis of a successful power tool business. Other Strategies like displaying tools effectively, being first with new products, knowledgeable staff, offering repair services, and excellent customer relations contribute to a successful power tool business. And in today’s business climate, a strong online presence is indispensable for reaching digital buyers.

The prospects for businesses that sell power tools look very promising. However, the success of such a business venture depends on finding a reliable wholesale power tool manufacturer like MaxXT.

MaxXT has been a leader in power tool industry since 2006. We manufacture top-quality handheld tools, including wholesale wall construction power tools to help stock the product lines of retailers and distributors worldwide. Our dealers know they can depend on our power tools to satisfy the requirements of home renovators and professionals who depend on power tools to complete projects successfully.

When you choose MaxXT as your wholesale power tool supplier, your business benefits from innovative, performance-driven products, competitive pricing, and dedicated dealer support. Partner with MaxXT and set your power tool business up for lasting success.