An Industrial marketing perspective of Power tool distribution skeleton.....

1. Power Tools Industry
Industrial Marketing
MBA- M&S
Section A
Vivek Upadhyay

2. Power tools
• A power tool is a tool powered by an electric motor.
• They are used in industry, in construction, and around
the house for
– Drilling,
– Cutting,
– Shaping,
– Driving,
– Sanding,
– Grinding,
– Polishing,
– Painting, and
– Heating.

3. OVERVIEW OF INDIAN POWER
TOOLS MARKET
• India has a competitive advantage in the Power tool
industry compared to other countries because of easy
availability of raw materials, entrepreneurship skills
and skilled labor at competitive wages.
• The power tool industry as a whole is witnessing a
shift of manufacturing base from traditional
manufacturing countries in Europe and Taiwan to the
developing world and this is a good sign for India to
benefit.
• There has been an average growth of 40% per annum
of the power tool market in India for the last 7 years.

4. Power tool industry
• In the premium power tool segment, the
leading manufacturers in India are :
– Hilti,
– Bosch,
– DeWALT,
– Hitachi,
– Makita.

5. CONSUMPTION PATTERN OF
POWER TOOLS
• This depends on the following factors:
• Price.
• Supply chain dynamics.
• Use of tools as per the manufacturing industry.
• Product quality, design and safety.
• Service.
• Environmental factors.

6. MARKET SEGMENTATION
• Generally speaking, power tools products are
applied in the following market segments:
• Professionals (e.g. carpenters, plumbers,
craftsmen, toolmakers etc).
• Industries- Automobile, construction,
electronics etc.
• Households (DIY i.e. Do It Yourself).

7. POWER TOOLS MARKET

8. Distribution follow by Bosch, Makita,
KPT & Hitachi
Company A
warehouse
Distributer
Retailer
Sub- Retailer
Customer

9. Distribution follow by Hilti
Company B
warehouse
End Customer

10. Distribution follow by DeWALT
Dealer
Retailers
End User
Company C
warehouse
Sub-retailers