About Bosch Power Tools Division
The Power Tools Division of the Bosch Group is the world market leader for power tools and power tool accessories. In 2012, its workforce generated sales of 4.0 billion euros, 90 percent of which outside of Germany. With brands such as Bosch, Skil and Dremel, the division stands for customer focus and great engineering progress. The core success factors are innovative strength and pace of innovation. Each year, Bosch Power Tools launches more than 100 new products onto the market. The division generated about 40 percent of its sales in 2012 with products that have been on the market for less than two years. The business segments electric power tools, accessories, measuring tools and garden tools of Bosch Power Tools outperformed the market.
The Bosch Power Tools Division grew considerably over the past year although some core markets noticeably lost momentum. With a sales increase of six percent, the manufacturer of power tools reached the four billion euros mark for the first time. The size of the workforce remained at the same level as the previous year, with 19,000 associates at 37 locations. In 2012, the overall market grew by four percent to 24.5 billion euros. The power tools and accessories submarkets grew at similar rates. “Our growth of six percent clearly shows that we have again succeeded in winning market shares”, explained Henning von Boxberg, president of Bosch Power Tools. The division wants to continue this trend in 2013: “We expect to increase sales at a similar rate again this year”, said Mr. von Boxberg during the annual Bosch Power Tools press conference.
The division performed especially well in Asia, where the overall market fell significantly short of the industry’s expectations. This was mainly due to the effect of the economic slowdown in China. “Considering a market growth of only four percent in Asia, it is especially remarkable that we were able to increase our sales in the Asia-Pacific region by 16 percent”, emphasized Mr. von Boxberg. This success is based in particular on the launch of products that are specifically tailored to the needs of professional tradespeople in emerging markets such as China, India and the ASEAN countries – while taking into account the spending power in these markets. In addition to this, Bosch opened the new Chengdu production location in the Pujiang County (China) at the end of 2012. Power tools for the Chinese market will be produced at this location in future. With a growth of twelve percent, the division also performed pleasingly in North America. Market growth in this region was six percent. One of the reasons for the positive sales development is the great market success of the Measuring Tools business unit. Bosch Power Tools managed to grow by three percent on the stagnating European main market, therefore also strengthening its own position in this difficult environment. Overall, the company generates about 90 percent of its sales outside of Germany.
Large number of innovative products
The success of Bosch Power Tools is based on innovative products. About 40 percent of sales are generated with products that were launched within the last two years. Bosch Power Tools will again launch more than 100 new products this year – including everything from power tools, to garden and measuring tools, through to accessories. The Measuring Tools business unit has performed especially well, doubling its sales within three years to now achieve a market share of 22 percent worldwide. “We have therefore managed to further strengthen our position as world market leader”, emphasized Mr. von Boxberg. Both professionals and do-it-yourselfers appreciate easy-to-operate tools that make work as easy as possible for them. Bosch Power Tools has consistently tailored its measuring tools to this requirement and will expand its range in 2013 to include tools such as the GLM 100 C Professional for tradespeople and the PLR 15 for do-it-yourselfers. Both tools are easy-to-operate laser rangefinders. The GLM 100 C Professional offers an interface for quick, easy data transfer to smartphones, tablets or PCs. The PLR 15 is the world’s smallest laser rangefinder. With its self-explanatory operation, it now also enables beginners and people with little DIY experience to use laser technology.
An excellent example of successful innovations is the Ixo, which celebrates its tenth birthday in 2013. In 2003, it was the world’s first cordless screwdriver with lithium-ion battery technology. With twelve millions units now sold, it is by far the world’s most successful power tool and has caused quite a sensation with special editions such as the Ixo Vino with corkscrew adapter, the Ixo Swarovski, and the Ixo Spice with a spice mill adapter.
The worldwide headcount of this Bosch division averaged some 19,000 associates in 37 locations over the course of 2012.