The world business market is changing at a very high pace these days. Internet commerce has come along to take the place of many different kinds of local stores, and in many cases, shops that were once a common part of almost every city and town in the country, no longer exist. Even tools are now being sold online today, and that has created a ton of competition for local hardware shops. Companies like, www.sullivanhardware.com, now sell their products both online and in physical store locations, a business model which has been copied by most of the large tool shops across the nation. Still, many experts predicted that the tool shop industry would already have disappeared by now, and many experts have been amazed by how well the local hardware store has been able to survive despite the battle with online shops. In this article we look at why the local tool shops are probably not going anywhere soon.

Tools online are less expensive in general, but many of the most common tools sold are less expensive when bought form shops. The online tool sellers have been able to dominate the market when it comes to large, heavy items that cost a fortune to ship out to clients because of the fact that the online stores sell so many of them that they are able to offer free shipping to their clients on large ticket items. When it comes to things like nail and screws, which while small still, represent a significant portion of the tool sales industry, the online companies can’t compete with the local shops. Selling small, cheaper tools over the web is not profitable for online companies because the cost of shipping them usually turns out to be more than the cost of the item. The vast majority of online tool sellers have already stopped selling smaller items online after seeing the loss in profits caused by attempting to offer items that only bring in a few cents of profit. The local hardware store must continue to exist as long as the online stores don’t have a way to provide their clients with small but important tools that most people need.

The local hardware store is also unlikely to disappear the way many other stores have because of the fact that people undertaking home improvement jobs like to talk face to face with tool experts. When online tool sellers first started up they underestimated the powerful lure of speaking to a tool expert in person which the local shops provide to clients. Once the online tool sellers took notice of the fact that people were not using their sites because they needed to get advice from a person, they immediately started offering online support centers employed with tool experts that can answer any question client might have. While online support groups have helped drive up sales over the web, most people still prefer to use the local tool shop when they have questions concerning a product. Then human element is a major factor in keeping the local tool shop alive.