Bosch Power Tools: Growth driven by innovation

(March 2008)

The power tool division of the Bosch Group is the world market leader for portable electric power tools and power tool accessories. Some 16,000 associates generated sales of 3.1 billion euros in 2007, 90 percent of which was generated outside of Germany. With brands such as Bosch, Skil and Dremel, the division stands for customer focus and extremely high power of innovation.

The core success factors are the power and pace of innovation: the average time at Bosch between the start of a development project and the start of production is in the range of only 12 to 18 months. In 2007, 36 percent of the sales of Bosch Power Tools was achieved with products that have been on the market for less than two years. Bosch launches more than 100 new power tools onto the market every year. In all five of our business segments – portable power tools, benchtop tools, accessories, electric garden tools and measuring tools – our sales growth was stronger than the market growth.

The global growth areas include, in particular, cordless tools with lithium-ion battery technology (LI battery technology). The pioneering Ixo, launched by Bosch in 2003, was the first power tool on the market with this LI battery technology. For the fourth year in succession, the Ixo remained the best-selling power tool in the world. More than eight million units have been produced since 2003. Bosch offers the widest range of LI cordless tools – from the small Dremel Stylus to Europe's most popular electric garden tool, the lightweight Isio shrub shear, through to the 36-volt rotary hammer for tough applications on the construction site. Numerous new products for professionals, gardening enthusiasts and do-it-yourselfers will be launched onto the market in 2008, such as the Cordless Drill/Drivers GSR 14.4 / 18 V LI Professional, cordless hedgecutters and the compact Uneo multifunction tool for hammering, drilling and screwdriving.

Bosch is also the leader in technology of the measuring tools growth segment. For example, the company's product range for professional users includes the world's smallest laser rangefinder with a length of 10 cm. Bosch is also expanding its range for woodworkers with new benchtop tools such as bench circular saws and mitre saws. Bosch achieved a growth rate of more than 25 percent with electric garden tools in 2007, therefore consolidating its position as the number two in Europe. To enable professional tradesmen to be even more competitive, the Accessories division develops application tools that allow for faster and more efficient working. With a range comprising approximately 8,000 articles, Bosch is the world's leading supplier of accessories.