Home » Consumer Appliances

148 posts categorized "Consumer Appliances"

August 22, 2015

SodaStream's 2nd Quarter Earnings and New Strategy

Sodastream-Banner

Listen as MP3

On 5 August SodaStream reported negative second quarter earnings to its investors, with revenue declining by almost 40%. This podcast reviews SodaStream's results following its exit from 3,900 doors in Walmart and Macy's stores in the USA. She talks about the company's new strategy of competing against bottled water instead of carbonates with its new "sparkling water made by you" tagline.

Virginia LeePodcast features Virgina Lee - Senior Beverages Analyst

View Virginia Lee's profile on LinkedIn

August 21, 2015

Dishwashers Headed in the Opposite Direction to Major Appliances in Brazil

Alexis FrickAnalyst Insight by Alexis Frick - Research Analyst

View Alexis Frick's profile on LinkedIn

Brazil is the largest major appliances market in Latin America, accounting for more than half of the region’s total volume sales in 2014 due to its large population and westernised consumer base. In the last couple of years, the country has been witnessing a poor performance in major appliances, with volume retail sales growth dropping from 16% in 2012 to less than 2% in 2013. This contributed to Latin America registering the world’s weakest regional increase in volume sales of Headed in the opposite direction to this trend, however, is Brazil’s dishwasher sales – with Brazil set to be the fastest-growing dishwasher market worldwide over the next five years. Lessening of historic drags on the category as well as changing lifestyles and corporate strategy led to growth in 2014 and an optimistic forecast for dishwashers in Brazil.

Continue reading "Dishwashers Headed in the Opposite Direction to Major Appliances in Brazil" »

August 19, 2015

Nestlé’s Wireless Coffee Machines: Bringing Specialty Coffee out of the Coffeehouse

Julian-McClellanAnalyst Insight by Julian McClellan - Research and Consulting Intern

When people think about wireless technology, smart phones, laptops, or routers (that magic box that gives you Wi-Fi) usually come to mind.  Yet wireless capabilities have spread into more novel applications.  The most exciting of these uses is machine-to-machine (M2M) technology, which enables any number of connected devices to be monitored and controlled remotely.  Tesla, for example, updates their vehicles wirelessly, and companies like Nest Labs have long been pushing the concept of a “smart home” sporting a network of intelligently connected appliances and devices.  Nestlé SA is the first coffee company to extensively utilize M2M tech in coffee machines, adding significant measures of value and control for Nestlé’s professional customers, enabling the spread of specialty coffee choices, and providing an excellent case-study on how the coffee industry can utilize M2M and wireless technology.

Nestlé: expanding the scope of M2M

Nestlé’s first M2M capable machine came in 2012 with the Nespresso Zenius, a pod-based machine from Nespresso’s business line.  In the Zenius, M2M allows remote tracking of maintenance procedures, alerting staff if maintenance is required.  Machine temperature and pressure are also tracked, and can be remotely adjusted to ensure a consistent brew.  2013 saw the introduction of the Nescafé Milano Lounge model, a self-serve machine capable of brewing a variety of speciality coffee beverages.  Equipped with wireless capabilities similar to the Zenius, it also allows customers to remotely track consumption data so that they might better utilize the machine’s targeted promotion features. 

Continue reading "Nestlé’s Wireless Coffee Machines: Bringing Specialty Coffee out of the Coffeehouse" »

August 2, 2015

Premium War Within Refrigeration Appliances

Jamie_KoAnalyst Insight by Jamie Ko - Head of Consumer Appliances

View Jamie Ko's profile on LinkedIn

As one of the highest priced products within consumer appliances, manufacturers’ investment in refrigeration appliances is inevitable, in a bid to grow margins. Unfortunately, what greets them is a global market that is mature and heavily penetrated. Refrigeration appliances is projected to post a 3% volume CAGR over 2014-2019, which is lower than average for total major appliances. This relatively low growth, however, will not halt manufacturers from developing new products and technology to make gains.

If we investigate further into refrigeration appliances, consumer preferences have stayed or grown within just two formats – fridge freezers and electric wine coolers/chillers. Though still widely considered to be a luxury household item, electric wine coolers/chillers is expected to see significant growth, especially within Asia Pacific and Latin America, accompanying the rise of wine appreciation and home consumption.

Continue reading "Premium War Within Refrigeration Appliances" »

July 30, 2015

SodaStream Moves from Targeting Green Consumers to Health Conscious Consumers

Virginia LeeAnalyst Insight by Virginia Lee - Senior Beverages Analyst

View Virginia Lee's profile on LinkedIn

Sweden is the number one market for SodaStream, with over one million carbonated water makers sold, in a country of about 4.5 million households. At the Beverage Digest Wall Street Smarts conference in New York City on 15 June 2015, SodaStream CEO Daniel Birnbaum stated that SodaStream is in 20% of Swedish households, with more shelf space than coffee in stores. The company was able to succeed in Sweden because of the country’s strong environmental standards, health concerns about plastic bottles, and a taste for sparkling water. However, what works in Sweden is unlikely to work elsewhere, including the company’s focus market of the US. Swedish consumers are uniquely concerned with preserving the environment. Sweden represents a best-case scenario for SodaStream. In contrast, Americans are not as interested in environmental issues and drink less carbonated water than the Swedes. By switching its marketing approach to focus on health conscious consumers, SodaStream may be able to grow in the US.

Continue reading "SodaStream Moves from Targeting Green Consumers to Health Conscious Consumers" »

What Do Consumers Look For in a Washing Machine?

Cristina BausAnalyst Insight by Cristina Baus - Consumer Appliances Analyst

View Cristina Baus's profile on LinkedIn

A recent Analyst Pulse Survey* conducted by Euromonitor International among a network of in-country analysts and in-house researchers around the world revealed interesting consumer preferences when choosing an automatic washing machine. The survey revealed that the most important features for consumers were energy and water efficiency, which were followed by features that increased convenience, such as time-saving features, while design and appearance features and other more technological advances interested consumers less. This is very telling for appliance manufacturers, which sometimes forget the importance of innovating to meet consumer needs, rather than to show off their technological prowess.

What features do you consider most important in washing machines?

Washing-machine-features

Source: Euromonitor International Analyst Pulse Survey, June 2015

Continue reading "What Do Consumers Look For in a Washing Machine?" »

July 22, 2015

Multi-Channel: The Future for Electronics and Appliance Retail

Alexander GoranssonAnalyst Insight by Alexander Goransson - Lead Analyst

View Alexander Goransson's profile on LinkedIn

The retail industry is rapidly evolving. The rise of internet retailing is forcing store-based retailers to quickly adapt by adopting multi-channel strategies, such as click and collect. Considering the nature of technical consumer goods (TCG), often big ticket items necessitating advice or delivery and installation, as well as after sales service, the changing retail environment will have a particular impact on consumer electronics and appliance specialist retailers.

Store-v-online

Source: Euromonitor International

Continue reading "Multi-Channel: The Future for Electronics and Appliance Retail" »

July 17, 2015

GE-Electrolux Deal Blocked by Justice Department

Thidathip TawichaiAnalyst Insight by Thidathip Tawichai - Consumer Appliances Analyst

View Thidathip Tawichai's profile on LinkedIn

The Department of Justice in the US filed an antitrust suit to block the sale of General Electric Co (GE) to Electrolux AB in early July 2015. The authority argued that a combination of the two appliance businesses would reduce competition and options for consumers. It found that the acquisition would create a duopoly in built-in hobs and ovens, with only Whirlpool Corp and Electrolux in the market for both categories. This would be bad news for Electrolux, since the main purpose of acquiring General Electric is to expand volume share in the US market, in addition to gaining resources synergies. We will therefore have to wait and see how GE and Electrolux will now react to this decision – whether they drop the deal altogether or offer to divest the categories that are causing the antitrust issues.

Electrolux AB’s Sales Volume Breakdown in Major Appliances Before and After Acquiring General Electric

Electrolux

Source: Euromonitor International

Continue reading "GE-Electrolux Deal Blocked by Justice Department" »

July 12, 2015

Whirlpool's Recent Product Innovations

Washing-Machine-Banner

Listen as MP3

For the last few years, Whirlpool has been putting more emphasis outside of major appliances and into its adjacent businesses, including small appliances. To this effect, the company launched 13 new products in small appliances in 2013 and expanded it's Ohio plant by 400 jobs.  This podcast examines some of these new products and their target markets in more detail and discusses wider industry trends driving this new brand direction.  Listen for complete insights.

Continue reading "Whirlpool's Recent Product Innovations" »

June 12, 2015

Chinese Appliances Companies Changing Strategies

More than half of the sales of China's top two appliance brands come from their domestic market, but higher housing and food costs are slowing rate of major purchases, particularly large appliances.  Companies will need to invest more in technology and innovation to combat this slowdown. Watch the video for complete insights.

Jamie_KoVideo features Jamie Ko - Head of Consumer Appliances Research

View Jamie Ko's profile on LinkedIn

Subscribe

 RSS Feed

Receive New Posts via Email:

 

Join us on...


Filter by Category

Filter by Geography

Filter by Industry

Recent Posts

SodaStream's 2nd Quarter Earnings and New Strategy

Dishwashers Headed in the Opposite Direction to Major Appliances in Brazil

Nestlé’s Wireless Coffee Machines: Bringing Specialty Coffee out of the Coffeehouse

Premium War Within Refrigeration Appliances

SodaStream Moves from Targeting Green Consumers to Health Conscious Consumers

What Do Consumers Look For in a Washing Machine?

Multi-Channel: The Future for Electronics and Appliance Retail

GE-Electrolux Deal Blocked by Justice Department

Whirlpool's Recent Product Innovations

Chinese Appliances Companies Changing Strategies