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96 posts categorized "Consumer Appliances"

October 16, 2013

Fagor Entering Insolvency Could Mean Expansion into Europe for Haier

With Spanish Appliance manufacturer Fagor entering insolvency, Lorenza Della Santa, Consumer Appliances Industry Analyst at Euromonitor, explores what this means for the industry. This news comes just one month after Fagor announced its joint venture with Haier to establish a new refrigerator plant in Poland. The partnership appeared to be a good opportunity for both companies. Does this latest development mean that Haier could now buy Fagor?

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October 15, 2013

Japan Detergent Innovations Useless Without Advances in Appliances

Ian_BellAnalyst Opinion by Ian Bell - Head of Home Care, Tissue and Hygiene

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The fast-paced lives of Japan’s urban population should really come as no surprise but the pace is quickening under the auspices of ‘jitan’ (literally meaning ‘short period’), which is influencing product development across markets as diverse as beauty and personal care and home care. The key target audience of jitan-related products is Japanese women who are juggling work, social and family life and are looking for time-saving answers to there only being 24 hours in a day. While jitan has a social implication, it is also borne out of necessity, especially when it comes to laundry detergents.

Ultra Attack Neo

The release of Kao’s Ultra Attack Neo, slated for August 2013, is clear evidence that this trend has surfaced in home care. Ultra Attack Neo is a concentrated laundry detergent whose USP is efficacy via just a 5-minute wash. For Japanese consumers who are still living with post-Fukushima energy uncertainty as well as a recession, the opportunity to save on laundry bills is very appealing. However, the main problem with this is that there are no washing machines which can actually run a 5-minute cycle.

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October 7, 2013

Alternative Heating Sources Performing Well in Chile

Homes and apartments in Chile are rarely built with central heating making heating appliances a necessity for most Chilean consumers. While a 30% of all homes in the country are still heated with wood and pellet burning stoves, government mandates against air pollution are forcing these numbers down. Alternative heating sources, such as gas and kerosene heaters, are becoming more popular and are expected to perform well in the upcoming years as more homes are forced to switch.

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September 21, 2013

Inevitable Challenges GD Midea Needs to Overcome


Analyst Insight by Jamie Ko, Head of Consumer Appliances at Euromonitor International

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GD Midea Holding Co Ltd, the world’s third largest consumer appliances manufacturer, is currently undergoing a period of transition in an effort to build itself a global brand image. Heavily dependent on its domestic Chinese market, its presence outside China is negligible despite attempts over the last couple of years to expand its production and sales footprint internationally. In 2012, the company made the bold decision to reposition its image to that of a mid-upper-priced brand, investing significant capital in expanding its product portfolio. Unfortunately, despite these efforts, GD Midea did not enjoy successful sales in 2012 compared to the previous year. So, what has gone wrong?

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August 12, 2013

The Retail Landscape for Consumer Appliances in China


China is the largest global market for consumer appliances and its retailing landscape has a huge influence on sales and competition.  In the past, domestic manufacturers were seen as a lower alternative to foreign manufacturers, however domestic brands are shifting to energy efficient and high tech products in order to compete with other foreign companies. With high internet penetration in China, online sales of appliances are likely to grow quickly in the next five years.

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July 30, 2013


Air purifier



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July 1, 2013

Bosch & Siemens’ Acquire Zelmer, A Win for Both Companies


BSH Bosch & Siemens recently acquired Zelmer SA, the largest manufacturer of appliances in Poland. The acquisition not only makes Bosch the largest player in the Polish market, but it also gives Bosch an advantage in manufacturing since Zelmer has factories in key locations throughout the country. Bosch stated it will not lay off any Zelmer employees and will keep Zelmer’s brands and product portfolio.

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June 25, 2013

Sales of Air Purifiers Soar as Air Quality Deteriorates


Analyst Insight by Jamie Ko, Head of Consumer Appliances Research, Euromonitor International 

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Panic hit Singapore last week as its air quality started to deteriorate. The Pollutant Standards Index (PSI) soared to hazardous levels during the middle of the week, recording its highest reading in 16 years. Forest fires in Sumatra, Indonesia, similarly affected air quality over Indonesia and Malaysia, with the latter declaring a state of emergency in Johor. Immediately, this led to a spike in demand for surgical and NIOSH-approved face masks, eye drops as well as home air purifiers, with demand outstripping supply and resulting in many pharmacies and appliance retailers being left with no stock.

Haze in Singapore

Within Asia Pacific, China and South Korea also suffer from poor air quality every spring, with the wind blowing in from the West carrying yellow dust, sand particles and industrial elements to the West coast of both countries. During this period, respiratory ailments and eye irritation complaints skyrocket. Japan, the biggest market for air purifiers in the region, is also exposed to natural elements such as influenza outbreaks and a high pollen count.

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June 19, 2013

Refrigeration Continues Strong Growth in Consumer Appliances


Despite the global recession, appliance manufacturing has continued to grow, and manufacturing output reached 600 million units for the first time in 2012. Refrigeration is the world’s largest and fastest growing category in major consumer appliances and China is the largest producer of refrigeration appliances. Five out of every 10 fridges sold globally are produced in China, and 30 percent of fridges manufactured in China are shipped abroad.
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May 27, 2013

Strengthening Renminbi Weakens Cost Advantage in China for Consumer Appliance Manufacturers

Thidathip TawichaiAnalyst Insight by Thidathip Tawichai, Analyst - Consumer Appliances, Euromonitor International

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In May 2013, China's currency strengthened to RMB6.10 to the US dollar, the strongest appreciation in 19 years. It appreciated not only against the US dollar but also against other currencies like the Korean won and the euro. The strengthening renminbi will make exported products from China more expensive, which will directly affect two main parties in consumer appliances. Firstly, the multinational manufacturers which offshore production to China will suffer from the higher cost of producing in China. Secondly, local Chinese consumer appliance manufacturers that make products locally can no longer rely on the advantage of lower prices in export markets. Economists predict that over the next five years the renminbi could strengthen further, potentially by another 10% to RMB5.70 per US dollar. The upshot could be a shift away from fierce price competition between consumer appliance manufacturers, towards more competition in terms of product differentiation through innovative technology and brand equity.

Continue reading "Strengthening Renminbi Weakens Cost Advantage in China for Consumer Appliance Manufacturers" »


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