Ousheng Electrical appliances

Small home appliances hide big business opportunities
  • Category:industry
  • Views:354
  • Date:2021-06-22

In the past 2016, although the large home appliance market as a whole continued to move forward in a downturn, under the stimulus of consumption upgrades, the demand for small household appliances for daily life has grown stronger, and the market scale has continued to maintain rapid growth.

Affected by this, a large number of small home appliance giants such as Midea, Joyoung, and Supor all made a lot of money in 2016. In the domestic small home appliance market in 2017, the driving force for market transformation and competitive upgrading is also very strong.

Specifically, small household appliances that meet basic consumer needs, such as rice cookers, electric pressure cookers, etc., are becoming saturated and their growth rate is slowing down; emerging small household appliances such as mixers and vacuum cleaners have become the main growth points of the industry. However, no matter what kind of small household appliances, high-end products have become the market trend.

Status: market polarization

Judging from the data on the growth of the small household appliances market in 2016, this market is currently in a state of polarization:

On the one hand, small household appliances that meet the basic needs of life have been basically saturated. According to the data held by Naxin Global, the retail volume and the year-on-year growth rate of retail sales of rice cookers, electric pressure cookers, humidifiers, juicers and other small appliances have not reached 10%. Especially for electric pressure cookers, the retail volume grew by only 0.4% year-on-year, while retail sales even experienced a negative growth of -1.0% year-on-year. These data confirm that the rural market, which is mainly targeted by some small household electrical appliance companies, has little room for future demand.

On the other hand, emerging small household appliances such as mixers, electric kettles, and vacuum cleaners are in a period of rapid growth, with retail sales and retail sales both remaining at around 50%, and growing rapidly. The retail volume of mixers increased by 59.6% year-on-year, and the retail sales increased by 61.3% year-on-year; the retail sales of vacuum cleaners increased by 48.9% year-on-year, and the retail sales increased by 51.0% year-on-year.

The state of polarization is actually the inevitable result of the rapid changes in market demand. The period of full popularization of small household appliances for traditional life has passed, and the next step is to enter the replacement period. Take the rice cooker as an example, it is upgrading from mechanical and computer to intelligent and IH. In the emerging field of small household appliances, the growth space is mainly in the second and third tier cities and rural markets. Only by finding growth momentum and room for growth can we meet future challenges.

Turning point: high-end industrial upgrading

Analyzing relevant data can also find that the high-end and boutique wars in the household appliance market in 2017 will be fully detonated. Whether it is the slow-growing basic category of small household appliances or the emerging category of small household appliances, high-end smart products have become a key engine driving market growth.

According to the market data of rice cookers, although the retail volume and sales growth were only 5.4% and 8.8%, the retail sales and sales of IH electromagnetic heating products reached 14.2% and 38.1%, respectively. In the mixer market with the strongest momentum, the retail volume and value of wall breakers reached 15.4% and 61.0% respectively; in the vacuum cleaner market, robot vacuum cleaners rose to the mainstream, with retail volume and value accounting for 21.5% and 40.3%, respectively .

It is worth mentioning that in the air purifier market, retail sales increased by 9.3% year-on-year, and retail sales increased by 17.7% year-on-year. Faced with increasingly harsh air conditions, consumers' demand for air purification products is undoubtedly increasing. However, the slower growth rate of purifiers indicates that the efficacy of this product has been questioned by consumers to a certain extent. On the contrary, the fresh air system has experienced blowout growth from the second half of last year.

Way out: Brands spit out the old and accept new demands

In recent years, the market scale of small household appliances has been increasing steadily. This can be attributed to the improvement of living standards and spending power of urban and rural residents, and consumers yearn for high-quality lifestyles. In addition, with the gradual implementation of the second-child policy, some small household appliances for mothers and babies are bound to usher in a more concentrated outbreak period.

However, relevant small home appliance companies must not indulge in the current favorable situation of rapid industrial growth, but need to maintain a clear sense of worry, implement targeted strategies, and seek transformation in a multi-pronged manner.

First of all, for appliances such as rice cookers and electric pressure cookers that are basically saturated in the market, we must gradually eliminate outdated products, focus on smart high-end new products, and seize the young consumer groups' demand for high-end, intelligent, and Internet to promote such products. Product update iterations.

Secondly, for new small household appliances such as air cleaners, vacuum cleaners, mixers, etc., we must go hand in hand: one is to innovate high-tech or conceptual products to occupy the voice of the industry; the other is to market segments, especially for the third and fourth The huge growth space in the online market and the rural market mainly promotes products that are practical and cost-effective. At the same time, the upgrading period of the primary and secondary markets will mainly focus on the introduction of high-end smart products to seize the mainstream of the market.

For small home appliance companies, if they want to maintain high growth, they must and the only way out is to transform into smart high-end. Transforming to the high-end is not easy. It requires not only grasping the needs at all times, but also carrying out all-round transformations such as front-end scientific research innovation, upstream and downstream industrial chain, and marketing. In terms of marketing, through the B2B model of the Naxin platform, small home appliance companies are expected to enter the blank market at home and abroad at a deeper level and occupy the commanding heights of the market.