Research and Markets (http://www.researchandmarkets.com/reports/c47243) has announced the addition of Domestic Electrical Appliances in China to their offering.
Our Domestic Electrical Appliances in China report offers a comprehensive guide to the size and shape of the market at a national level. It provides the latest retail sales data (2000-2005), allowing you to identify the sectors driving growth. It identifies the leading companies, the leading brands and offers strategic analysis of key factors influencing the market "“ be they new product developments, format trends or distribution issues. Forecasts to 2010 illustrate how the market is set to change.
Product coverage: large kitchen appliances (dishwashers, refrigerators, home laundry appliances, cooking appliances, microwaves) and small electrical appliances (microwaves, food preparation appliances, small cooking appliances, vacuum cleaners, irons, hair care appliances, shavers, oral hygiene appliances, heating and cooling appliances)
Data coverage: market sizes (historic and forecasts), company shares, brand shares and distribution data
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Domestic Electrical Appliances - China : Market Insight
Topics Covered Include:
A mixed picture dependent on maturity
Growth is beginning to diminish as products such as fridge freezers become more mature. Still underdeveloped products include automatic washer dryers, and most small home appliances. Dishwashers was the most dynamic product type in both volume and value terms in 2005, albeit from a very low base. Products such as microwaves and irons, although seeing stable growth over the review period, are starting to show signs of maturity. Some products, such as air conditioners, are perceived as being saturated in large cities, but continue to witness vigorous growth in secondary cities and rural areas.
Manufacturers focus on products with wider margins
Due to the low level of sales in China compared with the traditional large appliances, small electrical appliances, such as personal care appliances, vacuums and irons, have not enjoyed much focus from manufacturers. However, the shrinking profit margin offered by traditionally popular products has forced manufacturers to move towards those products with still-low penetration, which offer greater potential for growth. However, different products face different obstacles, preventing quick investment.
A very low level of product awareness with regard to small kitchen appliances, low demand for vacuum cleaners, very low entry barriers for some other small kitchen appliances such as kettles, and surprisingly high concentration in personal care appliances, all contribute to a mixed future outlook for small electrical appliances.
Manufacturers seek to consolidate in face increasingly fierce competition
From refrigeration to air treatment appliances, from laundry machines to kitchen appliances such as microwaves, the process of large players acquiring their smaller counterparts is prevalent.
Apart from the already highly concentrated sales revenue, the volume shares of most product types tend to be dominated by the top players. Concentration is not only shaped by market forces, which favour the larger players, but the enthusiasm of the major electrical appliance groups for merger and acquisition activity. At least five such events occurred in 2004/5, having a profound impact on the market's structure.
Changing consumer lifestyles favour premium segment
As well as the movement of retail sales, manufacturers' activities were largely affected by changes in consumer lifestyles over the review period. 2005 was a year of new premium products, a trend evident across the market, especially in refrigeration appliances and home laundry appliances. With busier lifestyles many consumers are demanding home appliances with more features with which require minimal effort in usage. Meanwhile, Chinese consumers are more influenced the promotion of speciality chains, and are becoming new-product-friendly.
Sales shift away from large cities
While the small and mid-sized cities saw a high level of competition in sales of home appliances, sales of many electrical appliances remained small or negligible in rural areas over the review period. Such products include dishwashers, cooker hoods, microwaves, air conditioners, and almost all small home appliances. This situation is due largely to the lack of distribution network and purchasing power in these areas. Such regions offer potential for future growth, and are expected to see increased focus by manufacturers in coming years.
Stimulating demand Haier's chief task
Holding the largest domestic electrical appliances brand in China, Haier Group launched new products to stimulate demand and regain momentum in the saturated environment, including 3-door and side-by-side refrigerators, tumble dryers and cooker hoods. For increasingly saturated home electrical appliances, price cutting is also a frequently adopted strategy to maintain brand share, especially when product innovation is difficult to achieve. Most products, even small home appliances, suffered deceleration of value growth over the review period. To stimulate demand, manufacturers and retailers are utilising every method possible, including changes to packaging, product innovation and seasonal promotion, in order to encourage consumption.
Companies Mentioned Include:
- Haier Group - GD Midea Holding Co Ltd - Zhejiang Shuaikang Co Ltd - Wuxi Little Swan Co Ltd - Galanz Enterprises Group Co - Zhongshan Vantage Holdings Ltd - Ningbo Fotile Kitchenware Co Ltd - Guangdong Kelong Electrical Appliance Co - Hefei Rongshida (Group) Co - Nanjing LG Panda Appliance Co Ltd - Hangzhou Deyi Electric Appliance Industry Co Ltd - Henan Xinfei Electric Appliance Co Ltd - Matsushita Electric (China) Co Ltd - BSW Household Appliances Ltd - Samsung Electronics Co Ltd - Hefei Meiling Group Co Ltd - Shanghai Whirlpool Co Ltd - Guangdong Jinling Electrical Appliances Co - Changling (Group) Holding Co Ltd - Changsha Zhongyi Group - Guang Dong Macro Gas Appliance Co Ltd - Shandong Xiaoya Electrical Appliances Co - Jiansu Guangmang Group - Shaoxin Putian Appliances Co Ltd - Hangzhou Robam Industrial Group Co Ltd- Shenzhen Huowang Gas Burner Co - Shanghai Hitachi Electrical Appliances Co Ltd - Sakura Corp - Aucma Group - Yuli Electric Appliances Group Co - Zhongshan Weili Electrical Appliances Co - Beijing Baiye Appliance Ltd - Royal Philips Electronics NV - Sunpentown Electric Co Ltd - Zhejiang Supor Cookware Co Ltd - Cai Bou Trading (Shanghai) Co Ltd - Gillette Co, The - Elec-Tech International Co Ltd - Zhongshan Longde Group Co Ltd - Guangdong Nanhai Libang Electronics Co Ltd
For more information visit http://www.researchandmarkets.com/reports/c47243