Where Consumers Shop for Consumer Appliances

Delivery

This report comes in PPT.

Key findings

Challenging market for the industry in 2023 especially in mature markets

In 2023, consumers’ budgets continued to be squeezed by post-pandemic economic downturn, exacerbated by continuing political instabilities. Emerging markets fared better in 2023 than developed markets, where higher saturation was seen in some product categories.

Despite the strong growth of e-commerce, store-based channels are resilient

Retail offline continues to hold a dominant proportion of global consumer appliances sales, as a go-to option for consumers that prefer to see and try appliances before their purchases. However, over the review period, its share has declined due to rapid developments in the retail e-commerce channel.

E-commerce has stabilisedafter the pandemic uptake but has not decreased since

E-commerce continues to take share from retail offline, as many prefer it for its convenience, wide product options and frequent deals. Small domestic appliances are leading e-commerce sales as consumers are more willing to buy those online compared to big-ticket items.

Non-retail channels have seen challenges due to weak property market

The builder merchants and construction channel has seen fluctuation in the last few years, as its performance is closely linked to the housing market and house renovation projects. The channel will likely see recovery and growth over the forecast period as aesthetics and seamlessly-fitted appliances are increasingly important to consumers.

Recovery from economic downturn is slow but likely to pick up due to innovations

While the industry is only slowly recovering in 2024, it is likely to see the appliances market picking up faster growth onwards. The industry has strong growth prospects, supported by trends such as smart home and AI-enabled features, enhancing consumers’ experience at home.