The growth trajectory of electric home appliances market has been commendable with the industry having registered its name in the multibillion dollar business space in 2016. A large number of macro-economic factors are underlining the massive expansion, the primary being the rapid emergence of an affluent middle-class population with increased disposable incomes. This is due to the fact that the enhanced spending parity of the consumers has led to a change in their living standards, where consumers are proactively seeking value added products with advanced specifications. This shift in trend, in no surprise, has boosted electric home appliances market commercialization. With UN projection in 2014, regarding Urban population to increase by 2.5 billion by 2050, it is undeniable that electric household appliances industry will carve a profitable road map ahead.
Climatic changes along with exhaustion of natural resources have outlined a change in the overall electric home appliances market outlook lately. Recognizing the role of electric household appliances in the energy sustainability, growing number of consumers are inclining toward energy efficient products. In this regard, numerous government initiatives promoting the use of sustainable products is leaving an influential impact on the overall industry share. For instance, recently, Electric Partnership Program undertaken by the OHIO government has been designed to improve the electric efficiency of minimum income households who are eligible for PIPP Plus (Percentage of Income Payment Plan Plus). Such exemplary move by various governments of developing and developed nations is reshaping electric home appliances market dynamics.
India Electric Household Appliances Market Size, By Product, 2016 & 2024 (USD Million)
Boasting a diversified product landscape, encompassing air conditioners, dishwashers, refrigerators & freezers, cooking appliances, and washers & dryers, the demand for electric home appliances market is likely to upscale in the coming seven years. Global demand for air conditioners has been increasing swiftly both across developed as well as developing nations. While a notable rise in the middle-class population has fueled the air conditioners market demand in emerging countries, a shift toward energy saving products in developed countries is driving electric home appliances market for split ACs. It is expected that this trend likely to upscale in the coming years with the online availability air conditioners, subject to the fact that the consumer accessibility factor has enhanced with a large number of market giants on board pertaining to e commerce.
As per reliable statistics, Asia Pacific has been in the vanguard of the global electric household appliances industry over the recent years, given that the region is home to a large number of market players. China and India, two of the most developing economies across the globe are estimated to be the growth avenues for APAC household appliances market. The numerous initiatives undertaken by regional government bodies have also played a key role in the augmentation of the market. For instance, the Indian Government initiation of Make in India movement has boosted many manufacturers to involve in R&D activities for expanding the local production capacity. Furthermore, the region has witnessed a paradigm shift in terms of progressive mindset, which has led to a significant rise in the working woman population in this belt, stimulating electric home appliances market share from automatic washing machines and advanced electric cooking appliances. Economic advancements, technological interference, and low commodity price trends are the major attributing factors for the massive commercialization of APAC electric household appliances industry.
Economic structure plays a pivotal role in the development of any emerging market, electric home appliances market being no exception. Having said that, the economic downturn in some of the regions have impacted the market penetration in those belts. As per market experts, several countries have been lately facing challenges related to socioeconomic growth, structural modification, which in a way is raising hindrances for electric home appliances market. Fluctuation of exchange rates and poor export is creating inflation pressures for the overall growth of the market. However, the proactive participation of various government organizations is expected to open up new opportunities for the industry participants in near future.
Worldwide, electric home appliances market is fiercely competitive including the participation of the top giants including Electrolux, LG, Siemens AG, Whirlpool Corporation, Samsung, Walton group etc. Research activities have been prioritized by these biggies in order to innovate energy efficient high-grade products with advanced features like temperature detection, low energy consumption, etc. For instance, Home Energy Action Program, initiated by various governments is a program that focusses on offering energy efficient appliances to low-income households. With the globe treading on the path of carbon emission abatement, it is certain that the room for evolution for electric household appliances industry is huge. As per Global Market Insights, Inc., “The industry is set to record a massive valuation of 600 billion by the end of 2024.”