Home Laundry Appliances in Colombia

PROSPECTS AND OPPORTUNITIES

The development of omnichannel retailing strategies to remain key growth driver

Towards the end of the review period, it became increasingly apparent that digitalisation has arrived to stay in Colombia. The country has high internet penetration and a relatively high proportion of the local population hold financial cards, including many who do not also have a bank account.

Pricing strategies could be used by emerging brands to expand their presence

During the forecast period, it is expected that smaller brands of home laundry appliances will have genuine opportunities for very strong sales growth, but only if they are able to take advantage of the pressure that has come on household incomes due to the high inflation that was seen during 2022 and which is expected to last into the forecast period. With the return to shopping stores that has accompanied the receding influence of the COVID-19 pandemic, emerging brands now have opportunities to promote their appliances, although it is likely that this will need to be accompanied by an aggressive pricing strategy, while it would also be wise for these brands to offer home laundry appliances in sizes that make them practical choices and thus attractive to a wide group of consumers.

Political and economic uncertainty has the potential to negatively impact the category

The political and economic uncertainty that plagued Columbia during 2022 is expected to last well into 2023 and this will undoubtedly emerge as a major factor influencing the sales performance of home laundry appliances during the early stages of the forecast period. The high inflation that is being seen in the country has forced many households to make the most of their budgets and this presents a particular threat to sales growth in the category.