Major Appliances in Asia Pacific

Key Findings

Positive growth returns in 2021

Major appliances was already seeing slow, if still positive, regional growth in 2018 and 2019, with the performances in these years hit by declining sales in China due to the maturity of key categories and government efforts to control property developers’ financing in order to prevent speculation and keep a cap on housing prices. After the pandemic tipped the market into decline in 2020, sales returned to positive territory in 2021, as the region began emerging from the pandemic.

Burgeoning demand for connected appliances

Even though penetration rates of some products are still low in a number of countries across the region, connected appliances are expected to be a key growth area in the coming years, with players launching products that are compatible with smartphone apps and Wi-Fi. Even if they tend to be priced much higher than mass products and demand still remains nascent, with the expansion of the middle class in countries like India and increasing disposable incomes, connected appliances are expected to continue to develop over the forecast period.

E-commerce gains share during the pandemic

Online sales recorded strong share growth in major appliances in most countries in the region in 2020, with internet retailing an ideal solution for buying goods in lockdown or when looking to avoid going out in public. E-commerce continued to gain share in the region in 2021. However, with shoppers often preferring to see major appliances close up before making a purchasing decision, electronics and appliance specialist retailers still remains the leading distribution channel.

Positive growth expected for 2021-2026

Major appliances is currently expected to record positive annual growth rates throughout the forecast period, as the region continues emerging from the pandemic. However, with lockdowns returning in China in 2022, forecast projections may need revising downwards at some point in the near future.