2021-12-22Analysis on the development prospects of foreign trade in the small household appliance industry

At present, my country has entered a stage of high-quality economic development. How to maintain stable economic growth, promote industrial quality and efficiency, and smoothly realize the conversion of kinetic energy is the main challenge currently facing. In order to give full play to the advantages of my country’s super-large-scale market, mitigate the adverse effects of complex changes in the international situation on domestic economic and social development, and promote economic transformation and upgrading, my country has proposed the establishment of a “domestic cycle as the mainstay, and the domestic and international double cycles promote each other” The new development pattern (double cycle) aims to fully release the potential of the domestic market, attract more domestic and foreign commodities and factors into the market, build an efficient internal cycle system, and participate in the international external cycle with a higher level of openness.

"A new development pattern with domestic and international double cycles as the main body and mutual promotion of domestic and international double cycles" and support for export to domestic sales are new changes, new trends and new challenges in the development of the current domestic and international situation. This series of decision-making and deployment will be positive. Promoting the high-quality development of my country's foreign trade has also pointed out the direction for my country's foreign trade to respond to major changes unseen in a century. In recent years, relying on the development of the e-commerce industry and the love of young consumers, the small home appliance market has grown rapidly, especially the growth rate of some creative small home appliance brands. Whether for export or domestic sales, small home appliances are products that maintain rapid growth and attract attention. .

Analysis of the development of the small household appliance industry under the double cycle

The market scale is growing rapidly, and will reach 486.8 billion yuan in 2021. Benefiting from consumption upgrades, the future growth space of the small home appliance market is far greater than that of large appliances. Clean appliances and high-end kitchen appliances will become the future consumption hotspots, including vacuum cleaners, steam mops, and mite removal devices. , Cleaning appliances including sweeping robots will be the next "outlet." According to data, the scale of China's small home appliance market will reach 402 billion yuan in 2019. The my country Commercial Industry Research Institute predicts that my country's small home appliance market will reach 486.8 billion yuan in 2021.

Sales of kitchen appliances exceed 70%. With the continuous development of my country's economy and the improvement of people's living standards, small appliances, as a symbol of high quality of life, have quickly entered the consumer market. From the perspective of the proportion of product sales, the sales of small kitchen and bathroom appliances accounted for 76%, the small household appliances accounted for 13%, and the personal care category accounted for 11%. Whether in the world or in the country, the proportion of small kitchen appliances is the largest, followed by small household appliances, and the proportion of small personal care appliances is the least.

The market penetration rate continues to rise. In most key small appliance categories, China’s penetration rate is lower than that of developed countries, indicating that China has huge growth potential. Taking vacuum cleaners, China has only 12 vacuum cleaners per 100 households, the United States and the United Kingdom There are more than 100 vacuum cleaners per 100 households, and more than 90 vacuum cleaners per 100 households in Japan and South Korea. With the increase in the disposable income of Chinese residents and the improvement of living standards, consumers are more inclined to pursue more comfortable, More convenient and healthier high-quality lifestyles have promoted the continuous growth of demand for small home appliances. On the supply side, the number of product categories in more developed markets in China is relatively small, and it is relatively easy to launch new products in the small home appliance market, causing industry participants to continue to promote Expansion of categories to stimulate further demand for small home appliances.

Investment prospects of the small household appliance industry under the dual cycle

Consumption upgrades Smart home ecological chain promotes the development of the small home appliance market In recent years, smart home products have developed rapidly and have grown into one of the most potential market segments in the Internet of Things industry. With the improvement of people's living standards and the rapid development of technologies such as the Internet of Things, big data, cloud computing and artificial intelligence, the intelligentization of home appliances has become an inevitable trend. In order to meet the needs of consumers, various manufacturers have built a smart home ecological chain. At the moment when 5G is about to become widespread, the intelligentization of home appliances has become an irreversible trend. For example, Xiaomi's ecological chain enterprise "Chunmi" has opened the kitchen power market.

IP value-added, joint customization to empower products. With the development of the Internet, the culture of different circles has begun to enter the public's field of vision, and IP continues to increase in value. Home appliance brands have started cross-industry cooperation and launched a variety of "IP co-branded" customized home appliances. For example, Midea’s cooperation with Pokémon, heaters and electric kettles can sell for 10,000 to 20,000 within 1-2 minutes of the live broadcast. Taiwan is very popular with consumers. IP cooperation brings different connotations and selling points to products of the same category, and the value of IP operations is rapidly rising in China. The joining of giant manufacturers like Midea will inevitably lead to a greater storm of trends.

Industry competition has become fierce. With the gradual expansion of domestic and foreign markets, behind the hot market, many manufacturers have begun to enter the game. Data show that in the first half of 2020, the number of small household appliance companies registered a short-term blowout, and in March when the epidemic situation improved slightly, the number of registrations increased by 4,874, an increase of 546% from the previous month. As the industry continues to improve, some non-industry manufacturers have also begun to cross-border into the game. For example, the Korean fresh-keeping box manufacturer Lock & Lock has begun to enter the field of small household appliances in China. It has also launched upgraded products for air fryer, magic steam fryer, Dozens of products such as sterilization series products and portable series of small household appliances. Competition in the small home appliance industry has entered a fierce stage.