Home Appliances and Electronics (Global Market)

2019

2018: The volume of the global market for the first time exceeded the mark of 1.1 trillion euros

According to the research company GfK, in 2018, sales in the global market of household appliances and electronics (BTiE) for the first time exceeded the mark of 1.1 trillion euros, which is four percent more than a year earlier. Sales grew in the telecommunications (+ 7%), small household appliances (+ 7%), consumer electronics/photo (+ 6%) and IT/office equipment (+ 1%) segments. In the segment of large household appliances, sales, on the contrary, decreased by 1%, reported in GfK on January 10, 2019.

In 2019, company analysts predict a 2 percent increase in sales in the global consumer appliances and electronics market, to the level of 1.03 trillion euros.

With a 42% sales share, Aziatsko the Pacific continues to hold the position of the largest market for household appliances and electronics in 2018, followed by Europe (25%), (North America 20%), Latin America (7%) and the region//(Middle EastTurkey 6 Africa %).

With a sales share of 44% and a volume of about 440 billion euros, telecommunications became the largest segment of the consumer appliances and electronics market in 2018. Consumers are increasingly opting for premium devices, especially in this smartphones segment - global sales increased by seven percent. At the same time, in terms of sales volumes, the market remains rather stable.

With the exception of Latin America (-5%), sales in the telecom sector in 2018 grew worldwide, and especially in Europe (+ 14%) and North America (+ 12%). However, GfK does not expect further sales growth in 2019. Analysts of the company expect stable market development at the same levels as in 2018.

Large household appliances (KBT) is still the second largest segment of the BTiE market in 2018, sales here amounted to about 177 billion euros, although there was a slight one percent decrease. In general, large household appliances such as refrigerators, microwaves, washing or dishwashers accounted for about 17% of BTiE market sales in 2018, the GfK said.

Among the main consumer requests, the company noted multifunctional devices and their connectivity, that is, the ability to connect various devices to the network and control them using, for example, a smartphone.

Growth in 2018 was demonstrated by the markets of Latin America (+ 6%), Europe (+ 3%) and the Asia-Pacific region (+ 2%). According to GfK forecasts, in 2019, global KBT growth will continue, sales will increase by 6%.

In 2018, consumers around the world spent about 157 billion euros on computer products and office devices, including consumables - almost as much as a year earlier. In the computer and peripheral segment, there is an increase in demand for high-performance devices, especially for gaming PCs and laptops. Demand in Latin America and the Asia-Pacific region grew slightly in 2018, but sales stagnated in Europe, and in the USA, Middle East/Turkey and Africa they showed negative dynamics, which almost leveled the positive effect of growing demand for computer products in Asia, the GfK noted.

Meanwhile, in the office equipment and consumables sector, positive dynamics were observed. Global sales grew by 3% to about 16 billion euros. The Asian region and, in particular, China, also became a source of growth. However, in 2019, according to GfK estimates, the turnover of the IT/office segment may decrease by about 3%.

Global sales in the consumer electronics and photo segment grew in 2018 by about 6% and amounted to 153 billion euros. The share of the segment amounted to about 15% of sales in the BTiE market.

Like other segments, consumer electronics also see an increase in demand for more premium products. Sales of High-end TVs with screens of 50 inches or more increased significantly. In the premium segment, OLED TV continues to grow in popularity. Earphones and portable Bluetooth speakers made a significant contribution to the growth of the audio market. Especially positive, according to GfK, are sales of entertainment devices in Latin America (+ 24%). Sales in Asia and the Pacific, Europe, the Middle East, Turkey and Africa grew by an average of 4-5%.

The photo segment still has a negative trend - sales in 2018 are 5% lower than last year. The turnover of the global camera and accessories market last year amounted to 15 billion euros. At the same time, analysts note positive sales trends for advanced cameras. In 2019, GfK expects a decrease in growth rates in the consumer electronics and photo segment, however, growth, according to company forecasts, will still be about 4%.

In turn, sales of small household appliances (MBT) reached 86 billion euros in 2018, which was the result of an increase of 7%. The main contribution to market growth was made by China, thanks to which the Asia-Pacific region broke into the lead with a dynamics of 13%. In Latin America, the Middle East/Turkey/Africa region, sales grew by 10%, slightly less segment dynamics in Europe - 7%. The decline in turnover occurred only in North America - by 2%.

In 2018, customers were very interested in devices such as, for example, battery-powered battery rooms vacuum cleaners (Battery-powered handheld vacuum cleaners). GfK experts also note that in 2019, such a trend as "upgrading" will increase in the market for small household appliances, which could lead to accelerated sales growth next year to 8%.^[1]

Home Appliances Market in Russia

Main article: Household appliances and electronics (Russian market)

Consumer Appliances and Electronics Market in Europe

Main article: Household appliances and electronics (European market)

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