Jun 1, 2022|
JD Data: Living Scenarios and Life Values Drive Sales of New Home Appliances
by Doris Liu
The home appliance market is increasingly focused on satisfying the needs of modern living scenarios and life values, according to a white paper released by JD.com and market consultancy All View Cloud on May 27, with consumers’ demand shifting from being driven by basic functions to life quality.
The white paper analyzed the current consumption trends from the dimensions of market, demand, consumers, scenarios and more, indicating that the concept of new home appliances is inevitable in terms of market development.
Chinese consumers are experiencing multiple changes in living space, family size and lifestyle, accompanied by a series of newly-created scenarios in recent years such as entertainment spaces for games and movie watching; kitchens with more use of built-in and integrated home appliances; and pet living spaces with smart devices, which in turn have stimulated the rapid growth of the new home appliance market.
According to the China Center for Information Industry Development, China’s home appliance market recovered comprehensively in 2021 after a COVID-related slump in 2020, with retail sales rising by 5.7 percent year-on-year (YOY) to RMB 881.1 billion yuan.
As the pandemic has fanned demand for home appliances, entertainment TV sets on JD.com saw a spike of 4.5 times in 2021 sales YOY; meanwhile the number of searches and new launches went up 1.7 and 2 times respectively, according to the white paper.
In regard to kitchen appliances, 25 percent of the middle-aged group and 45 percent of consumers who need home renovation prefer built-in refrigerators. The sales value of the ultra-thin flat built-in refrigerators in 2021 on JD.com climbed 2.5 times YOY in popularity, with the number of searches and new launches rising 100 and 50 percent respectively.
Another trend of integrated appliances was also underlined. During JD’s Singles Day Grand Promotion in 2021, sales of fresh air ventilation and air-conditioning integrated systems exceeded the annual turnover of 2020, while sales of products that integrate multiple functions of a regular and steam oven, range hood and stove system jumped 4 times compared with that of 2020.
At the same time, the younger generation born after 1990 has become the main consumer group, affecting the market with their product demand in both function and attractive looks. For instance, according to JD Home Appliances, retro-styled small electric appliances grew 3 times YOY in turnover in 2021, meaning that consumers tend to embed their life values in product selection as well.
The concept of new home appliances leads the way for the industry. As future products will need to cater to consumers’ preferences in function, look and use experience in various scenarios, JD Home Appliances will collaborate with more brands to not only promote the business, but also upgrade the industrial structure.