Home appliances: forecast for 2020

What will 2020 prepare for sellers and buyers of home appliances in the American Federation??

Ruslan Voloshkin, the director of business development in the regions of America and the CIS in Ascoli Kitchen Systems Ltd shared his opinion.

1. Prospects for the home appliance market

If we talk about the prospects of the market of home appliances in 2020, the situation is ambiguous and we should not wait for big jumps.

Growth is possible on average, within the magnitude of inflation.

To elaborate, as the last two years 2018 and 2019 have shown, the built-in appliances category and the small home appliances segment are feeling stable.

Large home appliances in 2019 showed almost zero growth except for premium refrigerators, this trend will continue in 2020.

2. Smartphones

Smartphone sales growth has stalled since mid-2019, and no change is expected in 2020. It is connected with decrease of incomes of the population and increase of credit loading. Consumers are no longer as eager to enter the pursuit of new products.

Wearable devices have seen steady growth in this segment. So wireless headphone sales continue to grow, it will continue to do so in 2020.

3. Sales

Online sales and marketplaces are showing more and more growth now, due to assortment and customer focus all kinds of discounts, electronic bonus cards, cashback .

Growth in this segment will continue in 2020.

To maintain performance, more and more market players are striving to become closer to the customer, thereby expanding their presence in the regions and displacing small regional sellers.

This situation will continue in 2020, and consequently the market is moving towards the consolidation of regional players due to more capacity and the same customer-oriented.

4. Average bill

If we talk about the value of the average check, it has been declining for several years, and the beginning of its decline was the sales surge at the end of 2015, when people were frantically buying up home appliances, fearing the depreciation of the ruble.

After that, there is a systematic decrease in the average check and a shift of the vector towards B and C brands. And the brands have to invest more and more in marketing and less and less in profit, they have to fight to maintain their performance. But the B and C brand segments are not expected to grow due to low consumer activity.