From May onwards, temperatures in North China, South China, and East China continued to rise, entering the first wave of roasting this summer. In North China, temperatures above 35 degrees Celsius have been recorded for the first time in the country, and local temperatures in Fujian have reached 40 degrees Celsius. The area in the south of the Yangtze River will reach 36 degrees Celsius. With the continuous high temperature mode, the air-conditioning market has also entered the busy season.
The May 1 sales week signalled the air-conditioning peak season. According to China Yikang data, the air-conditioner market showed a slight increase during the May 1st Air Conditioning Promotion Week from April 9, 2018 to May 6, 2018. The data show that During the sales promotion period, the air-conditioning market retail sales and retail sales were respectively 8.64 million units and 31.9 billion yuan, up 2.3% and 7.4% respectively. The offline air-conditioning market was in a downturn, and the offline retail sales and retail sales were 6.37 million units respectively. And 25.1 billion yuan, respectively, year-on-year increase of -6.1% and -0.1%. Under the weak growth of the online market, the online market driven the growth of the air-conditioning market, with 2.27 million units and retail sales of 6.8 billion units and retail sales, respectively, year-on-year growth 36.9% and 48.9%, to achieve a slight increase in the overall air-conditioning market.
51 air conditioning sales week to achieve a slight increase in the air conditioning market, no doubt for the next air conditioning season opened a good head.
High-temperature weather plus sales during peak season
At the beginning of this year, industry insiders predicted that this year's air-conditioning market or 'comprehensive cooling', under conditions such as demand overdrafts and tightening of real estate policies, is far behind last year's sales. According to Ove Cloud Network data, January-February 2018, Air-conditioning retail sales totaled 12.6 billion yuan, a year-on-year decrease of 4.0%, and retail sales of 3.2 million units, a year-on-year decrease of 11.7%. However, in March, the overall sales of air conditioners totaled 33.9 billion yuan, a year-on-year increase of 14.9%. 9.15 million units, up 9.5% year-on-year.
Despite the first quarter, the air-conditioning market grew, but the growth rate in the first quarter of this year has declined compared to last year. Both Ove Cloud and Zhong Yikang forecast that 2018 is the year for the decline in the air-conditioning market. Ikon even stressed that the air-conditioning market in 2018 may face major challenges.
However, since the peak season, the performance of the air-conditioning market has not been pessimistic. In the case of rising temperatures, enhanced channel input, and the launch of various online discounts by various online and offline home appliance stores, the season began with good sales results. Ove Cloud Network data show that 518 air-conditioning peak season, big, online, offline linkage promotion effect is significant, the air-conditioning market scale growth exceeded one hundred. The sales data from Suning Tesco shows that on May 18, Suning air-conditioning double Line sales exceeded 600,000 units; from May 16th to 20th, Suning air-conditioner sales exceeded 1.2 million units, an increase of 325% year-on-year online, and offline stores increased by 85% year-on-year, surpassing sales during the May 1st period, and at the same time exceeded twice its sales. increase.
In April and May, the favorable conditions in the first quarter of the air-conditioning market continued. Combined with shipment and sales data, channel inventory can still be considered optimistic.
Increased brand concentration, intelligent products into the development of air-conditioning business focus
From the perspective of sales in peak season, the advantages of mainstream brands are even more pronounced when the effect of sales promotion is obvious. Data from Ove Cloud Network shows that the market share of mainstream brands has increased significantly, and the share of top3 brands in the online market during the peak season of 518 air-conditioning sales is accounted for. At 71.8%, the concentration increased by 6.9% from the previous quarter, the top3 brand share accounted for 71.1% in the offline market, and the concentration increased by 2.9% from the previous quarter. The market competition was fiercer, and the production space of the second-tier brands was squeezed.
In fact, since the beginning of 2018, air-conditioning inventory pressure has always been the focus of attention in the industry. According to statistics, as of the end of April, air-conditioning channel inventory was about 39.5 million units, approaching historical highs. Air-conditioning channel inventory pressure is increasing, so the second quarter Sales during the peak season have become the key to destocking. However, based on the fieryness of the air-conditioning market in 2017, a number of air-conditioning brands were born, and the company accelerated its expansion of production. With the increase in inventory and brand concentration, the survival of small brands The difficulty will be further increased.
In addition, as the air-conditioning industry enters the second half of the competition, the core demand of consumers will be better. Therefore, the air-conditioning brands will increase their efforts in transition and compete for high-end market will become the focus of air-conditioning companies. Air-conditioning brands will open up new technologies and will accelerate The speed of adoption of intelligent products. Sales data from Suning also shows that air conditioners with functions such as quiet air, energy saving, smart control, and healthy self-cleaning have become hot spots. They highlight the upgrading needs of consumers.