On June 26th, the 2018 “New Middle-Life-Life + Forum” co-sponsored by the China Electronic Chamber of Commerce, Suning Tesco, and Owe Cloud Network was held at the Beijing Yanqi Lake International Convention and Exhibition Center. This forum brought together Casa Di, AO Smith, Samsung, Boss Electric, Midea, AEG, Vantage, Panasonic, Changhong CHiQ, Joyoung and other well-known Chinese and foreign high-end appliance brands and government agencies, industry associations, retail channels, mainstream media to share and discuss the new middle class in the field of high-end home appliances Quality Life Consumption Concept. Forum on-site China Electronic Chamber of Commerce, Suning Tesco, Ove Cloud.com jointly publishes a new white paper on consumption trends of high-end household appliances (hereinafter referred to as “white paper”), which explains in detail the good life brought by high-end home appliances. .
Consumer upgrade drive high-end home appliances market is getting better
Since the Nineteenth National Congress, 'consumer upgrades' have become frequently mentioned high-frequency words. The '2017 China Residents' Consumption Development Report' issued by the National Development and Reform Commission shows that in 2017, the Engel's coefficient of the Chinese residents was 29.3%, which has already entered the United Nations. 20%-30% of the affluent area. Li Pumin, secretary general of the National Development and Reform Commission, said that in recent years, China’s resident consumption has continued to expand and upgrade, it has entered a period of continuous growth in consumer demand, and the consumption structure has been accelerating and escalating. Consumption has stimulated the economic role to increase significantly. The satisfaction of quantity has been improved from the tangible material product to more service consumption, from imitative-typed wavy consumption to individualized diversified consumption, etc. Under this trend, the new middle class emerged quietly. The White Paper gives such a definition: China's new middle class is between the ages of 25 and 60, and families and individuals have annual incomes of 500,000 yuan and more than 300,000 middle- and high-rise earners. They care about the quality of life they enjoy. And cultural taste is an important promoter of 'consumption upgrade'. At the moment when 'consumption upgrade' has become a new driving force of China's economy, new middle class is growing stronger. The crowd team, will bring products, consumer culture and other consumer-related quality of life and aesthetic dramatically, eventually will change China's industrial structure and consumption structure.
From the perspective of consumption structure, quality consumption has become an important direction for consumer upgrading. In the area of household appliances, Xinzhongzhong will undoubtedly be its largest audience. At this stage of consumption upgrades and quality demands, household appliance companies have already noticed this. High-end brands have become one of the strategies for the future of home appliance manufacturing companies. For 12 years, the high-end brand Casa Di, a high-end brand created by Haier, has been creating high-end brands NO.1. The formation of the international high-end home appliance market 'Cassay Phenomenon'; Midea Group launches a new high-end brand strategy. As a German high-end kitchen and electric brand, AEG will rely on its exquisite German craftsmanship, forward-looking product technology and superior user experience, and is bound to consume in the Chinese home appliance market. Upgrade brings a clear flow.
According to the White Paper, the current middle class buys high-end home appliances with more emphasis on personalization and customization. It focuses on brands and quality. It has a philosophy of high quality of life. 50% of consumers choose products that meet their preferences; 40% choose familiar and trusted ones. Brand, 4% Outstanding identity choice. More than 70% of consumers choose to enjoy a high quality of life and obtain superior product quality and experience. High-end brand value war subverts low-end price war thinking, Corporate competition focuses on product value origin .
Fan Zhijun, vice president of Suning Retail Group, stated that Suning’s O2O integration model played an important role in high-end product sales and became the preferred channel for consumers to purchase. The share of retail sales of high-end home appliance products with a home appliance market of over RMB 6,000 has been increased to 28 %, Suning channel's contribution to high-end products accounted for up to 35%.
The offline channel is the dominant consumer upgrade. Sales of high-end and high-end products continue to increase, and it has been the main sales channel for home appliances. The retail sales accounted for 69%. Suning relies on the experience of more than 5,000 Internet stores across the country, and the high-end price is over 6,000 yuan. Retail sales under the product line accounted for as high as 87%, which is the first sales channel for high-end home appliances.
Home Appliance Product Structure Optimization Boosts Quality Life
With the deepening of structural reforms on the supply side, the structure of household electrical appliances continued to be optimized, the new kinetic energy in the home appliance industry continued to bred, new products and new technologies flourished, and the vitality and strength continued to increase. Along with the rapid upgrade of consumption concepts, people increasingly focused on the quality of home appliances. , Better visual enjoyment. At the forum, new middle-class people from design, lawyers, and gastronomy, from the perspective of their respective industries, shared the demand for high-end home appliances in modern home life and high-end home appliances for a better family life experience. Positive effect. Once again reflects the huge demand potential of the new middle class for high-end home appliances, but also from the side proved that high-end home appliances will become the new blue ocean of the future home appliance market.
According to Lu Jiebo, deputy secretary-general of the China Electronic Chamber of Commerce, product and technological innovation promote the upgrade of the home appliance industry. This is the basis for the continuous improvement and development of the home appliance industry. How to make high-end home appliances meet the consumer needs of the new middle class and become a home appliance company The most important issue for the future.
In terms of product category, as the most important household electrical appliance in the living room, the center position of color TV has not been shaken. For Samsung, the 12th annual global sales champion, it is dedicated to the perfect integration of TV and art, presenting the art in the living room. Product's concept, Samsung's quality sub-point TV brings users a strong visual impact experience. As an innovator of artificial intelligence TV, Changhong CHiQ tri-color 4K laser TV consolidates the large-screen market with powerful natural color reproduction, unique artificial intelligence AI3 .0, so that each family member can easily complete previous complex operations through voice interaction and experience their own personalized audiovisual content.
According to the White Paper, high-end and intelligentization have become the main features of ice washing, kitchen and kitchen products, and life appliances. As a leader in the relatively mature ice-washing market, Samsung Zhimu multidimensional dual-drive washing machine performed traditional laundry methods. The upgrade was achieved through the adoption of a 'dual motor, dual-drive inner tube' to achieve a 'dual effort combination'. Samsung Refrigerator is committed to leading the world's high-end lifestyle. Its metal cooling technology has also become an important reference for future industry development and jointly create the beauty of the family. The artistic appearance of the fusion aesthetic design of Panasonic cabinet washing machine is refreshing enough, and it has become the best match of art life. It once formed the leading vane of 'cabinet aesthetics'.
Kitchen appliances are highly adaptable to the rise of the house pattern. The new style of free-form embeddedness is emerging. The boss dishwasher for Chinese-style kitchens, the drawer-type design tableware is safer to place, and it is in line with the height of the human body to facilitate the user to take the bowl. Chopsticks, etc., are more humane. Vantage has been advocating the integration of fashion into products, new developments, and upgraded intelligent products – Vantage Sky Mirrors, with the help of stylish industrial design, quality service experience, giving products more humane solutions. Program, open a new 'kitchen after industry'.
Health is increasingly becoming the focus of people's attention. Users are more willing to pay for health. AO Smith formaldehyde purifiers target and adsorb sustained-release formaldehyde, so that modified activated carbon breaks through limits once again, solves consumption pain points and defines a new lifestyle. Due to the upgrading of technology, the rice cooker category that was originally in its mature stage has gradually entered the growth period, achieving a second upgrade. The beautiful 9-string mush IH rice cooker starts from five aspects: taste, sweetness, water content, cooking, and specialty rice. Redefine the rice, really opened up the delicious new enjoyment of the consumer kitchen.
From the past pursuit of ownership to the current pursuit of experience, the positioning of high-end home appliance products fully meets this trend. This can also be understood as the concrete manifestation of the 'Maslow's hierarchy of needs theory' in the field of high-end home appliances. It is expected that China's high-end home appliance market in the future. Will continue to grow.
Wen Jianping, chairman of Owe Cloud Network, believes that the growth of the new middle class is a product of economic development and will cause major changes in the consumption structure of household appliances, while also bringing new opportunities and new opportunities for home appliance companies. The launch of the 'High-end Home Appliances for Life + Sub-strategy Statement' has jointly opened the new era of mid-production and high-end home appliances have created a magnificent layout of high-quality experience for a wonderful family life.