With the rapid rise of the main consumer forces such as the post-85’s and post-90’s, home appliance retail is undergoing earth shaking changes. According to the report on China’s home appliance market in 2020 issued by the China Institute of electronic information industry development under the Ministry of industry and information technology on March 22, the authoritative competent department, high-end products and household appliances are recognized and accepted by more and more consumers, with significant growth in varying degrees.
However, household appliance retailers spare no effort to push new sales high, which not only breaks the balance between stock games and enlivens high-end quality consumption, but also further promotes the comprehensive upgrading of industrial structure and makes it enter the fast lane of transformation.
High quality consumption blowout, the wind!
The stock game, which hinders the transformation and upgrading of household appliances, finally shows signs of loosening.
In 2020, an unexpected epidemic has disrupted the market rhythm. Under its influence, China’s overall economic environment is depressed, and the home appliance industry is also affected, facing the adverse problems of soaring raw material prices and low consumption. However, it is the pressure of approaching the limit that opens up a broad road for the high-end household appliance enterprises in duding. Driven by them, China’s home appliance industry finds the right direction, seizes the opportunity, and enters a new development cycle dominated by high-end quality consumption.
According to the report, in 2020, China’s home appliance market will be depressed first and then booming. Affected by the epidemic, China’s home appliance market shrank by 35.8% in the first quarter, and then gradually improved. In the fourth quarter, the online and offline markets fully recovered, and the retail volume reached the highest level of the year. The retail volume of China’s home appliance market reached 833.3 billion yuan in the whole year, showing strong resilience under the impact of the epidemic.
As a result of the epidemic, the home economy is booming, and online consumption remains strong, becoming the largest source of home appliance retail. According to the data, the contribution rate of e-commerce channels to the retail sales of household appliances exceeded 50% for the first time, and the promotion effect of online sales of household appliances on household appliances consumption was further enhanced.
More importantly, this is not the result of heaps, but the structural qualitative change brought about by the blowout of high-quality consumption. Affected by the epidemic situation, great changes have taken place in users’ life philosophy and consumption style: they used to pay attention to price, but now they care about quality. Finally, the “quality revolution” has taken place in both business and product forms.
In 2020, consumers’ demand for high-end and health household appliances will surge. For example, in the field of color TV, ultra high definition such as 4K / 8K, artificial intelligence and eye protection large screen have become hot spots in the market; for example, in the field of refrigerator, high-end products with large volume, good quality and fresh-keeping, health disinfection and scientific storage are popular. In the field of air conditioning, products with fresh air function, comfort and health naturally have numerous fans, and some small household appliances that improve the quality of life have also achieved substantial or even doubled performance.
Obviously, after an epidemic, healthier, smarter and better quality has become the “new outlet” of the home appliance industry.
Push new sell high just right, add weight!
If it is said that the release of upgrading demand of stock users is the reason for the rise of high-end quality consumption, then the reason for the release of demand in a short period of one year is inseparable from the original intention of home appliance retailers represented by Jingdong to consistently adhere to the principle of “to be the helper of consumption upgrading and transformation of home appliance industry”.
Supported by this unswerving belief, Jingdong timely put forward a new brand proposition of “rejuvenate your life”, comprehensively promoted the strategy of pushing new products to sell high, and led the home appliance industry to return to the growth channel.
According to the report data, in 2020, the retail volume and retail volume of TVs above 10000 yuan in Jingdong increased by more than 70% year-on-year; the penetration rate of WiFi intelligent air conditioning market increased from 49% in the previous year to 63%; the retail volume and retail volume of 501 l-600 L large volume refrigerators increased by 60% and 57% year-on-year respectively, and the retail volume and retail volume of refrigerators above 20000 yuan soared by 126% and 132% respectively. Clothes dryers have become the biggest dark horse in the washing machine market, and the market demand has expanded greatly, with the retail sales increasing by 87.4%, especially in the second and third tier cities, with the growth rates of 112.6% and 124.3% respectively.
Thanks to the strong stimulation of the platform’s new high-end sales policy, it not only makes high-end household appliances rise like fish in water, but also drives the rapid growth of all kitchen and bathroom appliances and even healthy small appliances that can improve the taste of life.
The data also shows that in 2020, the market scale of dishwasher will accelerate its expansion, with a year-on-year growth of 30.75%; the online retail sales of dishwasher with wireless hand-held vacuum cleaner and electric mop will increase by 1885%; the electric mop will increase by more than 260%; the retail sales of hairdressing appliances will increase by 43%, of which the retail sales of electric hairdresser will increase by 165.8%.
It is the continuous push of new sales high round after round that finally moves more and more users, makes them become loyal fans of quality consumption, and also drives the home appliance brands, making the latter insist on high-end transformation without hesitation.
On top of the tuyere, coupled with the just right promotion by retailers, it is expected that high-end quality home appliances will reap a win-win result with a hundred flowers blooming and the same volume rising.
Consumption upgrading, industrial transformation, speed up!
It is not difficult to find a corner in China’s huge household appliance industry, but it is not easy to pry the market, break the balance, formulate reasonable strategies and lead the household appliance industry into a new growth channel. Innovation is often accompanied by huge risks. What’s more, the opposite of consumption upgrading is the game balance formed long ago in the stock market.
Fortunately, after the epidemic, users’ demand for all kinds of high-end, healthy and high-quality home appliances is increasing day by day, which coincides with the strategy of jd.com to push new high sales. On the other hand, home appliance brands also have the demand of high-end transformation. Finally, the forces of production, supply and demand converged to form a strong torrent to break the equilibrium deadlock.
For the industry, after several rounds of attempts, it finally ushered in the dawn of a higher level: in 2021, China’s home appliance consumer market is expected to usher in a qualitative change in product structure adjustment, thus promoting consumption upgrading and industrial transformation.
More importantly, Jingdong’s strategy of pushing new high sales has a sustainable and executable basis.
At present, the international environment is still unstable and full of uncertainty, and the epidemic situation in Canada has not yet dissipated. It is of great significance to develop domestic circulation and expand domestic consumption. At the same time, in the first year of the 14th five year plan, home appliances and automobiles (including new energy vehicle infrastructure construction) will become the key development direction of the state.
This means that high-end quality is the direction of future policy support, and the above is also a concrete manifestation of the high-quality development of made in China. Therefore, Jingdong’s intensified promotion of new products and high sales not only caters to the demand of terminal consumers, but also captures the opportunity of the times. It will continue to help the upgrading and transformation of the industry, and will also contribute to economic growth and people’s pursuit of innovative products and a better life.
Of course, high-end quality is still very strange to China’s home appliance industry, and it still needs to cross thousands of ravines. Many brands’ understanding of high-end and quality still needs to be improved, and there are still doubts about how to maintain R & D efforts and new frequency.
However, we believe in the power of hard work and hard work. We believe in the perseverance of being cautious and persistent. We believe that as a retailer, Jingdong can find the strength and rhythm of high-end quality home appliances when balancing supply and demand, and help China’s home appliance industry usher in one brilliant moment after another in consumption upgrading and industrial transformation.