White Goods - UK - June 2009

Table of Contents

• Issues in the Market
• Key themes
• Definitions
• Abbreviations
• Market in Brief
• Recession hits home
• Pressure increases on manufacturers and retailers
• Distribution goes multichannel
• Energy efficiency rises up agenda
• Strong brands and plenty of innovation
• Better prospects in the medium term
• Internal Market Environment
• Key points
• Ownership of white goods
  • Figure 1: Ownership of large domestic kitchen appliances, 2004-08
• Price inflation/deflation
  • Figure 2: Retail price inflation in white goods, 2004-08
• Foreign trade in white goods
  • Figure 3: Imports and exports (and trade balance) for white goods, UK, 2004-08
• Replacement cycles
• Recycling of old appliances
• Energy labelling
• Broader Market Environment
• Key points
• Discretionary spending hit by recession
  • Figure 4: Trends in GDP, PDI, consumer expenditure and savings, at current prices, 2004-14
• Slump in the housing market
  • Figure 5: UK housing market -- number of transactions, average house prices and number of years between moves, 2004-09
• Smaller households, but bigger appliances
  • Figure 6: UK households and size of households, 2004, 2009 and 2014
• Numbers in key buying group set to increase
  • Figure 7: Structure of the UK population, by age,, 2004, 2009 and 2014
  • Figure 8: Structure of the UK population, by socio-economic group, 2004, 2009 and 2014
• Internet penetration
  • Figure 9: Internet penetration at home/work/place of study or elsewhere in GB, by gender, age, and socio-economic group, 2003-09
• Lifestyle factors
  • Figure 10: Agreement with attitudinal statements, 2004-08
• Competitive Context
• Key points
• Spending on household goods
  • Figure 11: Comparison of white goods with other household and technology markets, 2004-08
• Spending priorities
  • Figure 12: Expenditure priorities, 2007-09
• Strengths and Weaknesses in the Market
• Strengths
• Weaknesses
• Market Size and Forecast
• Key points
• Recession and slump in housing market hits home
  • Figure 13: Retail value sales of the white goods market, 2004-14
• Larger, quieter, more stylish and energy-efficient
• The future
• Segment Performance
• Key points
• Cookers and microwaves
  • Figure 14: UK retail sales of cookers and microwaves, by volume and value, 2004-14
• Fridges and freezers
  • Figure 15: UK retail sales of fridges and freezers, by volume and value, 2004-14
• Laundry appliances and dishwashers
  • Figure 16: UK retail sales of laundry appliances and dishwashers, by volume and value, 2004-14
• Market Shares
• Key points
• Cookers
  • Figure 17: Estimated UK manufacturers' shares for cookers, by volume, 2007 and 2008
• Fridges and freezers
  • Figure 18: Estimated UK manufacturers' shares for fridges/fridge-freezers, by volume, 2007 and 2008
  • Figure 19: Estimated UK manufacturers' shares for freezers, by volume, 2007 and 2008
• Laundry appliances
  • Figure 20: Estimated UK manufacturers' shares for washing machines (including washer-dryers), by volume, 2007 and 2008
  • Figure 21: Estimated UK manufacturers' shares for clothes dryers, by volume, 2007 and 2008
• Dishwashers
  • Figure 22: Estimated UK manufacturers' shares for dishwashers, by volume, 2007 and 2008
• Companies and Brands
  • Figure 23: Leading companies in the white goods market and their brands, 2009
• Major players
• Beko
• BSH Group
• Candy/Hoover
• Electrolux Group
• Indesit
• Glen Dimplex Home Appliances
• Panasonic
• Sharp Electronics
• Whirlpool
• Other companies
• Brand Communication and Promotion
• Key points
• Advertising of white goods
  • Figure 34: Total main media advertising expenditure on white goods, 2005-08
• Leading advertisers
  • Figure 35: Main media advertising expenditure on white goods, by advertiser, 2006-08
• Breakdown by category
  • Figure 36: Main media advertsing on white goods, by category, 2006-08
• Breakdown by media
  • Figure 37: Main media advertsing on white goods, by media type, 2008
• Generic advertising for large appliances
  • Figure 38: Main media advertising expenditure on large appliances ranges/large appliances general, by advertiser, 2005-08
  • Figure 39: Main media advertising on large appliances general/large appliances ranges, by media type, 2008
• Channels to Market
• Key points
• Electrical chains go multichannel to maintain share
• Supermarkets and Argos expand offer
  • Figure 40: Retail distribution of the UK market for white goods, 2006-08
• Consumer Purchasing Patterns
• Key points
• Gas for hobs, electric for ovens
  • Figure 41: Purchasing of electric cookers, ovens and hobs, 2004-08
  • Figure 42: Purchasing of gas cookers/hobs, 2004-08
• Microwaves a mature, replacement-driven market
  • Figure 43: Purchasing of microwaves, 2004-08
• Fridge-freezers gain at the expense of standalone
  • Figure 44: Purchasing of fridges and freezers, 2004-08
• Dip in purchasing across laundry and dishwashing
  • Figure 45: Purchasing of laundry appliances and dishwashers, 2004-08
• Where They Buy and Influences on Brand Choice
• Key points
• Sources of purchase for white goods
  • Figure 46: Outlets used for buying large kitchen appliances, March 2009
• Electrical chains still lead the market
• Non-specialists increase their presence
• Supermarkets a growing threat going forward
• Women key purchasers of white goods
• Factors important when making choice of brand
  • Figure 47: Factors important when choosing brand or make of large kitchen appliance, March 2009
• Reputation of brand key to success
• Proving your eco credentials
• Impress your friends with a new appliance
• Blending in with the kitchen
• Good service has its benefits
• Cheapest not always the best option
• Little difference in factors that appeal between retailers
  • Figure 48: Factors important when choosing brand or make of large kitchen appliance, by outlets used for buying large kitchen appliances, March 2009
• Appendix -- Internal Market Environment
  • Figure 54: Ownership of large domestic appliances, by demographics, 2008
  • Figure 55: Ownership of large domestic appliances, by demographics, 2008
• Appendix -- Broader Market Environment
  • Figure 56: Agreement with attitudinal statements, by demographics, 2008
• Appendix -- Consumer Purchasing Patterns
  • Figure 57: Purchasing of large domestic appliances in last 12 months, by demographics, 2008
  • Figure 58: Purchasing of large domestic appliances in last 12 months, by demographics, 2008
  • Figure 59: Total amount spent on cooking appliances in last 12 months, 2004-08
  • Figure 60: Total amount spent on cooling appliances in last 12 months, 2004-08
  • Figure 61: Total amount spent on laundry appliances and dishwashers in last 12 months, 2004-08
• Appendix -- Where They Buy and Influences on Brand Choice
  • Figure 62: Outlets used for buying large kitchen appliances, by demographics, March 2009
  • Figure 63: Factors important when choosing brand or make of large kitchen appliance, by demographics, March 2009
  • Figure 64: Factors important when choosing brand or make of large kitchen appliance, by demographics, March 2009Issues in the Market
• Key themes
• Definitions
• Abbreviations
• Market in Brief
• Recession hits home
• Pressure increases on manufacturers and retailers
• Distribution goes multichannel
• Energy efficiency rises up agenda
• Strong brands and plenty of innovation
• Better prospects in the medium term
• Internal Market Environment
• Key points
• Ownership of white goods
  • Figure 1: Ownership of large domestic kitchen appliances, 2004-08
• Price inflation/deflation
  • Figure 2: Retail price inflation in white goods, 2004-08
• Foreign trade in white goods
  • Figure 3: Imports and exports (and trade balance) for white goods, UK, 2004-08
• Replacement cycles
• Recycling of old appliances
• Energy labelling
• Broader Market Environment
• Key points
• Discretionary spending hit by recession
  • Figure 4: Trends in GDP, PDI, consumer expenditure and savings, at current prices, 2004-14
• Slump in the housing market
  • Figure 5: UK housing market -- number of transactions, average house prices and number of years between moves, 2004-09
• Smaller households, but bigger appliances
  • Figure 6: UK households and size of households, 2004, 2009 and 2014
• Numbers in key buying group set to increase
  • Figure 7: Structure of the UK population, by age,, 2004, 2009 and 2014
  • Figure 8: Structure of the UK population, by socio-economic group, 2004, 2009 and 2014
• Internet penetration
  • Figure 9: Internet penetration at home/work/place of study or elsewhere in GB, by gender, age, and socio-economic group, 2003-09
• Lifestyle factors
  • Figure 10: Agreement with attitudinal statements, 2004-08
• Competitive Context
• Key points
• Spending on household goods
  • Figure 11: Comparison of white goods with other household and technology markets, 2004-08
• Spending priorities
  • Figure 12: Expenditure priorities, 2007-09
• Strengths and Weaknesses in the Market
• Strengths
• Weaknesses
• Market Size and Forecast
• Key points
• Recession and slump in housing market hits home
  • Figure 13: Retail value sales of the white goods market, 2004-14
• Larger, quieter, more stylish and energy-efficient
• The future
• Segment Performance
• Key points
• Cookers and microwaves
  • Figure 14: UK retail sales of cookers and microwaves, by volume and value, 2004-14
• Fridges and freezers
  • Figure 15: UK retail sales of fridges and freezers, by volume and value, 2004-14
• Laundry appliances and dishwashers
  • Figure 16: UK retail sales of laundry appliances and dishwashers, by volume and value, 2004-14
• Market Shares
• Key points
• Cookers
  • Figure 17: Estimated UK manufacturers' shares for cookers, by volume, 2007 and 2008
• Fridges and freezers
  • Figure 18: Estimated UK manufacturers' shares for fridges/fridge-freezers, by volume, 2007 and 2008
  • Figure 19: Estimated UK manufacturers' shares for freezers, by volume, 2007 and 2008
• Laundry appliances
  • Figure 20: Estimated UK manufacturers' shares for washing machines (including washer-dryers), by volume, 2007 and 2008
  • Figure 21: Estimated UK manufacturers' shares for clothes dryers, by volume, 2007 and 2008
• Dishwashers
  • Figure 22: Estimated UK manufacturers' shares for dishwashers, by volume, 2007 and 2008
• Companies and Brands
  • Figure 23: Leading companies in the white goods market and their brands, 2009
• Major players
• Beko
• BSH Group
• Candy/Hoover
• Electrolux Group
• Indesit
• Glen Dimplex Home Appliances
• Panasonic
• Sharp Electronics
• Whirlpool
• Other companies
• Brand Communication and Promotion
• Key points
• Advertising of white goods
  • Figure 34: Total main media advertising expenditure on white goods, 2005-08
• Leading advertisers
  • Figure 35: Main media advertising expenditure on white goods, by advertiser, 2006-08
• Breakdown by category
  • Figure 36: Main media advertsing on white goods, by category, 2006-08
• Breakdown by media
  • Figure 37: Main media advertsing on white goods, by media type, 2008
• Generic advertising for large appliances
  • Figure 38: Main media advertising expenditure on large appliances ranges/large appliances general, by advertiser, 2005-08
  • Figure 39: Main media advertising on large appliances general/large appliances ranges, by media type, 2008
• Channels to Market
• Key points
• Electrical chains go multichannel to maintain share
• Supermarkets and Argos expand offer
  • Figure 40: Retail distribution of the UK market for white goods, 2006-08
• Consumer Purchasing Patterns
• Key points
• Gas for hobs, electric for ovens
  • Figure 41: Purchasing of electric cookers, ovens and hobs, 2004-08
  • Figure 42: Purchasing of gas cookers/hobs, 2004-08
• Microwaves a mature, replacement-driven market
  • Figure 43: Purchasing of microwaves, 2004-08
• Fridge-freezers gain at the expense of standalone
  • Figure 44: Purchasing of fridges and freezers, 2004-08
• Dip in purchasing across laundry and dishwashing
  • Figure 45: Purchasing of laundry appliances and dishwashers, 2004-08
• Where They Buy and Influences on Brand Choice
• Key points
• Sources of purchase for white goods
  • Figure 46: Outlets used for buying large kitchen appliances, March 2009
• Electrical chains still lead the market
• Non-specialists increase their presence
• Supermarkets a growing threat going forward
• Women key purchasers of white goods
• Factors important when making choice of brand
  • Figure 47: Factors important when choosing brand or make of large kitchen appliance, March 2009
• Reputation of brand key to success
• Proving your eco credentials
• Impress your friends with a new appliance
• Blending in with the kitchen
• Good service has its benefits
• Cheapest not always the best option
• Little difference in factors that appeal between retailers
  • Figure 48: Factors important when choosing brand or make of large kitchen appliance, by outlets used for buying large kitchen appliances, March 2009
• Appendix -- Internal Market Environment
  • Figure 54: Ownership of large domestic appliances, by demographics, 2008
  • Figure 55: Ownership of large domestic appliances, by demographics, 2008
• Appendix -- Broader Market Environment
  • Figure 56: Agreement with attitudinal statements, by demographics, 2008
• Appendix -- Consumer Purchasing Patterns
  • Figure 57: Purchasing of large domestic appliances in last 12 months, by demographics, 2008
  • Figure 58: Purchasing of large domestic appliances in last 12 months, by demographics, 2008
  • Figure 59: Total amount spent on cooking appliances in last 12 months, 2004-08
  • Figure 60: Total amount spent on cooling appliances in last 12 months, 2004-08
  • Figure 61: Total amount spent on laundry appliances and dishwashers in last 12 months, 2004-08
• Appendix -- Where They Buy and Influences on Brand Choice
  • Figure 62: Outlets used for buying large kitchen appliances, by demographics, March 2009
  • Figure 63: Factors important when choosing brand or make of large kitchen appliance, by demographics, March 2009
  • Figure 64: Factors important when choosing brand or make of large kitchen appliance, by demographics, March 2009