White goods include heavy, consumer durable products such as freezers, refrigerators, water heaters, air-conditioning units, washing machines, and other domestic as well as commercial, large-sized appliances. A majority of these products are ideally painted in white enamel finish. Though these products are available in varied colors, they are still recognized as white goods. The white goods market is undergoing significant transformation, owing to entry of several mid-sized players in the market. The degree of competition in terms of price among small brands worldwide is increasing. Growing presence of Asia-based players across the globe led by strong growth of the market in the region and strategic acquisitions worldwide are a few trends being witnessed in the market. A majority of brands of consumer durable products based in China and South Korea hold 63% share of the global white goods market. Availability of inexpensive labor is ultimately helping in the manufacture of final products at a significantly low cost.
The global white goods market is anticipated to expand at a prominent rate in the near future. Increase in the disposable income has been one of the key factors driving the white goods market. Additionally, increase in use of white goods for entertainment, luxury, and R&D purposes is boosting the market. Additionally, emergence of e-commerce platforms coupled with easy payment options has resulted in rise in sales of white good. This platform has helped consumers select products from a variety of manufacturers at an affordable price. This has boosted the demand for white goods.
However, rising concerns about global warming led by increasing emissions of greenhouse gases (GHGs) from several white goods are restraining the white goods market. Usage of refrigerators, air-conditioning units, etc. results in depletion of the ozone layer, global warming, increased health risks, and rising seawater levels. However, manufacturers of consumer appliances are coming up with eco-friendly products. Products that consume low energy, enhanced safety standards, and IoT-connected devices are becoming popular in the market. This becomes good opportunity as these product are environment friendly and well accepted in the market.
The global white goods market can be segmented based on product, end-use application, distribution channel, and region. Based on product, the global market can be classified into refrigerators, washing machines, air-conditioners, microwave ovens, dishwashers, vacuum cleaners, and others. Based on end-use application, the market can be divided into residential and commercial. The commercial segment can be sub-classified into hotels & restaurants and ice cream parlors. According to distribution channel, the global white goods market can be segmented into online and offline. The online segment can be sub-divided into company-owned portals and e-commerce sites, whereas the offline segment can be sub-divided into supermarkets & hypermarkets, specialty stores, and retail-based stores. In terms of region, the global white goods market can be categorized into North America, Europe, Asia Pacific, Middle East & Africa, and South Africa. North America and Europe hold a major market share, owing to presence of numerous players in these regions. However, Asia-based companies are thriving the global market.
Prominent players operating in the global white goods market are Lloyd Electric & Engineering Limited (India), Whirlpool Corporation (the U.S.), Johnson Controls International Plc (Ireland), LG Electronics Inc. (South Korea), Samsung Electronics Co., Ltd. (South Korea), Sony Corporation (Japan), Panasonic Corporation (Japan), and Koninklijke Philips N.V. (the Netherlands). Players compete with one another in terms of new product designs and advancements in technology in order to attain a competitive edge in the market. Advancements in technology and strong geographical presence play important role for these players in gaining a competitive edge in the market.
This post was originally published on Journalism Trends