E-commerce Household Appliances Market Worth $148.6 Billion By 2028

E-commerce Household Appliances Market Growth & Trends

The global e-commerce household appliances market size is expected to reach USD 148.6 billion by 2028, registering a CAGR of 4.8% over the forecast period, according to a new report by Grand View Research, Inc. This can be attributed to the growing demand for household appliances on e-commerce portals from developed as well as developing countries. Integration of communication and advanced technology to build convenient and energy-efficient appliances for improved lifestyles are some factors anticipated to drive the growth of this target market. Furthermore, the ease of access to consumers by online payment banking solutions such as online banking, UPI, debit and credit cards, etc. is expected to further drive the demand for online platforms.

Increasing needs for differentiated services and products have led to a surge in investments in research and development activities. The augmented number of dual-income households along with insufficient time for cleaning of house and food preparations has led to the growing demand for household appliances. Additionally, energy efficiency policies and energy labels have empowered manufacturers to focus on the improvement of energy-efficient products. All these factors are expected to drive the growth of this market in the coming years. A recent trend observed in this market is manufacturers are continuously modifying and developing these products to provide an easy lifestyle to tech-savvy customers. Recently in 2021, Samsung Electronics Co., Ltd. has expanded its smart home offerings with a new line of robot vacuums and a Bespoke smart refrigerator.

The growing home improvement and remodeling activities across the globe may provide a long-term opportunity for advanced home appliances. The rising urbanization and modernization rate are further driving the growth of this target market. Retail stores and showrooms of major brands, supermarkets, and hypermarkets have been closed for some time, which in turn, affected sales of various consumer electronics products. For instance, in 2020, Samsung Electronics America temporarily closed all of its stores in the U.S. and Canada. Before Covid-19 hit, e-commerce was poised to transform the white goods industry. But the pandemic is accelerating change. Consumers are focusing on online platforms to buy everything, including large household appliances. The direct-to-consumer channel is now powering an increasing number of major appliance sales, putting enormous pressure on manufacturers to reshape their growth strategies.

Manufacturers are focusing to update their digital sales and marketing to maintain their share in this target market. Leading manufacturers are rapidly developing omnichannel retail strategies to compete in an increasingly digital marketplace. In addition to traditional retail stores, they are also starting to partner with leading online platforms such as Amazon and Alibaba, as well as local and regional challenges, and are also investing in well-designed direct-to-consumer channels. At the same time, they are accelerating the development of connected devices that will lay the foundation for a wide range of digital services in the future. These first movers aim to use digital tools to build loyalty, build lifelong customer relationships, strengthen brand image and capture a major share in after-sales services.

The white goods type segment is projected to show lucrative growth in this market during the forecast period. The white goods segment includes washing machines, dishwashers, refrigerators, and washer-dryers. This growth is attributed to the cumulative demand for these products in developed regions such as North America and Europe. The increasing number of households and rapid development are also some of the important factors that will boost the growth of the segment in the coming years.

Europe is anticipated to show good growth in this market during the forecast period. The growing demand and supply of these products in these areas, coupled with a strong and distributed network, is anticipated to generate opportunities for product manufacturers in the coming future. The growth of the market in this region is accredited to the presence of strong internet penetration. The rising trend of replacement of home appliances among the population is further driving the market growth. Additionally, increasing consumption of dishwasher items in the countries such as the U.K., Italy, and France has led to an increase in the revenues of such products in the region. For instance, as per the document published by the Association of the Manufactures of Domestic Appliances, around 49% of the U.K. population own dishwashers.

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E-Commerce Household Appliances Market Report Highlights

• North America is expected to show the fastest CAGR of 5.4% from 2022 to 2028 owing to escalating demand for different types of household appliances from e-commerce platforms

• The white goods type segment contributed to the highest revenue share of around 80.0% in 2021 owing to rising demand for refrigerators and washing machines

• Asia Pacific dominated the market and accounted for a revenue share of over 35.0% in 2021 as a result of the growing number of households and increasing disposable income in the region

E-commerce Household Appliances Market Segmentation

Grand View Research has segmented the global e-commerce household appliances market on the basis of type and region:

E-Commerce Household Appliances Type Outlook (Revenue, USD Million, 2017 - 2028)

• White Goods

• Small Electric Home Appliances

E-Commerce Household Appliances Regional Outlook (Revenue, USD Million, 2017 - 2028)

• North America

  • U.S.

• Europe

  • Germany

  • U.K.

  • France

• Asia Pacific

  • China

  • Japan

• Central & South America

  • Brazil

• Middle East & Africa

  • South Africa

List of Key Players of E-commerce Household Appliances Market

• Walmart, Inc.

• Amazon, Inc.

• JD.com

• Alibaba

• eBay.com 

• Flipkart

• Shopify