Integrated In Demand As Retailers Survive On Replacement Appliances, New Housing Set To Save Market

The appliance market is wobbling, Swedish brand Electrolux is struggling and Miele, who could only manage to launch a cheap stick vac and a copy of LG’s and Samsungs clothes cabinet at IFA 2024, is struggling to grow in a depressed market, which researchers claim is facing a tough time in 2024 but face a big upside from 2025 as demand for new houses soars.

According to Grand View Research, the global built-in kitchen appliances market, is worth A22.8 billion with retailers currently relying on replacement sales for end-of-life appliances to be a key driver in 2024.

The remaining market is set to be driven by aesthetics, modular kitchen improvements, and consumers looking for space-saving solutions, and new smart home technology like what Samsung is currently introducing in Australia.

The increasing adoption of smart home devices is driving demand for built-in kitchen appliances claims GVR.

These appliances allow homeowners to control their appliances remotely through their smartphones or voice-activated assistants, enhancing the convenience and efficiency of the kitchen experience especially for younger people who are technology savvy.Another market is the working population who are tech savvy but have busy working schedules.

The rise in demand for optimal space utilization is especially strong among an older audience who are downsizing.

One of the primary advantages of built-in appliances is the ability to save space in kitchens with limited surface areas.

In Australia one of the key brands offering integrated appliances is Fisher and Paykel as well as LG and Samsung with their Bespoke appliances.

The growing trend of remodelling traditional kitchens to modular kitchens with integrated energy-efficient appliances is growing according to researchers.

What’s key is appliances that can blend seamlessly with cabinetry, creating a cohesive and streamlined look.

GVR claims that the COVID-19 pandemic had a significant impact on many industries, including the built-in kitchen market.

With the implementation of lockdowns and social distancing measures, people were spending more time at home, which led to an increased demand for home improvement projects, including kitchen renovations.

This era is now over with mass appliance retailers and custom appliance retailers facing a declining market in Australia.

In Australia, the pandemic disrupted supply chains and caused shortages of raw materials and products, which led to delays in construction and increased costs.

Now the economic downturn has led to decreased consumer confidence and spending, which is affecting demand for higher-end kitchen products.

Researchers claim that refrigerators are a necessity in most households, and a built-in refrigerator can save space in the kitchen by integrating the fridge into the cabinetry, it can also create a seamless look and free up floor space.

Built-in refrigerators typically offer a larger storage capacity compared to other built-in appliances, such as ovens or dishwashers.

These types of appliances often have more features, such as humidity controls and adjustable shelves.

Technological advancements in built-in refrigerators are also driving demand.

Earlier this year Samsung launched its new range of Bespoke refrigerators with a side-by-side model.

By introducing a range of refrigerator models that can be tailored to fit the specific design and functionality requirements of consumers Samsung believe they grow market share. This week they launched a new range of high-tech cooking appliances.

Researchers claim that the Asia Pacific appliance market is expected to grow at the fastest CAGR of 8.8%, over the forecast period 2023-20230 due to the increasing popularity of built-in kitchen appliances, the increasing purchasing power of consumers, and the growing working women population.

Several research Companies claim that after a “poor” 2024 the market will start to boom as new housing is bought online in Australia with demand for appliances via commercial channels set to soar as builders’ scope in new high-tech appliances.