COVID-19 Scenario Analysis
The closure of factories due to the COVID-19 has lead to a great decline in the kitchen appliances’ production. This has created a huge impact on the production scale as well as on the growth of industries that produce kitchen appliances.
The retail stores, shops, and online stores were closed because of global lockdown. Also, it negatively affected the trading of kitchen appliances and, due to which the sales of these products, in countries across the globe, were hampered.
However, the kitchen appliance market is expected to grow by a CAGR of 9%. Incremental growth of $6.16 billion is expected by the year 2024.
It is expected that the sale of kitchen appliances will increase drastically after the worldwide lockdown is lifted, as these products are must-haves in every house.
Factors Impacting: Market Scenario Analysis, Drivers, Trends, and Impact Analysis
An increase in the demand of consumers for products that are energy efficient and an increase in the cost of fossil fuels have become the main factors that are influencing companies to invest more in the research and development in order to come up with new kitchen appliances.
Changes in the lifestyle of people demand more efficient appliances because of urbanization for saving more time and putting less effort. Also, an increase in disposable income in economies that are developing, such as Mexico, South Africa, India, has led to an increased demand for advanced technology kitchen appliances. And this increased demand for innovative kitchen appliances will serve as the key drivers in the growth of kitchen appliances market post-COVID.
The global smart kitchen market trends are:
Adoption of Advanced Technology
Kitchen appliances companies are investing a huge sum of money in research and development of new and smart products in bringing innovations and technologies. Such as Samsung has introduced the latest hub refrigerator that has AI-based features and It offers customized meal planning and suggestions of recipes according to the users’ choices.
Potential Markets
The North American market is anticipated to grow as the consumers’ tastes and preferences are changing, also because of the advanced technology coupled with an increase in small grid projects. According to reports, 33% of the growth in the kitchen appliances market will stem from North America alone. Significant growth will also be seen in Asia Pacific, Middle East, Latin America, Europe, and Africa.