Residential Washing Machine Market Analysis Report By Product, By Capacity, By Technology, By Distribution Channel And Segment Forecasts From 2019 To 2025

Industry Insights

The global residential washing machine market size was worth USD 14.9 billion in the year 2018. The rising awareness about household luxury is poised to be the major driver for market growth. Moreover, rapid urbanization along with the launch of innovative and advanced household solutions is expected to surge the product demand.

In recent years, with a substantial increase in urbanization, the sales of white goods like washing machines, air conditioners, and refrigerators have also increased. Additionally, lifestyle changes coupled with better electricity infrastructure across urban and rural areas in emerging economies like China, India, Sri Lanka, and Indonesia have propelled the demand for residential washing machines.

The launch of advanced technologies has changed consumer behavior about home appliances, as these are not just for utility purposes but a necessity of the present times. This trend is likely to augment the product demand over the forecast years.

The key manufacturing organizations like Samsung Electronics Co. Ltd.; Whirlpool Corporation; LG Electronics Inc.; IFB Industries Ltd; and BSH Home Appliances Group emphasize technological advancements to enhance their market presence. The launch of products incorporated with technologies like water consumption and low-energy technology and the Internet of Things(IoT) is projected to boost the product demand primarily in the established markets of North America and Europe.

Moreover, increasing government expenditure on rural household development in developing countries of Asia Pacific like Indonesia, China, and India is poised to open new avenues for the market in the near future.

Product Insights

A fully automatic washing machine is anticipated to register the fastest growth with a CAGR of 6.3% over the forecast period due to easy operation and limited human intervention for operating the product. Additionally, the segment is expected to witness substantial growth in the upcoming years due to its ability to provide high energy efficiency and improved stain removal, unlike semi-automatic products. Manufacturers aim at technological innovation, product development, and widening their manufacturing facilities to adhere to the rising demand.

For example, Godrej Appliances, in June 2018, established a manufacturing unit in Mohali, India, which registers an annual production capacity of four to six lakh units. The organization aims at expanding its capacity to fulfill the rising regional demand.

Capacity Insights

Washing machines with a capacity of 6 to 8 kg held the largest segment accounting for a share of 46.6% of the overall market in 2018. Additionally, the segment is poised to grow at the fastest rate with a CAGR of 6.3% over the projected period as the demand for this load capacity is higher in comparison to others for household use. Key manufacturers like Whirlpool Corporation and IFB Industries Ltd. are introducing a variety of washing machines in the range of 6 kg to 8 kg capacity to enhance their portfolio. These new product launches are anticipated to stimulate demand in the near future.

Technology Insights

Top load washing machines held the largest segment with a share of 51.3% of the overall market in 2018. These products are inexpensive and need minimum space, which makes them highly preferred among consumers of the emerging economies of Vietnam, Sri Lanka, and Indonesia. Moreover, the launch of new products is expected to create lucrative opportunities for the product. For example, PT Sharp Electronics Indonesia, in April 2017, introduced twin-tube and top load washing machines with a capacity range of 14 kg, 9 kg, 7 kg, and 6 kg.

Meanwhile, front load washing machines are becoming popular among consumers due to their energy efficiency, drying time, less water consumption, and durability. This segment is projected to witness a high CAGR from 2019 to 2025.

Distribution channel Insights

The offline channel held the largest market share of 69.1% in 2018. The key manufacturers like Samsung Electronics Co. Ltd., LG Electronics Inc., IFB Industries Ltd., and Whirlpool Corporation have their personal exclusive outlets. In recent years, these organizations have been aggressively spending in emerging countries like Thailand, Taiwan, and India for establishing new stores and expanding their distribution channel to acquire a competitive edge. For example, Whirlpool Corporation, in February 2015, made the announcement to open a range of 15 showrooms across India investing over USD 226 million by 2017.

The online distribution channel is expected to witness the fastest growth with a CAGR of 6.6% over the forecast period due to higher internet usage in countries like China and India. The online distribution channel ensures a higher reach of the company with a larger customer base. Additionally, it offers product price, comparison, coupled with timely delivery and easy returns. The key players have opted for market strategies like celebrity marketing and product advertisement to acquire a larger customer base. Flipkart in India which is now a subsidiary of Walmart, often introduces discount schemes to increase its online sales, thus, driving the growth of the residential washing machine market.

Regional Insights

Asia Pacific is anticipated to witness the fastest growth with a CAGR of 6.4% over the forecast period due to the product launches in emerging nations such as Sri Lanka, Indonesia, and India with innovative products and superior technologies. For example, Xiaomi Global Community, in December 2018, introduced the fully automatic washing machine in China incorporated with the latest BLDC variable frequency motor and a capacity of 10 kg. The product is priced at nearly USD 290.

North America accounted for revenue worth USD 3 billion in 2018. Increasing awareness regarding households’ cleanliness across Canada and U.S. is anticipated to stimulate the utility of this product. Moreover, increasing penetration of small gadgets in these countries due to large–scale brand campaigns by manufacturers is likely to augment the new product launches such as front-loading machines equipped with digital inverter motors.

Residential Washing Machine Market Share Insights

The key manufacturers include Whirlpool Corporation; LG Electronics Inc.; BSH Home Appliances Group, and Samsung Electronics Co. Ltd. The industry is consolidated due to a large number of established players. Furthermore, new companies like Xiaomi Global Community are entering the market with advanced technologies at competitive rates.

Market players are focusing on strategies like mergers and acquisitions, new product launches, expansion of distribution channels, and technological advancements to increase their business potential. For example, Samsung Electronics Co. Ltd., in February 2018, made the announcement of launching IoT equipped washing machine incorporated with the Bixby AI interface. These strategies enable a considerable rise in the demand for washing machines.

Market players are enhancing their product visibility, especially across developed nations to acquire a larger customer base. The development of R&D institutions for product innovation along with strategic partnerships with various companies to introduce new advanced products according to the needs of the customer is the major success factor.

Report Scope

Segments Covered in the Report 

This report forecasts revenue growth at global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2015 to 2025. For the purpose of this study, Million Insights has segmented the global residential washing machine market report on the basis of product, capacity, technology, distribution channel, and region:

• Product Outlook (Revenue, USD Million, 2015 - 2025)
    • Fully Automatic
    • Semi-automatic
 
• Capacity Outlook (Revenue, USD Million, 2015 - 2025)
    • Below 6 kg
    • 6 to 8 kg
    • Above 8 kg

• Technology Outlook (Revenue, USD Million, 2015 - 2025)
    • Top Load
    • Front Load

• Distribution channel Outlook (Revenue, USD Million, 2015 - 2025)
    • Offline
    • Online

• Regional Outlook (Revenue, USD Million, 2015 - 2025)
    • North America
        • U.S.
    • Europe
        • U.K.
        • Germany
    • the Asia Pacific
        • China
        • India
    • Central & South America
        • Brazil
    • Middle East & Africa
        • South Africa