Asia Pacific is the most populous region in the world constituting more than 45% of the total population. It is fastest growing region in the world. Most of the countries in the region are politically stable and economically robust. People have become more affluent and there is significant rise in personal disposable income. A large appliance which was considered a luxury in most of the emerging countries has now become necessity.
Market is largely dominated by Korean, Chinese and Japanese brands in the region including Samsung, LG, Haier, Gree, Videocon, Midea, TCL, Hisense and many others. Japanese brands have reputation being good quality and Chinese goods are relatively among the cheapest. Korean brands are a blend of two providing better quality at reasonable cost. Market for large appliances is very closely related to the consumer confidence of the people in the country.
Availability of higher personal income Which is another important factor affecting the sales of large appliances have shown continuous rise in the period of time for most of the developing countries in the region. Market for large appliances was estimated at USD ~ billion in 2015. In 2012 market was estimated at ~ billion and has registered continuous growth till 2014 when it achieved its peak value of USD ~ billion before declining in 2015.
Rising urbanization, shift towards manufacturing and services based economy, and improving social indicators, rise in wages were the major factors promoting the sales of large appliances in the region. Demand for basic and economical product was high in demand in emerging countries as majority of the people are in middle income group who are very price conscious. Government policies and growing awareness about environment friendly products played a major role for increased demand for large appliances in the region.
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Ankur Gupta, Head Marketing & Communications