Small appliance sales tipped to surge

Thailand’s 18-billion-baht small appliance sector is set to resume double-digit growth in 2019, influenced by health trends and the ageing population.

Siriwan Nitkitjatorn, general manager for personal health at Philips Thailand Ltd, said the company expects the market value for small appliances this year to reach 21 billion baht, up 16.7% from 2018.

The small appliance sector grew at double-digit rates in the past before gradually declining to single-digit growth in the past four years.

“The continuously growing health trend is boosting demand for small appliances,” Ms Siriwan said.

Small appliance sales in the first half of the year reached 11 billion baht, compared with 9 billion baht in the same period of 2018.

Of the total, 1.54 billion baht was from vacuum cleaners, with irons accounting for 1.73 billion baht, food preparations for 1.62 billion baht, rice cookers for 2.7 billion baht, personal cares for 560 million baht and air purifiers for 2.3 billion baht.

Growth in demand for small appliances in the first half was driven mainly by three product categories: air purifiers, electric fans and vacuum cleaners.

Demand for air purifiers in the first half surged 155% to 2.3 billion baht as a result of air-quality problems in Bangkok and the northern region.

Demand for electric fans grew by 22% to 4 billion baht in the first half, with vacuum demand rising 11% to 1.54 billion baht.

The market value for small appliances in 2018 was 18 billion baht, up 4% from 2017.

Ms Siriwan said Philips sales in the first half of this year fared well, with double-digit growth.

“Healthy lifestyles are growing rapidly along with the expansion of the urban society and the ageing society, therefore Thai consumers are beginning to pay more attention to healthy living,” she said.

Thai consumers are also looking for innovations that will help them take care of their health and make life better, Ms Siriwan said.

The company thus will focus on developing innovations from the standpoint of consumer needs, while marketing will be customised to reach target audiences.

Philips will also renovate store displays and provide interactive screens to help customers gain easy access to information.

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The continuously growing health trend is boosting demand for small appliances. SIRIWAN NITKITJATORN

General manager for personal health, Philips Thailand Ltd