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Ecommerce drives growth of UK’s consumer appliances market

By Dave Howard

Despite the unstable economic climate in the UK, the home appliances market has continued to achieve year-on-year growth over the past five years – the market value is estimated to have increased by 9.2 percent between 2010 and 2014 (Research and Markets).

The total UK market for electrical appliances is estimated to be worth £4.4 billion for 2015-16, of which imported foreign goods account for 69.3 percent. Electrical appliance manufacturers in the UK are challenged by relatively high labour costs, and industry analysts predict a compound annual growth rate of 1.5 percent, compared to the overall economy rate of 2.1 percent through 2020-21 (IBISWorld).

annual expenditure on household appliancesAnnual expenditure on household appliances in the United Kingdom from 2005 to 2014, based on volume (Source: Statista)


There are many factors which have impacted upon the growth of the consumer appliance market; a major factor is the slow recovery of the housing market and subsequent home renovation trend which has created demand for appliances.

Consumers’ desire for convenience, coupled with improved technology and manufacturer focus on the development of premium, time-saving appliances has also been key to the growth.

The means by which shoppers can now purchase appliances has also driven growth. The proliferation of ecommerce has enabled shoppers to easily search for, compare and find the exact items they want from a wider and more competitively priced range and have them delivered straight to their door. The growing popularity of appliance shopping online has dramatically increased competition and many electrical and appliance specialists have been driven online by the competitive pure play retailers.

Optimising ecommerce channels will drive future growth

Despite the growing popularity of pure play online retailers, specialist electrical and appliance retailers continue to dominate the category in terms of value sales. However, appliance retailers must ensure that to fully capitalise upon the further growth opportunities offered by online retail they must have robust ecommerce strategies in place.

To position products effectively online, brands and retailers must ensure that all product information is complete and accurate. If a shopper cannot easily find a product on a retailer’s website, they are all too easily able to navigate away to a competitor product or store and the sale is lost. Products need to be easily discoverable, full descriptions are a must, and accurate, up-to-date product images greatly improve shopper consideration.

In the general merchandise marketplace customer reviews are especially important in driving online sales. The shopper cannot gauge the quality of the product on sight, and there is not a persuasive salesperson to nudge them along the path to purchase, so instead shoppers turn to, and trust, fellow shoppers’ reviews. If a retailer neglects to include product reviews and ratings on its website then it risks losing the trust of the shopper, and in turn sales.

Brand View

Brand View continues to increase its comprehensive coverage of the UK’s consumer appliances market, collecting price, promotions and online product positioning data from bhsdirect.co.uk, appliance-world.co.ukmarkselectrical.co.uk,
idealkit.co.uk and myappliances.co.uk.


To find out how to add these ecommerce sites to your analysis, speak to your account manager today or email sales@brandview.com