By Rhiannon Zanetic

gfk.jpgGood news for the small domestic appliance (SDA) industry, with the European SDA market recording positive results for the first six months of 2010, according to GfK. Sales increased in Western Europe by 6% in comparison to the year prior, while Eastern Europe experienced growth of 7%.

GfK have also presented the latest key market figures from the retail panel in line with the kick off of the IFA 2010 trade fair in Berlin.

According to GfK, “Dynamic markets, innovative products and an altered retail landscape have reshaped the market for small domestic appliances in Western Europe.”

In an uncertain trading period, a constant has been the solid year-on-year growth achieved in the six major Western European countries of Germany, Spain, France, the UK, Italy and the Netherlands. Sales (in euro) for the first half of 2010 are 6% above that of one year prior, while each individual country has also recorded a significant increase.

Vacuum cleaners are leading the race, accumulating almost half of the total sales growth. Food preparation appliances, coffee and espresso machines, men's shavers and epilators are also providing significant stimulus. Sales of premium products over the internet have also increased.

“The market for small domestic appliances has proven to be virtually resistant to the effects of the economic and financial crisis, with the huge variety of products and providers compensating for declines in some areas,” GfK report stated.

Across many product groups, it has been apparent that while consumers are not necessarily purchasing more frequently, they are spending more on new acquisitions, with high grade features and the quality of the model often the deciding factors.

Vacuum cleaners in first place

vacuums_man.jpgThe considerable growth in the vacuum cleaner category is continuing this year, with a 2% increase in units sold and a 9% rise in sales revenue.

Cylinder vacuum cleaners, high-quality bagless appliances in particular have experienced growth, and in a more general sense, a preference for branded products and trading-up are the observable trends among consumers. 

The market is being boosted by the significant rise in demand for robotic vacuum cleaners, which now constitute 3% of total sales, and handstick vacuum cleaners, whose growth is mostly attributable to new products and competitors in the rechargeable handstick segment.

Coffee machines provide stimulus

The coffee and espresso market is currently characterized by innovative products, and consumers accepting these developments, and as a result, altering their drinking habits. While new appliances such as pad and capsule machines have been very popular, the traditional filter coffee machine segment has maintained its level.

Total sales in Western Europe increased by 4% in the first half of 2010 and volume sales growth stands at 2%., according to GfK, attributable to the rising demand among consumers for higher quality appliances. The highest level of growth has been recorded for espresso capsule machines, which saw an 18% increase in sales volume.

Consumers have shown great interest in "single-serve solutions", which offer one cup of coffee or espresso to be quickly and easily prepared. Sales of coffee pad machines have recorded growth of 5%, whereas the segment of fully automatic machines has seen a decline of 6%.

Personal care sees strong sales increase

shavers.jpgThe personal care segment including men's shavers, electric toothbrushes, epilators, hairdryers, hairstyling appliances and hair clippers and other products, has recorded significantly positive growth in comparison to the previous year. Sales have risen by 6% in the six major Western European countries. 

According to GfK, “Following years of stagnation, the largest segment, men's shavers, has seen growth for both the upper end of the entry-level price products and the premium products.”

High-quality products are also in demand in the epilator sector. The trend in the hair removal products is towards more flexible appliances. Increased demand has also been recorded for the product groups of beard trimmers, precision groomers and body groomers.

For many years, hairstyling appliances have been the most dynamic category. The trend is moving away from products that only straighten hair towards models which enable a more flexible styling.