Samsung eyes new opportunities as COVID-19 ignites demand for home appliances

Platform News: Samsung Electronics retail store for smartphones and other hardware

From sanitising closets to custom fridges, the COVID-19 pandemic has fanned requirement for home appliances so much so that Samsung Electronics is incorporating warehouses and bringing its hottest white goods and devices to more markets.

In particular, customers are willing to splurge on products which make their homes cleaner.

In Brazil and other emerging markets, households which once relied on maids are now investing in grills and robot vacuum cleaners, while Samsung states its overseas sales of air purifiers jumped over five occasions in January-July in comparison to the identical period this past year.

Samsung’s AirDresser, a closet that steam cleans clothing and kills bacteria, has witnessed a spike in sales with UK furniture business Lux Group ordering 1,000 before this year. Big fridges have also climbed in popularity as individuals cooking more frequently at home hunt more freezer space.

“Sales are doing well in all but a few countries,” Lee Jae-seung, EVP of Samsung Electronics digital appliance business, told journalists at our partner news agency Reuters in an interview.

He said factories for Samsung’s appliances business in the US, Mexico, Poland, India and other countries were running at full capacity and the company was seeking more warehouse space in the United States, South Korea and across Europe.

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“There was lots of pent-up demand in the US and elsewhere,” Lee said. He added that many consumers seemed willing to spend money they might have otherwise used on trips and outdoor activities to upgrade their household interiors.

In its home market, Samsung’s “Bespoke” refrigerators drove its fridge sales up 30% in the first half from precisely the same period a year ago. The fridges, that come in a vast assortment of compartment sizes, panel kinds and colours that can be mixed and matched, were launched in China and Russia this year and will be sold in northern Europe from October.

Samsung doesn’t disclose home blower earnings, but according to UBS, its home appliance firm made an operating profit of 337 billion won (approximately $284.48 million) from the April-June quarter, up about 30% from a year earlier based on Seoul-based KTB Securities.

The team at Platform Executive hope you have enjoyed the ‘Samsung eyes new opportunities as COVID-19 ignites demand for home appliances‘ article. Initial reporting via our official content partners at Thomson Reuters. Reporting by Joyce Lee. Editing by Edwina Gibbs.

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