China’s home appliance industry has been actively implementing the government’s call for “increase variety, enhance quality and create brands” with increased efforts in innovation, quality improvement and brand building in 2016. And it has produced fruitful results showcased at Appliance & electronics World Expo 2017, a grand home appliance show hosted by China Household Electrical Appliances Association (CHEAA) in Shanghai from March 9 to 11, 2017. At AWE 2017, innovative and cross-industry products from multi sectors spanning home appliance, the Internet, IT, home furnishing and consumer electronics embody future trends such as smart-orientation, customization, energy conservation, environmental protection, and healthcare. AWE 2017 is a vivid demonstration of what China’s initiative of “increase variety, enhance quality and create brands” has achieved.
Increase variety based on consumer demands
In less than 3 days, an unprecedented large innovation show is staged in 8 exhibition halls covering an area of 110,000 square meters, with best products from nearly 800 domestic and international enterprises on exhibition. AWE is preferred by more and more enterprises to roll out their blockbusters. According to rough statistics, nearly 100 product release conferences have taken place during AWE 2017.
A structural updating of product mix is seen as a clear trend at AWE 2017. Traditional product categories such as refrigerators, air conditioners, washers, TVs, water heaters, cookers, are going high-end, smart, stylish, and energy efficient. Prototypes and conceptual machines to be placed on the market later this year or even next two or three years are on display, embodying cutting edge technologies, classy designs, extraordinary performance and exquisite techniques. Consumers’ vision of a future home is inspired by these incredible products, such as voice controlled refrigerators with food and freshness sensor, washer and dryer combos with fiber sensor and smart procedure setting, air conditioners that automatically adapt to changes in human body, electric steamer oven loaded with hundreds of recipes…
What comes as a pleasant surprise is domestic makers’ increased competitiveness. A number of new products from leading Chinese makers such as Haier, Midea, Hisense, Fotile and Robam are no less impressive than, and even outshine international brands by design, function and smartness. “We develop our products through a consumer oriented approach rather than the previous product oriented approach or technology oriented approach, to allow for utmost user experience.” A technician from Haier says. Haier released its U+ Smart Life 3.0 on March 8th2017, a platform integrated with 161 smart life scenarios from 5 ecospheres spanning kitchen, bathroom, bedroom, entertainment and security. With this platform, Haier develops its smart products that can proactively offer services to meet consumers’ needs.
Consumption upgrading coupled with the development of the Internet powers the rise of smart home and smart home appliances, while human-machine interaction technologies make this sector even hotter. Under the theme of “smart life, global platform”, AWE witnesses the evolvement of this trend. Compared to WiFi-enabled smart products from last year, smart home appliances of this year go smarter: they are capable of self-learning, automatic sensing and judging, automatic service offering and more. And the interconnectivity of products, a previous pain point, is addressed with the release of CHEAA’s “cloud-to-cloud protocol” at AWE 2017.
It is learned that, “increase variety” does not mean more product categories or models, but tapping into the potential of niche markets based on an innovative, and consumer oriented approach, and cutting down on or discontinuing products that are not in line with consumers’ needs or enterprises’ development strategies. In recent years, Haier, Midea and more leading enterprises optimize their product innovation and manufacturing procedures to allow better product structures, and through addressing pain points of users, they develop creative products and services to reflect consumers’ needs. Their newly designed strategies help tap into the potential of niche markets effectively.
At AWE2017, a wide array of innovative products is on display: smart cooker, multi-system washer capable of handling separate loads, washer with water filter system, smart shoe polisher, smart dining table…
Capitalizing on the consumption upgrading, enterprises use innovation as a new motor to cope with the downward economic pressure. Many of them are looking for opportunities to establish their unique competitiveness, with more investment put in R&D and user demand study. Haier and Midea both establish their open innovation platforms to integrate resources across the industry chain even across the whole society, to allow more user engagement and more innovation. These changes are all on display at AWE 2017.
Enhance quality in pursuit of excellence
“Products of this year are classy and are of high quality.” A reporter says. And he is not alone. New products at AWE 2017 embody not only pleasing style, but also exquisite processes and techniques.
An expert from AWE Award Committee introduces that the committee notices that enterprises are putting weight on user experience, reliability and lean design. Using brand new materials and techniques, many products are not only stylish, but also durable and easy to clean. This user-centric R&D procedure inspires enterprises in a good way. At AWE2017, we see a number of original technologies on exhibition, such as Haier’s independent dry and wet storage design, infrared ray sensor-enabled ice making technology, auto close freezer drawer, etc.
The quality bar is rising together with the improvement of living standard. “Qualified products cannot satisfy users nowadays. They want products with high reliability, easy to use, stylish, convenient, quiet, adjustable to the ambient environment, capable of auto reporting malfunctions, and equipped with smart sensing and adjusting function, etc.” An expert from AWE Award Committee says.
“Haier believes in user experience and regards it as the ultimate standard for quality inspection. Our quality control division is positioned as a platform offering ‘solutions to allow best user experience’.” A quality management officer from Haier reveals. At AWE 2017, a technician from Haier demonstrates on site the techniques of creating Haier’s unique high-end hand-made “hammering pattern” on a panel used for refrigerators, washers and air conditioners of Casate, a high-end sub brand of Haier.
Midea initiated its “quality project” in 2012 and extended it across the life cycle of products in 2014, establishing a quality evaluation system covering product design, purchase, logistics, packages, etc. At AWE 2017, Midea dazzles the audiences with impressive design and top quality. Midea’s first smart cooker, named “cooking robot”, provides a package solution for consumers with best water, rice and cooking technique. It is learned that Midea, based on extensive study on rice from different regions, draws a rice map and develops cooking control methods accordingly. Midea offers consumers the best taste with this cooker that automatically adjusts to a cooking mode after analyze the rice, air pressure, room temperature, voltage and more parameters.
At Hisense’s booth, a wall mounted air conditioner, model numbered Q210, gets our attention. It uses new materials such as fin type heat exchanger and small sized screwed pipe to allow better expansion, high reliability, and smooth performance. This product features eco design throughout its life cycle from raw material, manufacturing, packaging, transportation, use and maintenance to recycling to minimize environmental footprint.
An engineer from Tyco International Ltd reveals that, Tyco has seen a 40% increase in connector consumption of China’s home appliance and consumer electronics in the first half of FY2017. Tyco’s electric components are of high reliability and easy to apply on automatic appliances and robots. “Chinese home appliances used to prefer low-end connectors at one time, but now more and more enterprises turn to us.”
Elevate brands through combined measures
At AWE 2017, Haier, for the first time, introduces to the world its “brand cluster”- Haier, GE Appliances, Fisher & Paykel, AQUA, Casate and Leader-in a Haier only exhibition hall covering an area of more than 8000 square meters. Haier announces that, with global synergies of six brands, Haier is transforming its global strategy from one brand operation to multi brand operation. With each brand meeting specific regional needs, Haier serves the whole world through global synergies. The debut of Haier’s six brands at AWE 2017 signals Haier’s transformation from “No.1 white good brand in the world” to “No.1 home appliance brand cluster in the world”.
With global presence spanning 160 countries, Haier offers products for consumers of various regions and classes. What lies behind Haier’s success story as a leading brand cluster is its 12-year long commitment in brand establishment and elevating starting from 2005. To date, Haier has established 10 R&D systems, 10 R&D centers and 108 global facilities (54 of which are located overseas) to support its global deployment while serve its global user base.
Midea, also for the first time, displayed its brand new image after transformation, with its blockbusters from all of its brands-Midea, Toshiba, KUKA, Little Swan, Beverly and Vandelo-at AWE 2017. In the past 2016, Midea not only maintained its leading position in domestic markets, but also made breakthroughs in its global deployment through mergers and acquisitions of Toshiba, Clivet, Eureka, and KUKA.
In fact, exhibitors are all going to great length to showcase their brand and strength through product exhibitions, onsite product release conferences, onsite interactions and more.
Year 2017 marks the 20th year since A.O. Smith entered Chinese market. At AWE 2017, A.O. Smith stages a high-tech show with its full line products spanning electric water heaters, gas water heaters, water purifiers, air purifiers, wall-mounted stoves, air source water heaters, softened water face cleaners, constant temperature water bed and more, which fully delivers A.O. Smith’s belief of “make best products through innovation and R&D” and its unique charisma as a long-standing enterprise. Fotile, with its new smart Yu Chu series, offers a one-stop smart kitchen solution that delivers its brand notion of “for love we do”.
To expand brand recognition, many enterprises, including Panasonic, Vatti, Casate, Sun rain and Aux, invite celebrities to their booths to endorse their brand notion.
“AWE is expanding its influence globally as a platform for enterprises to showcase their brand image, and for the world to know more about China’s home grown brands.” Xu Dongsheng, Vice President of China Household Electrical Appliances Association, says. According to Xu, AWE, with state-of-the-art products and diversified activities, brings together one than a hundred domestic and international media every year, which gives rise to a tide of reports from TV channels, newspapers, magazines, online media, enterprises and user generated media that last for about a month. At AWE 2017, the number of media sets a new record.
Xu says, “media coverage, live streams, special features and interviews of AWE 2017 enable people from various social sectors to know more about China’s home appliance industry, and what this industry has achieved under the government’s call for ‘increase variety, enhance quality and create brands’. Onsite reports from more than 30 media from nearly 20 countries and regions allow global consumers to be more exposed to Chinese brands and products. ”