Electrolux 2013 Annual Report Download - page 31

Innovation
Electrolux is the only appliance manufacturer in the world to offer complete solutions for both consumers and
professional users. The Electrolux process for consumer-driven product development enables the development
of products that will be preferred by more consumers. The collaboration between marketing, R&D and design
is a key factor, as is the transfer of know-how from the Group’s professional business to consumer products.
Share of Group sales 2013 Kitchen product categories
Kitchen
Electrolux kitchen products account for almost two-thirds of the
Group’s sales and the company holds strong positions in all
major categories of kitchen appliances and commands signifi-
cant global market shares. The most rapid increase in sales is
occurring in growth regions such as Latin America and South-
east Asia, where the Electrolux offering is primarily targeted to
the fast-growing urbanized middle class. For many years,
Electrolux has been a recognized leader in cookers, hobs and
ovens and has developed numerous new functions that simplify
cooking for both households and professionals. In 2013, a large
number of new innovative products were launched, such as the
CombiSteam SousVide oven and vacuum sealer in Europe and
the Frigidaire 50/50 Symmetry Double Oven in North America.
The biggest launch was made in China, with more than 60 new
products for kitchen and laundry. The Group has strengthened
its leading position in built-in appliances in recent years through
extensive product launches and partnerships with kitchen man-
ufacturers.
Electrolux provides restaurants and industrial kitchens with
complete solutions for cookers, ovens, refrigerators, freezers
and dishwashers. Products are largely sold as modules, allow-
ing buyers to choose suitable functions to meet their needs.
Electrolux conducts operations worldwide and has a global ser-
vice network. The strongest position is held in Europe, where
half of all Michelin-starred restaurants use kitchen appliances
from Electrolux.
Trends
The rapid changes in lifestyle in many countries have led to
demand for products that make life easier and that make cook-
ing healthier and food storage safer. Interest in more advanced
cooking is rising mainly in mature economies. More and more
people want to emulate professionals and are looking for prod-
ucts and functions used by the very best chefs. Buyers of pro-
fessional food-service equipment have widely differing yet strict
requirements, for example, regarding performance and technol-
ogy, implying that manufacturers must be able to deliver flexible
solutions. Both consumers and professionals want products
with low water and energy consumption that are manufactured
from sustainable materials and can be easily recycled.
Growth opportunities
Alongside the expansion generated by the greater purchasing
power of households in growth markets, innovations are driving
substantial growth in certain segments of the kitchen appli-
ances market, such as combination steam ovens, induction
hobs with preset cooking zones and refrigerators with
advanced refrigeration technology. In some regions, most
households still have no dishwasher, despite the volumes of
water that can be saved by having a machine do the washing
rather than washing dishes by hand. The development of new,
water and energy-efficient dishwashers for both households
and professional users is progressing rapidly at Electrolux.
Consumer durables, 60%
Professional food-service
equipment, 3%
Cold (refrigerators, freezers)
Hot (cookers, hobs, ovens)
Dish
Professional food-service
equipment
29ANNUAL REPORT 2013