Major Appliances - Price and Promotion Influences
After an exhaustive search through credible sources, we were unable to identify six insights that detail the impact of price and promotion when deciding to purchase major appliances.
USEFUL FINDINGS ON MAJOR APPLIANCES PURCHASE
- According to a Euromonitor International survey report, the most essential features for shoppers when selecting an automatic washing machine include water and energy efficiency, followed by features that improved convenience (e.g., time-saving features).
- With an increase in tariffs on metals, the cost of appliances has risen, which has impacted sales and promotions of major appliance companies like Whirlpool.
- The sales of major appliances have diminished, while their stock prices have decreased, after prices on laundry equipment increased in United States.
- According to data from the Association of Home Appliance Manufacturers, shipments of washing machines decreased by around 3% in the year 2018, with an increase in prices of laundry appliances.
- About 49% of consumers chose low price as one of the most crucial aspects while purchasing household appliances.
- More than three-fourths (85%) of major appliances are purchased from brick-and-mortar stores. Meanwhile, online purchases of major appliances have risen from 11% to around 15% in 2018.
Our research began by looking for information in consumer reports on the appliances market in the United States. We explored sites such as Euromonitor, ConsumerReports, etc. We wanted to see if any article mentioned the role price or promotion plays in the purchasing decisions of consumers buying the products in the United States, which we could use to analyze any impact. However, this strategy did not yield results as there was no such information available. At most, we found information on what consumers look for while buying large appliances, etc. We believed this strategy would work as sites like these publish information on consumer trends, purchasing behavior, etc. and would have mentioned the requested data in their reports.
Next, we searched for survey reports and articles published by appliance industry associations in the United States. We visited sites such as the Association of Home Appliance Manufacturers, the Consumer Electronics and Appliances Manufacturers Association, among others to find survey reports or articles mentioning how price and promotions are vital to consumer purchase decisions for appliances, etc. However, this strategy was not fruitful as there were no such reports available, and the only information we came across was about the top appliances in the United States, trends, etc. We believed this approach would work as industry associations usually publish information and updates about a particular industry and could have released data on consumer purchase decisions for major appliances.
Finally, we explored for media publications and executive interviews of major appliance manufacturers in the United States. We believed this strategy would work as company executives understand the behavior of consumers purchasing their products and could have revealed relevant information in interviews. Also, we thought that media sites would have published related data as they distribute business articles on various industries, sometimes from third-party research. We searched through sites such as NYTimes, Talk Business, CEO Magazine, among others. This strategy produced some results as we discovered how a price increase impacted the sales of major appliances.
However, there was no information on decision-making while purchasing appliances. The concept behind this strategy was to see if any media publications or an executive reported on any impact on the sales of appliances of their company due to an increase or decrease in price or promotions.