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Annual Report 2014 Markets EMEA North America Latin America Asia/Pacific Small Appliances Professional Products

Small Appliances

Electrolux is one of the world’s largest vacuum-cleaner manufacturers and the only global company in the industry. Within the small domestic appliances segment, the Group has a rapidly growing business with an ever broader product portfolio. A large number of new products was launched worldwide in 2014. 

Henrik Bergström, Head of Small Appliances

Henrik Bergström


In the vacuum-cleaner segment, the Group holds leading positions in the largest markets, and has a particularly strong presence in the premium vacuum cleaner and rechargeable, hand-held vacuum-cleaner segments. Product development is focused on innovative and energy-efficient vacuum cleaners in the upper-price segments. The Group is continuing to capture market shares in small domestic appliances through developing and launching a number of new product ranges.

In Europe, most products are sold under the Electrolux brand, which is complemented with the AEG brand. In North America, the Eureka brand dominates the vacuum-cleaner segment, complemented by Electrolux in the more exclusive segments. Sales in Latin America and Asia are predominantly under the Electrolux brand. 

Growth and innovation

Total sales declined slightly, primarily due to lower vacuum cleaner sales in North America and Europe. Sales growth continued in Asia, while the pace of growth softened in Latin America year-on-year. Sales of small domestic appliances, and accessories and spare parts continued to increase and posted healthy growth in several regions. During the year, a substantial number of new vacuum cleaners and small domestic appliances was launched. 

In Europe, new regulations for the energy labeling of vacuum cleaners were introduced by the EU following initiatives promoted by Electrolux, among others. The Group renewed its entire range of vacuum cleaners launching products that meet the highest requirements in terms of energy efficiency, dust pick-up, noise levels and air emissions.

The bagless vacuum-cleaner segment is expanding rapidly. About 50% of the market in Europe comprises bagless vacuum cleaners and the corresponding figure for Asia is 70%. The premium bagless vacuum cleaner Electrolux UltraFlex was launched in a number of markets in Europe and Asia during the year. 

The third generation of the battery-powered hand-held vacuum cleaner Ergorapido was launched worldwide in 2014. It is the Group’s best-selling vacuum-cleaner platform ever, with over 10 million units sold.

During the year, the Expressionist Collection was launched. This is a new family of small domestic appliances elegantly designed in stainless steel and intended to match premium major appliances under the Electrolux brand. The range includes items such as coffee makers, kettles and toasters.

The Masterpiece Collection was launched at the end of the year. This exclusive range of small domestic appliances incorporates design elements, learnings and technology from the Group’s Professional Products operations.

Operational excellence

During the year, investments continued in increased production capacity in Juarez, Mexico. In total, capacity has increased by about 80% in 2013 and 2014. The plant primarily produces ­vacuum cleaners for the North ­American market.

The continued efforts to lower the direct cost of materials in production led to substantial savings at all production facilities.
Continued focus on capital efficiency led to working capital remaining at the low level reached in 2013.

Share of net sales 2014


Share of operating income


Market position

  • Leading positions in Europe, North America and Latin America
Net sales and operating margin
Net sales
Operating margin
  10 11 12 13 14
Net sales 8422 8359 9011 8952 8678
Operating margin 9.5 6.5 5.1 4.4 2.3

Comments on performance

Operating income declined year-over-year, primarily as a result of lower sales volumes and price pressure. Moreover, earnings were negatively impacted by currency effects, primarily in Latin America. To an extent, this was mitigated by product mix enhancements in several regions.

Priorities moving forward

  • Continue launches of new, innovative products in vacuum cleaners and small domestic appliances
  • Accelerate profitable growth, with particular focus on Asia and EMEA
  • Restore profitability in North America and Latin America.

Market demand for vacuum cleaners
2014 compared to 2013




Average number 
of employees 2014



Electrolux Masterpiece Collection

The Electrolux Masterpiece Collection was launched at the end of the year, comprising an exclusive range of small domestic appliances that use technology from the Group’s Professional Products operations. For example, the blender and food processors are tilted ten degrees to achieve the maximum blending effect.






















10 million Electrolux Ergorapido Vacuums

Since the launch of Ergorapido in 2004, more than 10 million units have been sold globally, making it the Group’s best-selling vacuum-cleaner platform ever.





Electrolux Ultraflex Vacuum

The bagless UltraFlex is the latest premium vacuum cleaner from Electrolux. More and more consumers prefer bagless vacuum cleaners and the trend is growing. In Europe, this category commands more 
than 50% of the market, while it is close to 70% in Asia.