The Electrolux strategy channels profitable growth, innovative products, strong brands, operational excellence and dedicated employees to reach its vision – to be the best appliance company in the world.
To outperform market growth and enhance profitability, the focus is on strengthening positions in the Group’s core markets and increasing the share of sales in growth regions. Focus is on expanding in profitable high-growth product categories, developing service and aftermarket operations and reducing complexity and costs in manufacturing. Acquisitions are an integrated part of the growth strategy.
A key factor in the Electrolux consumer-oriented product-development process is the close collaboration between marketing, R&D and design, as is the transfer of know-how from the professional business to consumer products.
Over a number of years, the Group has progressively increased investment in R&D. Sustainability is a core element of the strategy, and sustainable innovation is one of the Group’s four prioritized areas for product development. At least one-third of the product-development spend is related to sustainability.
Global optimization of production and modularization unlocks resources for investment in product development, design and marketing. An extensive modularization program is ongoing that lowers product costs and the product development spend through standardized global modular platforms for new products.
The Group’s manufacturing footprint is continuously adapted and the operations are streamlined to increase productivity. About 65% of the Group’s household appliances are currently manufactured in low-cost areas.
People and leadership
An innovative culture with dedicated employees from diverse backgrounds provides Electrolux with the right foundation to develop successful products for consumers across the globe. It is important to contribute to sustainable development for current and future generations in a rapidly evolving world. Strong, committed managers play a decisive role in the successful execution of the strategy.
Design is a key element in the Electrolux consumer-oriented product-development process. In 2015, Electrolux was presented with the Red Dot design awards for seven products, including the Electrolux QuickSource tap that allows instant access to boiling water straight out of the kitchen tap. During the year, the Group launched the new limited edition Electrolux Ergorapido vacuum cleaner with embedded Swarovski crystals produced especially for t1he Russian and Eastern European markets. The ultra-luxury kitchen range Electrolux Grand Cuisine is the first professional cooking system designed specifically for home use.