Electrolux will leverage its global presence to accelerate technology transfer to emerging markets.
The need for energy-efficient appliances among the growing middle class in emerging markets is evident. We are well positioned to leverage our global platforms and modularization to meet this need.
The success of this promise lies in delivering an attractive product that delivers on consumers’ needs, brand and distribution, as well as the right market conditions to emphasize the value of efficiency. At the local level in Asia, South America and the Middle East, Electrolux is developing solutions that help the growing middle class gain access to efficient appliances.
Through our global technology platform, we are better able to bring efficient appliances to market cost effectively. But energy efficiency is not yet a high priority among consumers, and many of these regions have lax market conditions for efficient solutions and subsidies for electricity.
Electrolux has been providing efficient products to the growing middle class of Brazil for quite some time. In our 2014 brand survey among mass-market consumers, Brazilian respondents underlined the importance of minimizing their use of water, a priority that has increased significantly since 2012. The Electrolux brand is the most strongly associated with this priority.
In South East Asia, Zanussi LINDO range of top efficient washing machines, has been on the market since 2015. It is labelled as A+++ energy efficiency class, according to European standard.
Through professional products we are also exploring new business models. The Mobile Laundry, a new community laundry service powered by Electrolux Professional, was launched in Delhi, India, in 2014. For those who don’t have space or funds for a washing machine, the Mobile Laundry offers a convenient clean clothes service. Carefully optimized water, detergent and washing cycles mean that environmental impact is kept to a minimum.
Electrolux also plays an active role in United 4 Efficiency, a UNEP-led project to develop recommendations on how emerging markets can ‘leapfrog’ to greater energy efficiency. The program aims to advise governments on areas such as energy labeling, incentive programs, and the disposal of redundant refrigerators. Launched in 2015, the project will focus on air conditioners and refrigerators in 2016, supported by sales data from Electrolux and industry peers.
Despite slow economic growth in emerging and developing economies in 2015, the market is expected to flourish in the medium term. Our next step is to build an overarching strategy, spanning our markets in Asia, South America and Africa, to meet the opportunity.
This opportunity is currently decentralized. A Group approach is to be announced.