The business area continues to invest in premium product innovation to improve the product mix in key categories and drive profitable growth throughout the region. In Australia, which accounts for about half the business area’s sales, successful new product range launches under the Electrolux and Westinghouse brands have contributed to profitable growth. Electrolux has a strong market position in Southeast Asia, particularly in front-load washers. The business area has modern manufacturing capabilities in Rayong, Thailand, with economies of scale in low-cost locations. About 70% of the Business Area’s production are in Thailand, Egypt and South Africa.
Market and Position
- In Australia and New Zealand, demand is driven by design, innovation as well as water and energy efficiency.
- In Japan and South Korea, small living spaces are driving consumer demand for compact products.
- Electrolux has leading market positions in core appliances in Australia and New Zealand, especially in cooking, and leading positions in floor care products in Australia, Japan and South Korea.
- Southeast Asia is characterized by emerging economies, rapid urbanization, small living spaces and the expanding middle class.
- Low product penetration in Africa, although the market is growing with increasing household purchasing power.
- Electrolux has strong market positions in targeted segments in Southeast Asia, especially front-load washers.
|Strategic focus||Actions and execution|
|Strengthening product portfolio in core categories||
|Accelerating growth by expanding category presence in key markets or entering new markets||
|Drive expansion through new channels, such as project sales and D2C||
|Reinforce the Electrolux brand positioning and leverage the AEG brand in selected markets.||
|Invest in new skills and technologies to create an even more efficient organization to support growth||