- There is a good demand for smart washing machines among Indian consumers, but the price becomes a constraint.
- Globally, smart washing machines are expected to reach $13,631 million by 2023, growing at a CAGR of 22.60 percent from 2017 to 2023.
With the commencement of IoT (Internet of Things), a range of connected devices has gained popularity all over the world like smart TVs, smart speakers, smartphones, and many more. Now, washing machines, which is one of the essential requirements of any household these days, have become smart and have gained huge traction especially in the European market and in the United States.
In developing nations such as India, the penetration of IoT-enabled devices is a bit low and hence, it is taking a bit of time. But, the device has a huge potential to grow in the country by 2026. Initially, smart TVs and smart speakers also faced problems for their growth in the country. Now, the country has witnessed huge growth in these segments, and the same will happen for smart washing machines once the prices are bit decreased, feels market analysts.
Commenting on the growth and sales of smart washing machine machines, Sunil Sharma, store manager, KBM Electronics, said: “The price of a fully smart washing machine starts at Rs. 40,000 and hence, the upper-middle class are only buying it. But, there is a huge demand among the middle class also. A lot of people want to buy it, but the price becomes an impediment. Although, the number is less we have sold LG smart washing machines to a couple of middle-class families also, helping them availing EMI options. We sell these products of various brands like Samsung, Whirlpool, Haier, but LG is dominating the sales of washing machines in India and we have sold more than 12 wi-fi enabled machines last year.”
A smart connected washing machine operates by connecting to the internet using the household Wi-Fi, thereby enabling the user to get real-time information about the washing along with remote access & control. There are numerous technological advancements made in this product in the past two years, which escalated its efficacies in terms of saving electricity and water.
The possible factors that will push the growth of this segment further are rise of disposable incomes, fast-paced urbanization, and augmented utilization of IoT. Moreover, state-of-the-art features like smart diagnosis, automatic detergent dispensing, smart control, eco-check, and steam-care functions will drive its growth in the coming few years, feels experts.
Now, speaking of its growth, back in 2016, Allied Market Research already speculated that global smart washing machines were valued at $3,712 million and are expected to reach $13,631 million by 2023, growing at a CAGR of 22.60 percent from 2017 to 2023. Whereas, international research firm GrandView Research stated in 2019 that the global smart washing machine market size was valued at USD 4.90 billion and will grow at a CAGR of 20.5 percent from 2020 to 2027. In India, the overall market of washing machines witnessed a surge in growth during the lockdown. It has Poised at an annual increase of 10 to 11 percent since the last few years, at best FY21 will see the market at 7 million machines, very similar to FY20 and FY19. But, the question that arises is unlike other smart products, why is it taking so much time to gain popularity in the Indian market.
Highlighting the market scenario in India, Faisal Kawoosa, founder, techARC, said: “Indian consumers are price conscious and hence, the market of smart washing machines is witnessing a slow growth compared to other developed countries. A fully loaded automatic washing machine appears at a price of Rs. 25,000, whereas, a wi-fi enabled washing machine is priced more than Rs. 40,000. Another problem is that even people will have to go in front of the machine every time to load and unload unlike a smart TV or a smart speaker that can be completely operated from a remote and smartphone. But with a slew of new features the segment has a huge potential for Indian market and by 2026, it will witness a good growth.”