Table of Contents
Overview
-
- What you need to know
- Products covered in this Report
Executive Summary
-
- The market
- Market contracts in 2017
-
- Figure 1: Consumer spending on small kitchen appliances, 2012-22
- Rising inflation on household appliances
-
- Figure 2: Monthly CPIH, % growth on previous year, August 2016-August 2017
- 4.2 million kitchen refits in the last three years
- Argos leads a fragmented market
-
- Figure 3: Estimated distribution of small kitchen appliances, by value, by retailer, 2017
- Companies and brands
- Smart technology helps make personalised diets easier to stick to
- Sharp to launch first range of small kitchen appliances
- 19% growth in advertising spend in 2016
-
- Figure 4: Total above-the-line, online display and direct mail advertising expenditure on small kitchen appliances, 2013-16
- Bosch stands out in brand research
- The consumer
- 99% own a small kitchen appliance
-
- Figure 5: Ownership of small kitchen appliances, August 2017
- More men than women buy appliances
-
- Figure 6: Small kitchen appliances purchased in the past year either for themselves or as a gift, August 2017
- Price and functionality drive decision-making
-
- Figure 7: Important factors in choosing what to buy, August 2017
- In-store remains the most popular way to shop
-
- Figure 8: How they bought the small kitchen appliance they spent the most on in the past year, August 2017
- Argos the retailer of choice for 21%
-
- Figure 9: Where they shop for small kitchen appliances, August 2017
- Argos chosen for price and availability
-
- Figure 10: Reasons for selecting the retailer they used to buy the SKA they spent the most on in the past year, August 2017
- Lack of space inhibits new purchasing
-
- Figure 11: How they use small kitchen appliances, August 2017
- Two thirds interested in appliances that are easier to store
-
- Figure 12: Attitudes towards small kitchen appliances, August 2017
- What we think
Issues and Insights
-
- Overcoming ‘peak stuff’ in the kitchen
- The facts
- The implications
- Appealing to the new man in the kitchen
- The facts
- The implications
- Smart appliances help create personalised healthy eating lifestyles
- The facts
- The implications
The Market – What You Need to Know
-
- Market declines 0.5%
- Slow growth forecast
- Decline in key segments
- Inflation dampens demand
- Declining marriage rate and rising cohabitation impact the gift list market
- Argos leads and online growing fast
Market Size and Forecast
-
- Inflation fails to offset a decline in volumes
- Slow growth forecast
-
- Figure 13: Consumer spending on small kitchen appliances, 2012-22
-
- Figure 14: Consumer spending on small kitchen appliances, 2012-22
- Forecast methodology
Market Segmentation
-
- Great British Bake Off no longer driving sales
- Booming capsule coffee machine sales come to an end
- Personalised recipe plans could be an avenue for growth for food prep
-
- Figure 15: Estimated consumer spend on small kitchen appliances, by segment, 2013-17
Market Drivers
-
- Incomes are being squeezed
-
- Figure 16: Real wage growth: wages growth vs inflation, February 2014-August 2017
- Inflation hits small kitchen appliances
-
- Figure 17: Monthly CPIH, % growth on previous year, August 2016-August 2017
- Life skills in cooking
-
- Figure 18: Confidence in life skills, by gender, November 2016
- Consumers prefer spending on experiences
-
- Figure 19: What they choose to spend extra money on, September 2017
- Number of marriages in long-term decline…
-
- Figure 20: Total number of marriages and marriages per 1,000, 2000-14
- …and more couples already live together prior to marriage
-
- Figure 21: Type of wedding present given, October 2016
- Student numbers stabilise following decline
-
- Figure 22: Total number of students, 2000/01-2015/16
- The coffee connoisseur movement
- A quarter are interested in owning a coffee pod machine
- 4.2 million kitchen refits in the last three years
Channels of Distribution
-
- Argos leads a fragmented market
- Online growing fast
- Growth in direct-to-consumer model
-
- Figure 23: Estimated channels of distribution, 2017
Companies and Brands – What You Need to Know
-
- Shrinking products to fit shrinking homes
- Smart devices lead new product development
- 19% growth in advertising spend in 2016
- Bosch leads on trust and differentiation
Competitive Strategies
-
- Kenwood updates its range
- Electrolux acquires Anova
- Downsizing to squeeze into smaller spaces
- Smart technology innovation continues to increase
Launch Activity and Innovation
-
- NutriBullet launches VegeBullet and Balance
-
- Figure 24: NutriBullet Balance
- Nespresso releases its smallest machine to date
- Smeg launches Dolce & Gabbana Kitchen Appliances
-
- Figure 25: Smeg and Dolce & Gabbana range of small kitchen appliances, April 2017
- Smeg unveils new range of small kitchen appliances
- Griffin Technology unveils a collection of AppPowered appliances
- Gourmia introduces Award-Winning Smart Kitchen Tea and Coffee Maker
- KitchenAid releases new Precision Kettles
- BuzzFeed enters the smart appliance business
- Sharp launches first range of small kitchen appliances
Advertising and Marketing Activity
-
- 19% growth in advertising spend in 2016
-
- Figure 26: Total above-the-line, online display and direct mail advertising expenditure on small kitchen appliances, 2013-16
- Over half of advertising spend takes place in Q4
-
- Figure 27: Quarterly recorded above-the-line, online display and direct mail total advertising expenditure on small kitchen appliances, 2016
- Coffee pod machine manufacturers step up advertising efforts
-
- Figure 28: Top 10 spenders on above-the-line, online display and direct mail advertising expenditure on small kitchen appliances, 2013-16
- Nespresso leads spending
-
- Figure 29: Recorded above-the-line, online display and direct mail total advertising expenditure on small kitchen appliances, by brand, 2016
- TV grows in importance as press advertising declines
-
- Figure 30: Recorded above-the-line, online display and direct mail total advertising expenditure on small kitchen appliances, by media type, 2013-16
- Leading advertisers rely on TV
-
- Figure 31: Recorded above-the-line, online display and direct mail total advertising expenditure on small kitchen appliances, by advertiser and media type, 2016
- Campaign highlights
- Nespresso continues with ads starring Clooney
- Will.i.am features in Nescafé Dolce Gusto ad
- SodaStream’s Game of Thrones parody stirs controversy
- Nielsen Ad Intel coverage
Brand Research
-
- What you need to know
- Brand map
-
- Figure 32: Attitudes towards and usage of selected brands, October 2017
- Key brand metrics
-
- Figure 33: Key metrics for selected brands, October 2017
- Brand attitudes: Bosch a brand worth paying more for
-
- Figure 34: Attitudes, by brand, October 2017
- Brand personality: Tefal associated with fun
-
- Figure 35: Brand personality – macro image, October 2017
- Breville the basic and affordable option
-
- Figure 36: Brand personality – micro image, October 2017
- Brand analysis
- Bosch is a favourite brand of the well off
-
- Figure 37: User profile of Bosch, October 2017
- Tefal a trusted brand that is fun and reliable
-
- Figure 38: User profile of Tefal, October 2017
- Russell Hobbs is trusted for value
-
- Figure 39: User profile of Russell Hobbs, October 2017
- Breville a brand that struggles to stand out
-
- Figure 40: User profile of Breville, October 2017
- De’Longhi an expensive brand that needs to better articulate its quality
-
- Figure 41: User profile of De’Longhi, October 2017
The Consumer – What You Need to Know
-
- 99% of UK consumers own a small kitchen appliance
- More men than women buy appliances
- Important factors differ by gender
- In-store remains the most popular way to shop
- Argos the retailer of choice for 21%
- Argos chosen for price and availability
- Trust important when shopping for coffee machines
- Lack of space inhibits new purchasing
- Two thirds interested in appliances that are easier to store
Ownership of Small Kitchen Appliances
-
- Small kitchen appliance ownership almost universal
- Kettles versus boiling-water taps
-
- Figure 42: Ownership of small kitchen appliances, August 2017
- Coffee machines still the reserve of the affluent
-
- Figure 43: Profile of small kitchen appliance owners, August 2017
- Men less likely to own food processors or mixers
-
- Figure 44: Ownership of small kitchen appliances, by gender, August 2017
- Six small kitchen appliances per person
-
- Figure 45: Repertoire analysis of small kitchen appliance ownership, August 2017
Purchases of Small Kitchen Appliances
-
- Kettles bought by a third in the past year
-
- Figure 46: Small kitchen appliances purchased in the past year either for themselves or as a gift, August 2017
- The new man in the kitchen
-
- Figure 47: Small kitchen appliances purchased in the past year, by gender, August 2017
- Students the biggest purchasers of small kitchen appliances
-
- Figure 48: Small kitchen appliances purchased in the past year, by working status, August 2017
- 64% have bought a small kitchen appliance in the past year
-
- Figure 49: Repertoire of small kitchen appliances purchased in the past year, August 2017
- Purchasers are much younger than the average
-
- Figure 50: Profile of those who have purchased a small kitchen appliance in the past year, August 2017
Important Factors when Deciding What to Buy
-
- Price and functionality most important
-
- Figure 51: Important factors in choosing what to buy, August 2017
- Men look for build quality
-
- Figure 52: Important factors when choosing what to buy, by gender, August 2017
- Price and style are key for buyers of kettles and toasters
-
- Figure 53: Important factors when shopping for kettles and toasters, August 2017
- Ease of cleaning a focus for small cooking appliances
-
- Figure 54: Important factors when shopping for small cooking appliances, August 2017
- Reputation important for coffee machine buyers
-
- Figure 55: Important factors when shopping for coffee machines, August 2017
- Reviews sell juicers, mixers and food processors
-
- Figure 56: Important factors when shopping for juicers, mixers or food processors, August 2017
How They Bought Small Kitchen Appliances
-
- In-store remains the most popular way to shop
-
- Figure 57: How they bought the small kitchen appliance they spent the most on in the past year, August 2017
- Smaller, lower-value items most likely to be bought in-store
-
- Figure 58: How they bought the small kitchen appliance they spent the most on in the past year, by what they spent the most on (netted), August 2017
Where They Shop
-
- Argos dominates small kitchen appliance sales
- Supermarkets chosen by a quarter
- Other retailers
-
- Figure 59: Where they shop for small kitchen appliances, August 2017
- Supermarkets dominate kettle and toaster purchases
- Online retailers lead other product categories
- Department stores popular for coffee machines
-
- Figure 60: Where they shop for small kitchen appliances, by what they bought, August 2017
Reasons for Selecting Retailer
-
- Price the top-ranking reason for choosing where to shop
-
- Figure 61: Reasons for selecting the retailer they used to buy the SKA they spent the most on in the past year, August 2017
- Proximity and price drive usage of supermarkets
-
- Figure 62: Relative importance of reasons for shopping for SKA at a supermarket, August 2017
- Argos excels on availability and price
-
- Figure 63: Relative importance of reasons for shopping for SKA at Argos, August 2017
- Online retailers have the range and delivery options
-
- Figure 64: Relative importance of reasons for shopping for SKA at any online retailer, August 2017
- Advice attracts people to specialists
-
- Figure 65: Relative importance of reasons for shopping for SKA at any electrical or home specialist, August 2017
- Department stores give confidence
-
- Figure 66: Relative importance of reasons for shopping for SKA at any department store, August 2017
- Kettle and toaster shoppers look for convenient availability
-
- Figure 67: Relative importance of factors in selecting the retailer they used to buy a kettle or toaster, August 2017
- Price and delivery options drive choice for small cooking appliances
-
- Figure 68: Relative importance of factors in selecting the retailer they used to buy a small cooking appliance, August 2017
- Trust important when shopping for coffee machines
-
- Figure 69: Relative importance of factors in selecting the retailer they used to buy a coffee machine, August 2017
- Trust and availability important for juicers, mixers and food processors
-
- Figure 70: Relative importance of factors in selecting the retailer they used to buy juicer, mixer or food processor, August 2017
How They Use Small Kitchen Appliances
-
- Out with the old and in with the new
- Money saving appeals to younger consumers
-
- Figure 71: How they use small kitchen appliances, August 2017
- Young are more brand-loyal
-
- Figure 72: Agreement with the statement ‘Most of my small kitchen appliances are from the same brand’, by age, August 2017
Attitudes towards Small Kitchen Appliances
-
- Two thirds interested in appliances that are easier to store
-
- Figure 73: Attitudes towards small kitchen appliances, August 2017
- Independent reviews are vital to appeal to younger age groups
-
- Figure 74: Any agreement with the statement ’Independent reviews are important when choosing a small kitchen appliance’, by age, August 2017
Appendix – Data Sources, Abbreviations and Supporting Information
-
- Abbreviations
- Consumer research methodology
Appendix – Market Size and Forecast
-
- Forecast methodology
Back to top