Household appliances market to grow in Poland in 2010 - an interview with Wojciech Konecki, general director of the European Committee of Domestic Equipment Manufacturers (CECED Polska)

2010-02-24

Central Europe Retail Update talks to Wojciech Konecki, general director of the European Committee of Domestic Equipment Manufacturers (CECED Polska), about the situation on the household appliances market Poland in 2010.

Paulina Burzawa, Central Europe Retail Update: What trends, in your opinion, will shape the household appliances market in 2010?

Wojciech Konecki: The Polish market will grow both in value and in volume terms this year. Sales of technologically advanced products will continue to rise, albeit not as spectacularly as before. I also expect a high level of demand e.g. for induction hobs and personal care appliances. Also, big-ticket white goods with digital display windows will become a standard.

PB: Will there be any changes to the distribution system?

WK: We will see further consolidation of the distribution system, but not at a very rapid rate. It will continue to be dominated by two big retailers, Media Markt and Saturn (each of them has a 22% share in the consumer electronics and household appliances markets in Poland).

PB: Will the recent big M&A deal in the white-goods sector involving Samsung and Amica affect the market shares of individual manufacturers?

WK: In 2010 we will see first effects of Samsung’s decision to invest in Poland, but its share in the Polish market for household appliances will not rise as dramatically as in other sectors. Despite the sale of its two factories to Samsung, Amica will remain one of the top players, as it retains ownership of a major factory of cooking and baking equipment, a strong brand and a local distribution system. It will also be able to offer a more varied selection of washing machines and refrigerators that includes items manufactured at sites other than Wronki.

PB: What changes can be expected as regards other manufacturers?

WK: Other makers of big household appliances will successfully develop complementary sales of small items, whereas producers of small appliances will try to move into big-ticket products, which however is more difficult owing to more exacting servicing and logistics standards.
Furthermore, companies’ spending on environment-friendly solutions, and especially on recycling, will rise significantly in the years ahead.