Meeting consumer demand.
LG invests in understanding consumer needs and trends and home appliances marketing manager, Brad Reed, believes this has been the key to sales growth across its product portfolio. Reed tells us about his expectations for the second half, his favourite product, and more.
How has the first half of 2016 been for your business?
The LG home appliance category has had a good start to 2016, assisted by a general strengthening in retail sales across the categories we operate in and a solid product portfolio. The launch of several high-end products has been well received by our retail partners and consumers alike.
One of our key product launches so far has been the flagship large capacity 906L LG door-in-door French door refrigerator which includes an Australian first Triple Filtration system for ice and water and a Diamond Black stainless steel finish that is fingerprint-resistant.
We also introduced, and supported with a dedicated marketing campaign, the market’s first ever 14kg top load Smartwasher in response to the growing trend in the market for large capacity machines. This top load machine follows our very successful launch of the 15kg front loader last year, and will help to consolidate LG’s position in the washing machine segment as an innovator.
What are your predictions for the second half of the year?
The second half of 2016 will see one of the biggest periods of activity from LG in the home appliance area for many years and we will be revealing some exciting products that we predict consumers will love. One of our most exciting releases will be the new Roboking vacuum that can be controlled remotely via a smartphone app. It features a built-in camera that users can access while not at home.
While developing smarter appliances will be key focus for us in the second half of the year, we will also be concentrating on improving the energy efficiency of many of our products as we go through model refreshes for our refrigerators, dryers and dishwashers.
What opportunities do you see for the electrical retailing industry?
There are several quite significant opportunities for retailers in the coming 12 months. The first is range expansion – particularly at the top end of the market. We are seeing large capacity washing machines take off, driven by lifestyle demands of people to spend less time on domestic chores. In the refrigerator segment, advances in design that include better use of internal space, flexible door designs to minimise cold air loss, shelving options to assist storage versatility and exterior materials such as fingerprint resistant stainless steel coatings will appeal to customers looking for a statement piece in their home.
The second is time saving and convenience appliances, which is why we developed the LG CordZero handstick. We are seeing households with two vacuums in the home, keeping a large heavy-duty option for the serious clean and a smaller, more portable handheld unit for smaller jobs. This is also the reason we have moved our entire vacuum range to cordless (battery operated) units – across canister, handstick and robotic models. The advances in battery technology now mean that run times and suction are not unduly compromised and the versatility of not having to struggle with power cables is very appealing to many consumers.
What threats are currently present in the industry?
This industry is one that changes rapidly but there is always the danger of not listening to what consumers want and need. Our focus is 100% on our customers and developing products that will make their lives easier.
What is your favourite product for 2016 so far?
My favourite LG product has to be the 14kg top load Smartwasher. We know from recent research that the many families spend upwards of three hours per week (and up to eight loads of washing) doing their laundry and we hope that this product will help to reduce the amount of time people spend chained to their laundry.