The kitchen electricity market recovered slowly, with emerging categories leading the market. According to the total data pushed by AVC, in 2021, the overall scale of kitchen and bathroom market (smoke stove washing and embedded heat) was 91.56 million units and 152.8 billion yuan. The retail volume decreased by 6% year-on-year, the retail volume increased by 7% year-on-year, 12% lower than that in 2019, and the retail volume increased by 1%. The overall performance of the industry shows the following characteristics: 1) the emerging kitchen appliances have a bright performance, the penetration rate of integrated stoves, dishwashers and other categories has continued to increase, and the structure of new categories has shown new changes. 2) High end products are growing rapidly, and the upgrading trend of category structure is obvious. 3) The channel structure changes quietly, and the market share of online and front-end clothing continues to increase.
Traditional smoke stoves: the recovery is not as good as that in 2019, and the high-end demand has increased significantly. 1) In terms of product scale, the retail volume has declined. In 2021, the overall scale of range hoods was 21.5 million units and 33.3 billion yuan. The retail volume decreased by 6% year-on-year and the retail volume increased by 4% year-on-year. Compared with 2019, the retail volume decreased by 13% and the retail volume decreased by 6% year-on-year. 2) In terms of product structure, pay more attention to the “close suction” characteristics of range hood, and ultra-thin close suction style products have become the category with the fastest growth rate. 3) In terms of average price, the upgrading of product structure drives the average price growth. In 2021, the average online price of range hood was 1550 yuan, a year-on-year increase of 156 yuan, and the average offline price was 3733 yuan, a year-on-year increase of 313 yuan. 4) In terms of consumption scenarios, the product set sales trend is obvious. In 2021, the proportion of high-end home appliance manufacturers who choose to buy Intelligent home appliances will reach 83%. 5) In terms of competition pattern, Wuxi Online Offline Communication Information Technology Co.Ltd(300959) market leader share increased. In 2021, the market share of online market boss / Fangtai’s sales was + 1.5pct / + 1.51pct respectively year-on-year; The market share of offline market boss / Fangtai’s sales was + 2.71pct / + 2.26pct respectively year-on-year.
Emerging categories: Dishwasher and embedded steaming and baking categories, driving the growth of kitchen electricity market. 1) In terms of product scale, the total retail sales increased. In 2021, the retail sales of dishwasher market increased by 14.4% year-on-year. In 2021, the overall scale of embedded was 1.33 million, and the retail volume increased by 5% year-on-year. 2) From the perspective of product types, embedded & integrated products are favored, and product functions tend to be enriched & high-end. In 2021, the two-year compound growth rate of embedded dishwasher online reached 72%, and that of Integrated Dishwasher reached 176%. 3) From the perspective of channel structure, the penetration rate of new categories in hardbound houses continues to increase, and attention is paid to the low-level market demand.
Emerging category: integrated stoves lead the kitchen electricity industry. In 2021, the retail volume of integrated stove market increased by 28% year-on-year. 1) in terms of product structure, the share of integrated steaming and baking products continued to increase, and the independent steaming and baking products increased steadily. As of 21q4, the proportion of online / offline sales of integrated steaming and baking machine was 53.4% / 29.6% respectively. The proportion of online / offline sales of steaming and baking independent products was 6.1% / 11.8% respectively. 2) In terms of price, the average price of online and offline markets has increased, and the high-end proportion of integrated steaming and baking and independent steaming and baking has increased steadily. In 2021, the average online market price of integrated stoves was 7493 yuan, an increase of 10% year-on-year in December 2020, and the average offline market price was 9670 yuan, an increase of 9% year-on-year in December 2020. With the accelerated pace of promoting new brands, the proportion of integrated steaming and baking products has been increasing. As of 21q4, the online / offline sales of integrated steaming and baking machines accounted for 53.4% / 29.6% respectively. The steaming and baking independent products initiated by Yitian quickly received positive feedback from the market. The online / offline sales of 21q4 steaming and baking independent products accounted for 6.1% / 11.8% respectively.
Investment advice
Looking forward to 2022, we believe that domestic demand in traditional categories will continue to recover, the upgrading trend of high-end and integrated product structure will not change, the cost pressure will be gradually relieved, and the profit expectation will be improved; Emerging categories will remain relatively prosperous. It is suggested to pay attention to: Marssenger Kitchenware Co.Ltd(300894) , Zhejiang Entive Smart Kitchen Appliance Co.Ltd(300911) , Hangzhou Robam Appliances Co.Ltd(002508) , Zhejiang Meida Industrial Co.Ltd(002677) , Zhejiang Sanfer Electric Co.Ltd(605336) .
Risk tips
1) the impact of the epidemic on the macro-economy did not meet expectations; 2) The second impact of overseas epidemic may affect the export of household appliances; 3) The price war in the household appliance industry has intensified; 4) Sluggish real estate performance; 5) Risk of rising raw material prices, etc
