In the context of weakened consumer demand, various types of smart small home appliances have gone against the trend and become popular. From the demand side perspective, the popularity of smart small home appliances is the result of the combined effect of new consumption scenarios and consumer demand. During the epidemic, consumers mainly live at home, and their dependence on household appliances has increased. The demand for catering, bathing, entertainment, and other products is more realized at home, and the demand for small household appliances has also increased.
      Data shows that from January to September 2021, the retail sales of small household appliances in 12 categories of kitchens in China reached 41.93 billion yuan, a year-on-year decrease of 12.2%; The retail volume reached 182.868 million units, a year-on-year decrease of 10.6%. Among them, the retail sales through online channels reached 29.06 billion yuan, a year-on-year decrease of 7.0%; The retail volume was 155.195 million units, a year-on-year decrease of 7.7%; The offline retail sales amounted to 12.87 billion yuan, a year-on-year decrease of 22.1%; The retail volume was 27.673 million units, a year-on-year decrease of 24.0%.
      The small home appliance industry has a certain correlation with the income and employment rate of national residents, and is affected by cyclical fluctuations in the global economy and macroeconomics. The market sales situation mainly depends on the consumption demand of end consumers for small home appliances. In the European and American markets, the popularity of small home appliance products is extremely high, and a large amount of consumption demand has kept the import market of small home appliances in Europe and America growing. As far as the Chinese market is concerned, the increase in disposable income of domestic residents has made the consumption of small household appliances an important consumer product to improve the quality of life, and demand shows certain rigid characteristics. According to the "Regulations on the Safe Use of Household Appliances" in China, the replacement cycle for kitchen small appliances is about 4-5 years, and the demand for updates has brought long-term growth momentum to the domestic small appliance market. Overall, there is no obvious cyclical characteristic in the small home appliance industry.
      By country or region, the current global small household appliances export countries (regions) are mainly China, Germany, Italy, France, the United States, Poland, Mexico, Türkiye, South Korea and Spain. Among them, China has taken on major global orders for small household appliances with its advantages in cost, scale, and technological support. Divided by provinces, due to the first mover advantage of economic development, domestic small home appliance manufacturers are mainly located in economically developed regions such as the Yangtze River Delta and the Pearl River Delta, accounting for more than 80% of the national weight, and have initially formed industrial clusters. Due to differences in consumer habits in different regions, small home appliances have evolved into hundreds of categories based on the lifestyle habits of various regions around the world. The European and American markets are mainly western small appliances such as electric kettle, electric coffee machine, mixer, toaster, toaster, electric iron, and electric oven, while the domestic market is mainly Chinese small appliances such as electric pressure cooker, soybean milk machine, induction cooker, and electric kettle. The small home appliance industry has obvious regional characteristics.
      For export-oriented small home appliance manufacturers, the consumption of small home appliances in European and American countries is greatly affected by holiday factors such as Halloween, Thanksgiving, and Christmas in the second half of the year. Various marketing activities stimulate consumption and drive sales growth. In terms of domestic sales, the sales of kitchen appliances during the Double Eleven and Spring Festival periods are also higher than usual. Considering the prolonged suspension of work and production during the Spring Festival holiday, which affects supply capacity, manufacturers generally increase production in the second half of the year to meet customer ordering needs during the Spring Festival period. Overall, the production and sales of the small home appliance industry in the second half of the year were higher than those in the first half.