The global real estate scenario is improving. While there are reports and studies being conducted on the effects that a boom can have on the economy, here is an interesting study that focuses on something more mundane; small home appliances.
According to a feature in The Financial Post, the real estate boom has given the sales of small home appliances, a good boost. Apparently, as people are buying, moving into new homes or renovating, the need for interior improvements have also gone up. People are replacing their old appliances with new and improved products.
Check out some innovative kitchen ideas, here.
In Canada, sales of small home appliances went up to $122 million in 2012 compared to $22 million of 2009. In another report published by NPD Group, it was revealed that sales of small home appliances in the U.S. spiked 5 percent in 2012 alone. In China, the market share of home appliances jumped 10 percent in 2012.
Consumer spending on small home appliances increased largely in the age group of 45 and up. This is in direct proportion to the age bracket of people buying new homes.
According to a survey by the Federal Reserve Bank of Boston, Older people are more confident about buying homes because they view property purchases as a long-term investment. On the other hand, younger people are more apprehensive about buying homes largely due to the risk involved and other economic factors like having a steady job and being able to pay off a mortgage.
Among the small home appliances, the most popular equipments that are selling like hot cakes are the "kitchen appliances". Blenders, deep-fry makers and coffee -makers are leading the pack of kitchen appliances. Also, the increasing assertion on health, convenience and innovation has supported their sales. Energy efficient products that have a sensible approach toward price are doing exceptionally well in the market.
A report by Euromonitor International read:
"A shift towards more energy-efficient appliances was also driven by new product development. Within automatic tumble dryers, heat pump technology was for example introduced by brands such as Indesit's Hotpoint and Miele. Energy-efficiency was also a focus for new product development in small appliances, with the Bosch Premier Eco in irons for example claiming to offer energy savings of up to 25%."
Check out the list of non-housing bubbles that could burst in 2013, here.
