The European household appliance market is a massive industry, with its size continuing to grow. In 2024, the combined revenue from the household appliance sectors in the UK, France, and Germany is projected to total $35.3 billion, and it is expected to increase to $38.9 billion by 2027. The shifting dynamics of this market present significant challenges and opportunities for businesses, particularly in terms of intellectual property (IP) strategies.
In this article, we explore the trends in the European household appliance market and how they are influencing IP strategies, with a focus on innovation, brand protection, and shifting consumer preferences.
The term "household appliance" encompasses a broad spectrum of products, from smaller items such as coffee machines, air fryers, and hairdryers, to larger appliances like refrigerators, washing machines, and dishwashers. The market for small appliances is expected to grow from $15.8 billion in 2024 to $17.4 billion by 2027. Notably, vacuum cleaners will make up around 25% of this market. Larger appliances are expected to experience a similar growth trajectory, with revenue projected to rise from $19.5 billion in 2024 to $21.5 billion by 2027, driven largely by refrigerators and washing machines, which are predicted to account for around 70% of the total.
The size and diversity of the household appliance market underscore the need for manufacturers to develop effective IP strategies tailored to the specific growth areas within the sector. Intellectual property protection plays a crucial role in safeguarding innovations in these high-demand product categories, particularly as businesses seek to differentiate themselves in an increasingly competitive environment.
One of the most noteworthy trends within the household appliance sector is the growing popularity of smart appliances. Driven by consumer demand for convenience, energy efficiency, and the integration of products into "smart home" ecosystems, smart appliances are predicted to see a 26% growth rate between 2022 and 2027. These appliances, which can be controlled remotely or adjust energy usage automatically, are becoming critical differentiators in the market.
As IP lawyer Claire Thompson from Bristows LLP points out, "The rise of smart appliances is reshaping the landscape of innovation within the household appliance sector. Patents protecting these smart features have become increasingly vital for manufacturers looking to secure their place in this rapidly evolving market."
Energy efficiency is one of the key factors driving the demand for smart appliances. In the UK, 80% of consumers have expressed concern about rising energy costs. As such, manufacturers are increasingly focusing on developing appliances that optimise energy use, such as those capable of shifting energy consumption to off-peak times. "The emphasis on energy-efficient appliances is reshaping the IP landscape," notes energy and IP specialist Michael Harris from Baker McKenzie. "Manufacturers are focusing heavily on innovations that not only reduce energy consumption but also offer time-of-use features to help consumers manage their electricity bills."
As the pace of innovation accelerates in the household appliance market, consumer preferences are also shifting. Consumers are increasingly replacing their appliances more frequently, spurred by the desire to keep up with the latest technologies. A recent survey revealed that 26% of UK consumers plan to purchase a new household appliance within the next 12 months.
However, this drive for innovation and new products means that durability is becoming less important to consumers. Instead, price sensitivity is on the rise. A survey of 35,000 consumers showed that 25% of UK consumers prioritised lower prices when purchasing household appliances, and the figure rose to 31% among French consumers.
IP expert Sarah Mitchell from Bird & Bird LLP explains, "As consumers become more price-conscious, manufacturers must adapt by focusing on affordability and reducing costs. The challenge for IP strategists will be balancing cost-cutting with the protection of essential innovations."
The way consumers buy household appliances is also undergoing a significant shift. In 2020, around 50% of household appliance purchases were made online. By 2027, it is expected that approximately 60% of appliance purchases will take place through online platforms, a shift driven by the increasing popularity of e-commerce and the lower overheads for online retailers.
This transition presents a new set of challenges for manufacturers in terms of IP protection. As online shopping grows, so too does the risk of counterfeiting and intellectual property infringement. "The growing dominance of online retail is placing additional pressure on brands to protect their intellectual property," says IP lawyer Lisa Carter from Reed Smith LLP. "With more consumers purchasing appliances through e-commerce platforms, businesses need to bolster their online trademark protection and remain vigilant against counterfeit products."
Branding has always been an important factor in the consumer purchasing decision, and it remains a critical element in the household appliance sector. A recent global survey of 110,000 consumers revealed that 35% of them placed significant emphasis on brand when purchasing household appliances. The importance of brand varies by region, however, with nearly half of Polish consumers prioritising brand over other factors, while only a quarter of Swedish consumers feel the same.
In light of this, manufacturers must ensure that their brand strategies are well protected through robust trademark registration and enforcement. "For appliance manufacturers, securing and protecting their brand identity through trademarks is more critical than ever," explains trademark attorney Gregory Williams from Jones Day. "In a competitive market where consumer choice is often driven by brand recognition, IP protection must be at the forefront of a company’s strategy."
The European household appliance market is undergoing significant change, driven by technological innovations, evolving consumer preferences, and the growing shift towards online shopping. For companies operating in this space, it is crucial to adapt their IP strategies to these developments. Protecting innovations, ensuring brand integrity, and addressing the challenges posed by the shift to digital retail are key components of a successful IP strategy. As consumer expectations continue to evolve, businesses that stay ahead of these trends and align their intellectual property practices accordingly will be better positioned to succeed in the competitive European market.
About the author: David Taylor is a recognised expert in Intellectual Property and Technology, specialising in digital branding and internet-related IP challenges. With over 20 years of experience, he has been at the forefront of developing strategies for domain name management and online brand protection across the UK and EU. David’s expertise encompasses a wide range of intellectual property issues, particularly in the context of the rapidly changing online environment. He is widely acknowledged for his innovative approach to internet-related branding matters and has built a reputation as a thought leader in the field.
