Appliance Retailer March 2018 by The Intermedia Group

APPLIANCE

NOW IN ITS 22ND YEAR

RETAILER

THE BUSINESS MAGAZINE FOR THE CONSUMER ELECTRONICS INDUSTRY

/// MARCH 2018

HOME CAFÉ COFFEE MACHINE INNOVATION CONTINUES TO DRIVE SALES UPWARD

MOTHER’S DAY SMALL APPLIANCES MAKE A BIG STATEMENT

FLOORCARE CORDLESS VACS MEET DEMAND FOR FLEXIBILITY AND CONVENIENCE

SEE THE INCREDIBLE.

MILE JEDINAK I AUSTRALIAN CAPTAIN

HDR Plus

4K Ultra HD

Wide Colour Gamut

VIDAA U

Lifelike images with more contrast, brightness and colour than ever before.

4 x the resolution compared to standard HD, for clarity you’ll want to reach out and touch.

Expanded wide colour gamut that provides true-to-life precisely tuned colours and hues.

The future of smart TV. Our interface offers an intuitive viewing experience that’s personal and fast.

See the incredible with the Hisense ULED TV range. Bringing you spectacular colour, contrast and motion, the ULED range combines the best in LED TV technology to enhance your at-home viewing experience. The Hisense ULED series comes equipped with jaw-dropping features, including 4K Ultra HD, HDR Plus, Wide Colour Gamut, Local Dimming, Ultra Smooth Motion Rate, Ultra HD Premium Certification, Quantum Dot technology and our patented smart TV interface VIDAA U in select models. Whether you’re a picture purist or a gaming fanatic, ULED is as good as it gets. *Hisense ULED TVs utilise LCD screens with LED backlighting.

EDITORIAL AR Appliance Retailer is published by The Intermedia Group Pty Ltd ABN 940 025 836 82 41 Bridge Road, Glebe NSW 2037 Australia P 02 9660 2113 | F 02 9660 4419 E appliance@intermedia.com.au W www.intermedia.com.au ISSN: 1328-1852 Managing Director Simon Grover Editorial Director James Wells james@intermedia.com.au Deputy Editor Emily Bencic ebencic@intermedia.com.au Features Editor Kymberly Martin kymberly@intermedia.com.au General Manager – Sales Rod Riley rod@intermedia.com.au Art Director Alyssa Coundouris Prepress Tony Willson Production Manager Jacqui Cooper jacqui@intermedia.com.au Head of Circulation Chris Blacklock Subscriptions Ph 1800 651 422

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Alexa, are you listening?

t’s official: Amazon is the world’s most valuable brand. Well, according to Brand Finance. The e-commerce giant has taken the crown from rivals, Apple and Google, in the 2018 global top 100 list, making its debut in top position with brand value of $188.8 billion – a 42% increase from 2017. Brand Finance CEO David Haigh believes all signs point to indefinite and exponential growth for the Amazon brand. “Jeff Bezos once said that ‘brands are more important online than they are in the physical world’. He has proved himself right by choosing the name Amazon, known as the largest, most powerful river in the world, as 23 years later the Amazon brand carries all before it as an unstoppable force.” I can hear the sighs (and the groans), the call-outs ‘but we are ready and well prepared’ and see eyes roll as I pen this piece. But after a rather disappointing debut in December, we can expect to see a lot more from Amazon beyond its e-commerce site, particularly with the recent introduction of Alexa Voice Service (AVS) to the Australian market. This enables companies to integrate Alexa directly into their products, bringing voice control to any connected device. Using hardware and software development kits provided, manufacturers can add an intelligent interface to their products to offer

access to Alexa features, smart home integrations, and skills. Sonos is just one of many to embrace Alexa voice capabilities through its Sonos One smart speaker that also provides a premium multi-room audio experience. Amazon has also introduced Alexa Skills Kit (ASK), specifically designed for developers with no prior knowledge or background in natural language understanding or speech recognition. This has allowed Qantas to offer a voice activated experience to its passengers using Alexa. Travellers are able to ask Alexa for their flight details, to check their Qantas Points balance, and hear how close they are to their next loyalty tier. In banking, Westpac customers can check their account balance, rewards points balance and recent transactions and Flash Briefing skill will keep customers up to date with all the latest finance news, all thanks to Alexa. No doubt we will see a plethora of manufacturers integrating Amazon’s services into their products in the near future, and soon enough Alexa will break into the retail industry and transform the way customers shop and communicate with your store. It’s not a matter of if, but when.

Deputy Editor Emily Bencic

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[ON THE COVER]

NESPRESSO ADDS A TOUCH OF LUXURY Nespresso has launched its latest machine, Lattissima One. Modernised for coffee lovers who enjoy alternating between espresso and milk-based recipes, Lattissima One allows users to create a personalised coffee. Bringing a luxurious design to the Lattissima range, the new machine is equipped with an innovative milk system featuring one button to prepare coffee and milk recipes. Adapted for single use, it includes new milk measurements allowing exact quantities to be poured. Lattissima One is the ideal machine to add a touch of luxury to indulgent coffee moments.

Appliance Retailer March 2018

VOLUME 24 / ISSUE #2

IN THIS ISSUE

De’Longhi PrimaDonna Class

Videopro commits to firstclass customer experiences

16 EDITOR'S NOTE

Undertakes store refresh at new QLD location

Five Minutes With…

Franz Josef Rupp from Prestige Appliances, Chatswood, NSW

HOME CAFÉ FEATURE

Alexa, are you listening?

Amazon is only getting bigger

NEWS

Bing Lee officially opens its latest flagship store

Showcasing a premium lift and direction in the market

Smeg to launch Portofino cookers; Myer CEO steps down from role

World-first in feature set and style; As soft trading continues

Thorn reviews Radio Rentals leasing scheme; Bunnings UK under review

To better support its customers; After disappointing Homebase acquisition Breville the Toast Control

An outlook on the category

Increased innovation fuels continued growth

Key trends in the market

Personalisation becomes more important than ever

Latest coffee machines on the shop floor

Machine offerings meet demand for more variety

A closer look at features and benefits

Nespresso Lattissima One, De’Longhi PrimaDonna Class, among others

From a retail perspective

Consumers become better informed and more confident in tailored experience

MOTHER'S DAY FEATURE

32 33

An outlook on the category Smalls make a big statement

Key trends in the market

Inspiration for aspiring bakers and home cooks

A closer look at features and benefits

Smeg hand blender, Kenwood Chef pasta attachment, among others

FLOORCARE FEATURE

An outlook on the category

Cordless vacuums continue to clean up sales

Key trends in the market

Robotics add to convenience factor for consumers

Latest vacuum cleaners on the shop floor

Smart cleaning technology gets the heads up

A closer look at features and benefits

Electrolux Pure i9 Robot, Roomba 980 Robot, among others

Latest gift ideas on the shop floor

Blenders, breakfast collections, mixer attachments and more

Promotions to push sales Bonus gifts with purchase

From a retail perspective

Three key trends driving purchase decisions

WHAT’S HOT

Pick of the crop

Smeg Portofino, Dyson Supersonic Hair Dryer, and more www.applianceretailer.com.au

AR NEWS Bing Lee Marsden Park store front

Bing Lee opens new flagship store BY EMILY BENCIC

ing Lee has officially opened its new Marsden Park store in Sydney’s north-west. The 1100 square metres store, employs 8 staff and is part of the repurposed Masters site. In an exclusive interview with Appliance Retailer, Bing Lee head of business development and retail sales, Peter Harris said, “We wanted to showcase a premium lift for Bing Lee and our direction in the market as we want to offer a real point of difference to the generalist retailer. “The Marsden Park area is a real growth corridor in Sydney and is home to other big retailers including Ikea and Costco. We thought it was the perfect opportunity to show where we are going as a brand because we know consumers want ease when they are shopping and prefer to only visit one store for all their needs. “In the past, cooking was always a bit of an after-thought for Bing Lee. It would sit up against the wall down the back of the store but now we are moving 6

Appliance Retailer March 2018

cooking into the front and centre of our offering. We wanted to make the space more open, which can be seen in our glass splashbacks in the cooking displays, to show our entire offering from when you first walk into the store. “After opening our Miele specialist store in Drummoyne, we worked with the Miele team to create a unique storein-store concept. For us, it is the first Miele concept of its kind within the Bing Lee network. We are now also offering premium refrigeration, upright cookers and rangehoods from brands including Electrolux, Fisher & Paykel, Hitachi, LG, Samsung, Smeg and Falmec. “In the past, Bing Lee have had great staff but they have been across every part of the business. For this store, we have staff who are specialists in cooking and whitegoods. We want to have people in our business who can sell the benefits that our premium brands offer. We feel we have a good, better, best story within cooking and we want to ensure our range remains meaningful to our customers. “The store offers the largest range of sinks and taps within the Bing Lee network, with Franke, Zip and Blanco product. We are now also showing

Bing Lee head of business development and retail sales, Peter Harris

a full suite of products from Asko, including their built in washer and dryer, as well as a larger and more lifestyle feel Vintec display. “The TV displays and seasonal products have been moved to the back of the store. This has allowed coffee machines and small appliances to move to the front as growth categories and products that have become a real statement piece in the kitchen. “We are now showing customers the benefits of purchasing a soundbar with their television. We want them to touch, feel and experience the soundbars and we have seen uplift in conversion with this new display. We will roll this concept out into more Bing Lee stores. “I would like to thank all of our suppliers for their hard work in putting together their displays and I am looking forward to Marsden Park being another successful store for Bing Lee.”

George Liakatos promoted to MD of Jura Australia Coinciding with the 10th anniversary of Jura Australia, George Liakatos has been promoted to the position of MD as part of a wider restructure within the company. In a statement provided to Appliance Retailer, Liakatos commented on his 15 year history with the company. “I am proud of our achievements it would be remiss of me not to acknowledge the dedication and commitment of all our employees, without whom I would never have been afforded this incredible opportunity. I started working casually demonstrating the product, as the company grew I grew with it and I am here today as managing director,” Liakatos said. Jura Australia has also made some additional organisational changes to support the sales division which Liakatos has managed as head of sales since 2011. “With strong growth comes an expanding sales team, and to manage such a diverse team Sylvia Occhipinti will be moving into a new role as Retail Manager. With over 10 years’ experience with Jura products plus her many years working in sales with Myer, David Jones and Clive Peters, Sylvia is more than equipped to take on this challenge. She acutely understands the needs and requirements of our retail partners and will be able to navigate our sales team towards future success. Along with her new role, Sylvia will continue to oversee the sales consultant and training program she

Jura global CEO Emanuel Probst and George Liakatos

“I STARTED WORKING CASUALLY

DEMONSTRATING THE PRODUCT, AS THE COMPANY GREW I GREW

WITH IT AND I AM HERE TODAY AS MANAGING DIRECTOR.”

has developed over the past five years,” the company said in a statement. Since returning to Jura in early 2017, Ann-Maree Macaulay has been managing Jura’s Sydney based Key Accounts. Through her stewardship she has realised strong growth within David

Jones and Harvey Norman and as a result, Ann-Maree will now manage all our key accounts including Myer and JB Hi-Fi from 2018 onwards. Finally, Stefanie Ritter joined the Jura team in 2013 as Victorian Sales Manager. In early 201, she added our range of Professional Products to her portfolio. She successfully implemented and introduced the first workplace coffee machine, the WE8, through our retail channels in 2017 with great success. In 2018, she will focus exclusively on Professional Products and will be responsible for this division within our business.

V-Zug appoints GM for Australia and New Zealand V-Zug has appointed Nicolas Moser to the position of general manager for Australia and New Zealand, effective 1 April, 2018. He brings over 15 years of managerial experience in Australia and Switzerland to the new role, along with a strong track record in the manufacturing and mining industry. Moser worked with V-Zug in Switzerland for the last two years and holds an MBA from Curtin University in Perth, WA. Moser and his family will relocate from Switzerland to Melbourne in the second half of March.

BY JAMES WELLS

In his new position, he will represent V-Zug by managing the Australian team, developing strategies for driving growth, nurturing relationships with clients and identifying new business opportunities. V-Zug has also recently appointed Siobhan Traficante to the role of trade marketing specialist. She has over 12 years of experience in campaign management, marketing strategy, event management and communication within the appliance industry.

BY EMILY BENCIC

LEFT: V-Zug ANZ general manager, Nicolas Moser RIGHT: V-Zug trade marketing specialist, Siobhan Traficante

www.applianceretailer.com.au

AR NEWS

SMEG TO LAUNCH FLAGSHIP PORTOFINO COOKERS

The Portofino cookers will be available in eight colours including hues of sunshine yellow, olive green, coral red and burnt orange.

Smeg will release its most technologically advanced freestanding cooker to date, the Portofino, as it celebrates its 70 year anniversary in 2018. Portofino, inspired by its namesake village on the Italian Riviera, is a leap forward in world-first features and style. The American-style, semicommercial cooker will be available in eight colours including hues of sunshine yellow, olive green, coral red and burnt orange. Smeg Australia managing director, Jim Kalotheos said, “The launch of Portofino marks the start of a very big year for Smeg, and one that will be full of new benchmarks in terms of design and technology for cooking appliances. Portofino is a new level of innovation for Smeg. It is our most technologically advanced freestanding cooker to date. And what’s more, it brings colours such as burnt orange, sunshine yellow, olive green and coral red into our cooking collection. It’s symbolic of the continued investment made by Smeg into innovative, design-focused new products that offer choice to the consumer like no other manufacturer.”

significantly reduces preheating time to a mere six minutes to reach 200 degrees Celsius. Standard inclusions comprise five cooking levels, telescopic shelves, 40 watt halogen lamps on both sides for maximum visibility and a soft close door. An advanced electronic display offers intuitive control of the 16 cooking modes with 20 automatic pre-set recipes. A tilting grill, rotisserie attachment and optional fitted pizza stone are also included, in addition to pyrolytic self-cleaning technology, removable inner glass door and durable Ever Clean enamel interior. The Portofino’s six burner gas hob includes an ultrarapid burner plus cast iron trivets that have a flat surface, similar to a professional hob, to easily slide pots and pans. The Smeg Portofino freestanding cooker is available in both dual-fuel and induction models and is complemented by a 90cm Portofino rangehood.

BY EMILY BENCIC

World-first features include the Thermoseal cavity, energy efficient European A+ cavity for a 126 litre capacity oven, and triple fan technology with Dynamic Air Flow. The Thermoseal cavity is designed with rounded corners and smooth, uniform walls to create maximum thermal insulation producing the best energy performance of any 90cm oven on the market. Coupled with more powerful heating elements with 23 per cent higher wattage

Myer CEO steps down

Former Myer CEO and managing director, Richard Umbers

Appliance Retailer March 2018

Myer CEO and managing director, Richard Umbers has stepped down from his role and chairman, Garry Hounsell has been appointed executive chairman, effective immediately. A search for a new CEO and MD has commenced. The announcement follows a trading update that reported a 6.5% drop in total sales for January during its key Stocktake Sale period. Total sales in 1H 2018 were down 3.6% to $1.72 billion, down 3% on a comparable store sales basis. Online sales in 1H 2018 were up 48.9%, following a 48.4% increase in 1H 2017. Umbers said the significant deterioration in trading reflected ongoing challenging retail conditions with widespread industry discounting,

BY EMILY BENCIC

a subdued performance of Myer’s Stocktake Sale and a continued shift in consumer behaviour characterised by reduced foot traffic and an increase in online shopping. Commenting on Umbers’ departure, Hounsell said, “We are impatient for a turnaround in the company’s performance and the board has determined that it is in the interests of all shareholders for there to be a fresh approach to drive our future direction. This announcement reflects my desire to drive, first-hand, the urgency required to deliver shareholder value. I thank Richard for his hard work and commitment during the past three years and wish him well for the future.”

LG appoints new sales director and general manager LG Electronics Australia has promoted Murray Richardson to sales director of consumer electronics and appointed former Hitachi executive, Frank Malcaus to general manager of home appliance sales. Richardson previously led the home appliance category at LG for more than 13 years as general manager of sales. Richardson said, “This promotion provides a viable growth opportunity and for that I am truly grateful. I am passionate about LG Electronics and the brand in general. The company’s philosophy of making people’s lives better resonates with me. In my 13 years at LG Electronics I have seen first-hand the impact our products have on helping improve the lives of Australians. “I am looking forward to continuing to grow the LG Electronics business in Australia and making a difference in new areas within the organisation.” Malcaus joins LG with more than 19 years working in the consumer

“THE CATEGORY HAS IMPRESSIVE HOME APPLIANCE INNOVATIONS AND THE FORWARD-THINKING

MENTALITY WITHIN THE BUSINESS IS REMARKABLE.”

Newly appointed LG general manager of home appliance sales, Frank Malcaus

electronics industry. His experience has predominantly focused on home appliance categories after holding senior positions at Hitachi and Samsung Electronics.

E&S EXPANDS TO PRESTON e&s plans to open its biggest store yet in the second half of 2018 with its first foray into the Melbourne’s north with the new site to be located in Preston. Signing the lease on a repurposed Masters site, e&s will use the 3,039 square metre space for a showroom, warehouse, undercover loading and unloading, as well as direct car park access through a dedicated shop front. e&s joint-managing director, Rob Sinclair said, “As our company continues to grow, we aim to fit into the areas of Melbourne that we see as

Render of e&s Preston

BY EMILY BENCIC

Commenting on his appointment, Malcaus said, “I am excited to join the team at LG Electronics Australia. The category has impressive home appliance innovations and the forwardthinking mentality within the business is remarkable. “I am looking forward to collaborating with the team, bringing in fresh perspectives to this category and tackling any new challenges that may come our way. Ultimately, at the heart of this role will be ensuring these products continue to help improve the day-to-day lives of Australians.”

BY EMILY BENCIC

having the most potential. Studying existing sales, we can safely say that the northern wedge between our Essendon, Abbotsford and Blackburn stores provides the best opportunity to gain new customers and satisfy the needs of our existing customers. “We are engaging a leading interior design firm to freshen our look to a more contemporary standard and provide an industry insight to create a more customer-centric display experience. No different to our existing showrooms, Preston will showcase the superior craftsmanship, design, and technology of these products, and all under the one roof. “When our customers step inside our showroom we want them to enjoy an immersive experience where there is no hesitation in testing each product’s function, whether that be by taking part in a kitchen demonstration or even sitting in a bathtub.”

e&s joint-managing director, Rob Sinclair

www.applianceretailer.com.au

AR NEWS

Thorn reviews Radio Rentals leasing scheme

Radio Rentals new store format

Thorn Australia has reached an agreement with the Australian Securities and Investments Commission (ASIC) that will see the Radio Rentals owner remediate certain fees and expenses, totalling $6.1 million, for consumers who entered into relevant leases from 1 January 2012 to 1 May 2015. Thorn will also pay a civil penalty of $2 million, subject to the decision of the Federal Court. In March 2017, Sydney-based law firm, Maurice Blackburn, launched a class action seeking compensation for over

200,000 consumers who entered into ‘Rent Try $1 Buy’ leases with Radio Rentals. In a statement to the ASX, Thorn said the repayments had been substantially completed and independently reviewed. The company also made a provision for the civil penalty and remediation in its prior year accounts. In response to changing market and customer demands, legislative changes and the ASIC investigation, Thorn has made significant changes to the way it conducts its consumer leasing operations. The changes include:

Bunnings UK and Ireland under review Wesfarmers managing director, Rob Scott confirmed a review is underway for Bunnings UK and Ireland (BUKI) to improve shareholder returns with the ‘disappointing’ Homebase acquisition performing below expectations. Following a review of strategic plans, the group booked a non-cash impairment of $795 million, stock write-downs of $66 million and a write-down of deferred tax assets of $92 million in its half-year 2018 financial results. “We will take a disciplined approach to further capital deployment in BUKI and provide an update on the outcomes of the business review and our plans for a broader conversion to Bunnings at our Strategy Briefing Day in June,” Scott said. Wesfarmers concurrently announced that BUKI managing director, Peter J (PJ) Davis will retire from the business after a 10

Appliance Retailer March 2018

BY EMILY BENCIC

• A new online credit application and assessment system • Reduced pricing below pricing caps proposed by the Federal government • A new plain English contract to be introduced in the first half of 2018 • An upgraded hardship policy • A revised claims management policy and internal dispute resolution process Thorn Group acting CEO, Peter Forsberg said, “I am pleased we have reached this resolution with ASIC. The changes we have made to the consumer leasing division put it on a sound footing to meet customer needs and satisfy its responsible lending obligations. “Thorn’s consumer leasing business is the largest in Australia and it is now positioned to strengthen its offering in this segment. Consumer leasing is an important part of the financial system, as research shows that 3 million Australians are excluded from the financial mainstream.” The South Australian Radio Rentals brand is not associated in any way to Radio Rentals stores owned and operated by the Thorn Group in states other than South Australia. In South Australia, Thorn Group stores trade as Rentlo Reinvented.

BY EMILY BENCIC

Schneider has more than 30 years of experience in the UK home improvement and DIY market. A number of other senior leadership appointments including David Haydon as COO have been made to strengthen the BUKI team and provide additional local experience and expertise. Wesfarmers’ Rob Wesfarmers managing Scott said, “PJ has director, Rob Scott been instrumental in driving the growth and success of Bunnings for the past three 25 year career with Bunnings. BUKI will decades and in the establishment of now be led by Damian McGloughin, who the Bunnings Warehouse format in will report to Bunnings group managing Australia in the 1990s.” director, Michael Schneider.

SMEG TEAMS UP WITH CARRIAGEWORKS BY EMILY BENCIC

Smeg has joined Sydney’s Carriageworks in a multi-year partnership that will see leading chefs and producers give cooking demonstrations from a state-ofthe-art Smeg kitchen, purpose-built for the heritage-listed building. The Smeg purpose-built kitchen features appliances from Smeg’s most popular collections – Classic stainless steel oven and cooktop plus the iconic FAB refrigerator and small appliances. The kitchen was unveiled at a recent event with cooking demonstrations from renowned chef of Three Blue Ducks and Rocker, Darren Robertson, hosted by food columnist for Sydney Morning Herald and Australian Financial Review, Jill Dupleix. Commenting on the partnership, Smeg Australia managing director, Jim Kalotheos said, “Each month a variety

Smeg managing director, Jim Kalotheos with Carriageworks Farmers Market creative director and chef, Mike McEnearney (Photo Credit: Jacquie Manning)

SMEG HAS JOINED SYDNEY’S CARRIAGEWORKS IN A MULTIYEAR PARTNERSHIP THAT WILL SEE LEADING CHEFS AND PRODUCERS GIVE COOKING DEMONSTRATIONS FROM A STATE-OF-THE-ART SMEG KITCHEN.

of our leading local and international chefs plus local producers will present a seasonal demonstration. Smeg’s passion is food and design and the opportunity to showcase some of our most passionate chefs – cooking with local farmers’ fresh produce – in a beautiful space such as Carriageworks is a project we are proud to be part of.”

New Asko products launched by Shaynna Blaze Asko Australia ambassador and interior designer Shaynna Blaze launched the new range of Asko laundry and dishwashers at her studio in Melbourne last month. The Asko laundry range, initially launched to a select group of Australian retailers in Stockholm last year, and described as the "best ever", is now available in the local market. The launch event, held at Shaynna Blaze's studio in Hawthorn, was also

Asko Australia team with ambassador and interior designer, Shaynna Blaze

attended by executives from Asko Australia, Asko China as well as over 50 employees from E&S Trading stores in Victoria including managing director, Rob Sinclair. Blaze, who also works on television programs Selling Houses Australia and The Block, shared her thoughts on the brand and the new products after recently visiting the Asko head office in Stockholm.

BY JAMES WELLS

“Design has changed so rapidly and the hunger of knowledge from clients and designers is huge," she said. “The user friendly application and the simplicity is what appeals to me about the new Asko range, as well as its ease of integration from an interior design perspective. One of the revolutionary things in the washing machines and the dryers are the paddles which means that your sheets will no longer come out of your machine in a knot and I think that is a great end-user function.” Blaze also shared her thoughts on the contemporary use of laundry products within modern interior design within households. “We have traditionally had laundries in our homes as a big separate area, but that is not so much the case anymore. To make contemporary laundries more functional, you need to look at utilising a secondary space as they can take up too much of a footprint. The integration of laundries into kitchens and bathrooms more shows we are taking on that European mentality.” www.applianceretailer.com.au

AR RETAIL PROFILE

Sonos home sound system and Denon home audio

Samsung UHD TV range

Videopro commits to first-class customer experiences

udio visual, camera and technology specialist, Videopro has four stores in Queensland located in Helensvale, Carindale, an outlet in Brisbane Airport DFO and more recently, the group relocated its Fortitude Valley store to nearby Newstead – an ideal opportunity to refresh its in-store experience. Speaking to Appliance Retailer, Videopro Executive Director, Cameron Douglas said the Newstead store represented the group’s commitment to technology and service. “We create spaces that foster demonstration, as well

Sony camera lens offering

Appliance Retailer March 2018

BY EMILY BENCIC which ensures best decisions are made. Examples of these include our Bluetooth speaker wall on entry, right up to a state-of-the-art home theatre room with the capacity to run nine projectors over three screens.” Another key component to the Videopro business is the culture and staff sentiment towards the company. “When you walk into a store as a customer, you can feel the behaviours and values of the staff in everything they do and say, their responsiveness and their authenticity – it can’t be faked. We go to great lengths to ensure that people don’t just work for Videopro, but they believe in what we are about. Competition can copy what you do, but they can’t copy how you do it or why you do it,” he said. Videopro Executive Director, “Retail, however you Cameron Douglas want to define it, will be fine and continue to grow as the market grows – the greatest impact will be the supply chain disruption that has been occurring for some time. This disruption has a greater impact on profitability than revenues, which can lead to share price fluctuations and ultimately store closures. However, this doesn’t mean spending has stopped, it has simply shifted.”

as collaboration with our customers. We have transitioned away from large counters to more workspaces and low display cabinets to encourage customers to discuss wants, needs and outcomes.” In today’s retail environment, Douglas believes it is critical to invest in and create stores that offer advice, demonstrations, comparisons, service and real care to give people the experience that will inspire them to buy, and then come back and buy again. “Each of our displays and demonstration areas seeks to provide an experience

TV offering at the Newstead store

Headphone wall at the Newstead store

Videopro director of buying, Scott Govenlock and CEO Ian Wright

Videopro has been servicing its local Queensland customers for 38 years and since its inception in 1980 by managing director, Shane Leaney, the business has experienced significant change. Since carrying out commercial installations in the mid-1980s, the group has since grown a commercial integration business, providing smart workplace and collaboration technologies to corporate, government and education clients.

And his observations on the arrival of Amazon: “Outside of Amazon’s brand they have three core strengths – range, price and logistics, albeit logistics is very new and Australia is a big country. So far, the common advice is to do something that Amazon can’t – i.e. focus on experience, customer value, company values, uniqueness or personalised service, and this is good advice, but it shouldn’t detract from the fact that all retailers can run a successful online business as well, and more importantly, many are, they just don’t get the media attention that Amazon do.

“The greatest negative impact that ecommerce has had on our business was five years ago when the Australian dollar exceeded US$1, American retailers began shipping into Australia and if it was under $1,000 they were GST exempt. You could argue that this was the next wave of technologyenabled globalisation. Although it was a difficult disruption to manage, it built resilience in our company; it refocused our energy and attention, and made us see everything through a value lens. “For those that don’t get overwhelmed by the increased competition that Amazon brings, they will see them as an important stakeholder to improve their business. They will see the numbers, the opportunity and will understand that it’s not about online and in-store, but rather customers and value. Customers want to buy things; it’s the retailers’ responsibility to light the pathway into their organisation. “Our mantra is that it doesn’t matter if you are purchasing a multi-million dollar smart workplace, or a new TV and soundbar for your family home, you are important to Videopro and your experience with us will reflect that. We are experiencing double digit growth year-on-year and forecast this to continue in 2018 and beyond with plans to increase our footprint in Queensland to improve customer reach and accessibility.” AR www.applianceretailer.com.au

AR NEWS

FIVE MINUTES WITH…

Name: Franz Josef Rupp Retailer: Prestige Appliances Store location: Chatswood, NSW Years in the industry: 13 years

What is your outlook on the industry for 2018?

I think 2018 will be a slightly better year than 2017 as many of the local and international disrupters have gone. At this stage, the fear of Amazon has not yet materialised in the major appliance market, although it may come to fruition in the small appliance categories. Consumers still want to see and touch products such as refrigerators and cookers. Consolidation of disrupters is always on the cards and that may make it more difficult for independent retailers (such as ourselves) which are not part of any chain or buying group. Hence, we need to be better or more specialised at our job.

What is your best piece of advice to other retailers?

Find the point of difference in your business to your competitors and work on your business every day, not just in it. If you are doing anything special, such as an appliance demonstration, make it a real event for everybody to engage with. Don’t try to be the best in everything; rather, be the best in something. For example, specialise in a product type such as rangehoods or 14

Appliance Retailer March 2018

steam ovens. Remember your customers and follow up with them when you say you will. Believe me, many retailers never follow up. It costs less to maintain contact with an existing customer than to get a new one.

features and benefits right. Once our product specialists are on top of a new or improved product, they then teach the rest of the team. We also regularly invite all reps to hold a training session for their products in our store.

How does your business remain competitive?

Who is your biggest influence?

We try to provide a personalised, bespoke buying experience whereby we interview the customer to ensure we fully understand their reason, mission, wants and needs for their visit to our store before making any recommendation for their purchase. Being totally customer focused sets us apart from most chain retailers and all of our staff can be described as industry veterans with a minimum 10 years of experience in the appliance industry.

What is the biggest challenge in your role?

Staying on top of the ever-evolving new product releases and understanding new trends. We need to research the offers and product range of our competitors. We must also get the information on

BELIEVE ME, MANY RETAILERS NEVER FOLLOW UP. IT COSTS LESS TO MAINTAIN CONTACT WITH AN EXISTING CUSTOMER THAN TO GET A NEW ONE.

Anybody who is successful in the industry as an independent appliance retailer and unfortunately there are not many left. I look mostly to people who are humble and successful rather than self-promoters – promote your business and promote your products and service – leave your ego at the door. Our staff are often the unsung heroes, along with our reps and suppliers who go the extra mile to get a deal over the line or satisfy our discerning customers. Doing it with a smile and in a sincere manner is not always easy.

What is the key to a good relationship with suppliers?

Retailers need to support their suppliers as much as they support them because it is a team effort. Nobody is successful on their own. Promote all their products not just your personal favourites. And don’t forget to add-on. Customers renovating an existing kitchen or purchasing new kitchen appliances also need a new sink or tap. AR

FEATURE

N E W VE RTUO. CO FFE E R E D E FI N E D.

AR HOME CAFÉ

OUTLOOK

Innovation fuels continued growth BY EMILY BENCIC

onsumers are increasingly interested in being involved in the coffee-making process, according to Euromonitor International research analyst, Jorge Rosas, and show a preference for machines that will allow them to have more control over tasks such as frothing milk, grinding beans and choosing the type of coffee used.

“Additionally, consumers continue to look for the same quality at home that they find in a coffee shop. The espresso coffee machine category is expected to continue growing in volume terms over the next five years as more innovation enables consumers to fulfil their desire to make highquality coffee at home,” he said. The espresso machine market experienced a 10% lift in value from October 2016 to November 2017, according to GfK data.

Breville now holds 42% of the espresso machine market in value as it continues to introduce new technologies. The company also holds 56.5% share of the combined espresso pump portion closed (capsule) and pump traditional (manual) segment. Meanwhile, Sunbeam holds 36% value share in manual espresso machines with a growth rate of 7% MAT and 37% value share in pod machines. AR

THE CLASSIC ESPRESSO EXPERIENCE

TRENDS

Personalisation more important than ever

here are no signs of a slowdown for the category as Australia’s love affair with coffee continues to deepen and grow, contributing to healthy and consistent growth in machine sales. According to Nespresso, there is a buoyant future for portioned coffee machines in particular, as they offer a convenient solution for quality coffee. There is also a clear trend toward experimentation. “A recent internal study found that 8 in 10 Australian portioned coffee drinkers like to experiment with their coffee, which has influenced a shift to machines that provide a range of coffee recipes to suit various taste preferences,” commercial manager, Nicole Parker said. To meet this demand of personalisation, Nespresso introduced its Vertuo system, designed for the premium instant coffee drinker, while its Original system has seven machines and 24 coffee varieties for consumers who want espresso-based coffees.

Nicole Parker – Nespresso.

Internal research also found that one-third of Australian consumers now only drink coffee that is sourced sustainably. “Our AAA Sustainable Quality Coffee Program is key to our customer coffee education. Founded almost 15 years ago, there are over 70,000 farmers across 12 countries adopting sustainable farming practices to ensure Nespresso offers the highest quality coffee,” she said.

A RECENT NESPRESSO STUDY FOUND THAT 8 IN 10

AUSTRALIAN PORTIONED COFFEE DRINKERS

LIKE TO EXPERIMENT WITH THEIR COFFEE.

De’Longhi is also catering to various tastes and preferences by offering an extensive range of coffee machines from capsule to fully automatic. “It is an exciting time for the home coffee machine market with various flavours, coffee blends and new brewing techniques,” category manager, Allison Cupillari said. “As an appreciation of good quality coffee continues to develop, so too will demand for fresh bean machines and fully automatic machines. Our research has shown that it is all about enjoyment and indulgence for the consumer.”

George Liakatos – Jura.

The fully automatic coffee machine segment has experienced “tremendous growth” over at Jura, driven by a want for quality coffee at the touch of a button. “Growth has been most prominent in our mid-segment line of machines with the introduction of the E6 in early 2017. Concurrently, our premium line machines continue to outperform, which can largely be attributed to the introduction of the Z8 in the second half of the year,” managing director, George Liakatos said. “Coffee machines with the simplest operation are leading the path to purchase, and to meet demand for ease of use and connectivity, we have developed a new Jura app that we will launch later in the year.” Ease of use was a trend also highlighted by Breville business manager for beverage and toast, Athena Kalos. “A café quality coffee is a delicate balance of espresso flavour and micro-foam milk. Milk texturing is a critical element to achieving this

THE FULL RANGE OF COFFEE STYLES

AR HOME CAFÉ outcome with coffee aficionados seeking to create latte art café style finishes every time,” she said. As well as achieving café quality coffee, consumers want their machine to be a stylish addition to the benchtop. Monochromatic tones with chrome trims will be a popular colour choice for the kitchen in 2018, according to Kalos. “The new season Luxe Collection, including the Nespresso Creatista, will be available in matte black truffle and smoked hickory to deliver opulent highlights and a timeless elegance.” Nescafé Dolce Gusto sales and partner manager, Bryan Win described 2017 as a turnaround growth year in the electrical channel with plans to grow sales more than 100% in 2018. “We have seen enormous growth in the capsule category and aim to drive further sales through the launch of our new range with Breville, supported by a full marketing program, in-store demonstrations and evolving point-ofsale,” he said. “This year, we want to become the clear number two capsule machine brand in volume terms in the Australian market.” Smeg has discovered that Australians consume more fresh coffee beans per capita than any other country. “This has led to a record sales year for Smeg as we understand consumer demand for choice. Our coffee machines allow consumers to produce the perfect custom cup of coffee every time,” head of brand, Tamara Buchanan said. KitchenAid is looking to capitalise on the cold brew coffee segment after internal research found that many consumers are interested in making cold brew but simply do not know how. “Coffee is not all about espresso but understanding the diverse flavour profiles that exist within coffee and being able to cater for those different

Athena Kalos – Breville.

Appliance Retailer March 2018

Tamara Buchanan – Smeg.

THE FULLY AUTOMATIC COFFEE MACHINE SEGMENT HAS

EXPERIENCED TREMENDOUS

GROWTH OVER AT JURA, DRIVEN BY A WANT FOR QUALITY COFFEE AT THE TOUCH OF A BUTTON.

tastes,” senior category marketing manager, Filiz Bensan said. “The flavour profile of coffee can be influenced by bean selection, tamping, extraction method and brewing process, which all influence the density and acidity of the coffee, and not all consumers like to have a rich espresso.” With this in mind, KitchenAid has introduced the Cold Brew coffee maker to bring the high quality taste and experience of the café cold brew into the home. “Cold brew becomes

a new alternative, or better still, another style of coffee to choose from. It attracts consumers who have a different flavour profile and prefer a lighter, more refreshing beverage, to the category.” A strong café culture has influenced demand for better quality coffee and a desire to replicate the café experience at home with a manual espresso machine, according to Sunbeam category manager for coffee, Daniel Aylward. “Consumers now understand more about coffee taste and quality. As a result, manual espresso machines are continuing to grow at a rate of 20% in value (GfK, November 2017) and this is reflected in Sunbeam’s growth rate of 7% MAT, which can be attributed to the recent launch of the Mini Barista espresso machine, the continued growth in the Café Series espresso machine plus capsule and Sunbeam Café Barista,” he said. AR

Nescafé Dolce Gusto – Bryan Win.

NEW This Motherâ&#x20AC;&#x2122;s Day, Nespresso is pleased to announce the launch of the new Lattissima One coffee machine. At the same time, we are also offering coffee lovers up to $80 of value ($40 cash back plus $40 coffee credit) when they purchase a selected Nespresso coffee machine, including Lattissima One. Promotion valid between 19th March 2018 and 20th May 2018.

DUAL OFFER

Receive up to

of value when you purchase a selected Nespresso machine* ($40 cash back & $40 coffee credit)

*Receive $40 cash back plus $40 Nespresso coffee credit when you purchase a CitiZ, Pixie, Prodigio, Expert, Lattissima, Maestria, Gran Maestria, U, KitchenAid or Creatista Nespresso machine (offer 1) or receive $20 cash back plus $20 coffee credit when you purchase an Inissia, Essenza or Essenza Mini Nespresso machine (offer 2). Excludes Vertuo machines. Offer valid between 12:01am AEDT 19/3/18 and 11:59pm AEST 20/5/18. See full terms and submit claim at www.nespressopromotion.com.au by 11:59pm AEST 20/6/18. Use coffee credit in full single transaction by 20/7/18. 1 claim per purchase. Maximum 3 claims per Nespresso Club member. MINIMUM CASH SPEND required to use coffee credit. Cannot be used with other Nespresso offers.

AR HOME CAFÉ

Machines meet demand for more variety

n March, Nespresso will introduce a new addition to its Original machine range, the Lattissima One. Equipped with a fresh and innovative milk system, the machine has just one button to prepare coffee and milk recipes. It has been adapted for single use and includes new milk measurements, allowing exact quantities to be poured. The machine will be available in two colours, silky white and mocha brown. Both the Nespresso Vertuo Plus and new Lattissima One will be a focus for the Mother’s Day period as each machine offers unique coffee experiences. De’Longhi refreshed its fully automatic coffee machines in 2017 and this year the spotlight has turned to the PrimaDonna range with a new model, the PrimaDonna Class. Consumers can select their favourite drink at the touch of a button on the new and intuitive 3.5-inch colour display. The PrimaDonna Class offers a range of 13 coffee recipes that can be customised by adjusting the strength or aroma, length of the espresso quantity or pour, and amount of milk and foam. The machine is also equipped with the LatteCrema system which can mix steam, air and milk to deliver the perfect milk foam with a silky smooth texture. There is also a manual steam wand for users who want to try their hand at latte art. With the dedicated De’Longhi Coffee Link app, the PrimaDonna Class can be programed via Bluetooth for users to select their preferred beverage, personalise and save their recipes with a smartphone. Jura will release the S8 in March, combining the best of the compact class with elements of the premium segment. It offers 15 different coffee specialities made by key technologies including the Aroma grinder, Pulse Extraction Process (P.E.P.) and fine foam technology. Graphics and

Appliance Retailer March 2018

RANGES

DE’LONGHI REFRESHED ITS FULLY AUTOMATIC COFFEE

MACHINES IN 2017 AND THIS YEAR THE SPOTLIGHT HAS

TURNED TO THE PRIMADONNA RANGE WITH A NEW MODEL, THE PRIMADONNA CLASS.

animations on the integrated 4.3-inch high resolution colour touchscreen show every step of preparation, guiding the user through the process. Users can rename, move, copy or duplicate individual preferences and control the machine via the Jura coffee app. The Barista Touch (BES880) is the latest automatic manual espresso machine from Breville that delivers barista quality coffee in a compact footprint. It features the same swipe and select touch screen as the Oracle Touch with five coffee menu options, eight custom settings and automatic milk texturing and temperature control. In addition to Breville’s

Breville the Barista Touch BES880

Extract more out of every sale this Mother’s Day. Customers will receive $100 CASHBACK or 2KG COFFEE BEANS via redemption, with the purchase of selected coffee machines.

100 CASHBACK*

ECAM65085MS, ECAM65055MS, ECAM55075MS, ECAM55055SB, ECAM51055M or EABI6600*.

2KG COFFEE BEANS* ECAM45760B/W, ECAM23460S, ECAM35055B/W, ECAM28465M, ETAM36365M, ECAM35075S, ECAM35015B, ECAM22110SB or ESAM04110B*.

Starts March 30, 2018 – Ends May 14, 2018. *Terms and conditions apply. To view full promotion and terms and conditions please visit promotions.delonghi.com.au or contact your De’Longhi representative on 1800 126 659 or visit delonghi.com.au

Better Everyday

AR HOME CAFÉ KitchenAid Cold Brew Coffee Maker

THE FLAGSHIP PRODUCT FOR KITCHENAID IS THE COLD

BREW COFFEE MAKER, WHICH ALLOWS A THREE-STEP HOME BREWING PROCESS: GRIND, BREW AND POUR.

Appliance Retailer March 2018

unique automatic milk texturing technology, the Barista Touch has the latest heating technology, enabling a three second heat up combined with PID digital temperature control. Nescafé Dolce Gusto (NDG) has partnered with Breville to launch a new compact automatic coffee machine, the Lumio (NCU600) with 15 bar pressure, automatic flow stop and an intuitive selecting wheel. It also features an extra-large cup function, hot and cold functionality, an energy saving function and removable one litre water tank. NDG will launch another coffee machine in the second half of the year, specifically for the electrical retail channel. Smeg offers both freestanding manual and built-in fully automatic models but its hero product in its coffee range is the ECF01 manual espresso machine. Available in four colours – red, black, cream and pastel blue – it boasts a Thermoblock heat system, 15 bar pressure, personalised settings for temperature, cup size and water

hardness. Consumers are able to use either ground coffee or paper pods with this machine. To complement its machine offering, Smeg recently released premium coffee accessories including a vacuum sealed coffee canister, stainless steel tamper and tamper mat, as well as a matte black frothing jug. The flagship product for KitchenAid is the Cold Brew coffee maker, which allows a three-step home brewing process: grind, brew and pour. The no heat brewing method steeps coarsely ground coffee in cold water for 12 to 24 hours, resulting in a smooth and balanced flavour. “Cold brew is not about extracting coffee and pouring cold milk or ice cubes over it; it is about the brewing and preparation process,” Filiz Bensan said. It has easy-to-clean glass and stainless components to help preserve taste in combination with a fitted lid that ensures freshness of coffee concentrate. Cold Brew makes approximately 14 average single cup servings of coffee and is ideal for other beverages including tea, cocktails and fruit infusions. KitchenAid Precision Press P150358

Introducing the NEW PrimaDonna Class. Create barista-quality coffee at home without the mess or hassle at the touch of a button. Use the simple and intuitive colour touch display, or communicate with the machine remotely using the clever Coffee Link app on your mobile device. Great coffee has never been easier. To learn more, contact your Deâ&#x20AC;&#x2122;Longhi representative on 1800 126 659 or visit delonghi.com.au

Better Everyday

AR HOME CAFÉ Other products in the KitchenAid Craft Coffee range include the Precision Press, Siphon Brewer and Burr Grinder. The KitchenAid Precision Press coffee maker delivers the flavour of traditional French press coffee through a simplified brew process. Equipped with an integrated scale, it measures coffee and water by weight instead of volume. It also incorporates a timer and digital display in the handle, carafe with dual stainless steel construction and cordless design. The KitchenAid Siphon Brewer uses vapour pressure to create a vacuum and draw hot water from the carafe up through a stainless steel siphon tube and into the upper brew unit. The ground coffee is then fully immersed and evenly saturated with hot water, extracting full flavour. When brewing temperature is reached, the heat turns off and vacuum is lost, allowing the freshly brewed coffee to stream down

THE KITCHENAID

PRECISION PRESS COFFEE MAKER

DELIVERS THE FLAVOUR OF TRADITIONAL

FRENCH PRESS COFFEE

Nescafé Dolce Gusto Lumio NCU600

THROUGH A SIMPLIFIED BREW PROCESS.

EQUIPPED WITH AN

INTEGRATED SCALE,

IT MEASURES COFFEE

AND WATER BY WEIGHT INSTEAD OF VOLUME. Smeg ECF01 Manual Espresso Machine

through a reusable stainless steel mesh filter and empty back into the carafe. The brewer is constructed of premium glass with stainless steel accents, features a strong magnetic interlock system to ensure a tight seal for brewing, a dual-purpose lid and angled cleaning brush. The KitchenAid Burr Grinder allows for greater customisation of coffee. It features a die-cast metal design, 15 grind settings for French press, pour-over, drip coffee, espresso and anything in between. The glass bean hopper holds up to 200 grams of grinds, while stainless steel cutting burrs offer durability and powerful performance. Following the recent launch of the Sunbeam Mini Barista (EM4300), the company will be focusing on its existing coffee machines. In particular, the Piccolo Espresso (EM2800) and Café Espresso II featuring an Italian designed 15 bar pump, Thermoblock technology for fast heat up, as well as a crema system for an RRP of $129 and $149, respectively, and the Café Barista (EM5000) manual coffee and automated milk machine with a onetouch control panel. AR 24

Appliance Retailer March 2018

AR HOME CAFÉ

Jura S8 `` Aroma grinder `` Pulse Extraction Process (P.E.P.) `` Fine foam technology `` Integrated 4.3-inch high-resolution colour touchscreen display

Consumers can choose from 15 different coffee specialties from espresso to flat white to café latte. The stylish design of this machine embodies clean, symmetrical forms and harmonious lines.

RRP: $2,650

Jura: 1300 285 872

PRODUCT GALLERY

De’Longhi PrimaDonna Class `` LatteCrema system for creamy foam and silky smooth texture `` Manual steam wand `` Dedicated De’Longhi Coffee Link app `` Wide full colour TFT display

RRP: From

$1,699

De’Longhi: 1800 126 659 Users can make coffee beverages at the perfect temperature with the perfect density, colour and taste thanks to De’Longhi’s exclusive bean-to-cup technology, all at the touch of a button.

Nespresso Lattissima One `` 25 second heat up time `` Descaling and cleaning LED alerts `` Low energy mode after nine minutes of non-use `` Compact size

RRP: $399

Nespresso: 1800 623 033 Users can prepare their favourite coffee and milk drinks with one single button and two programmable coffee selections – espresso or lungo. There are two pictograms on the milk jug that indicate exact milk quantity.

Appliance Retailer March 2018

Coffee pleasure –

freshly ground, not capsuled.

Roger Federer Greatest tennis champion of all time

The stylish S8 from JURA captivates even the most discerning coffee lovers and design connoisseurs – like Roger Federer. It combines the best aspects of the compact class with elements of the premium segment. Innovations like the Pulse Extraction Process (P.E.P.®) and the fine foam technology guarantee professional barista quality, whether it’s for ristretto, latte macchiato or flat white. The appliance is operated intuitively using the 4.3" colour touchscreen display or even a smartphone or tablet if preferred. In addition, the filter is automatically detected by the Intelligent Water System (I.W.S.®). JURA – If you love coffee. www.jura.com

AR HOME CAFÉ

FROM THE FLOOR

Kong Luc from Bi-Rite Home Appliances

i-Rite Home Appliances category manager for small domestic appliances, Kong Luc has witnessed strong demand for good coffee with more barista services (mobile coffee vans or small coffee shops) popping up in the Brisbane CBD and surrounding areas. “Consumers are aware that there will always be a queue for coffee in the mornings. So why not just buy a coffee machine and enjoy it from home? This mentality has reflected a slow and steady growth in the category,” he said. With a vast array of coffee machines on offer, Luc believes there is a solution for even the most particular of coffee 28

Appliance Retailer March 2018

purists. “Aside from its successful marketing campaign, Nespresso capsule machines have had a great uptake in the market due to their simplicity in operation, convenience and variety of capsules available. But as today’s consumers become better informed and more confident in pursuing a more tailored in-home coffee experience, we may start seeing a trend towards manual espresso machines.” So what are the key attributes consumers look for on their purchase journey? “There is a combination of factors involved when consumers make the decision to purchase a coffee

is very effective when applied to introducing automatic and manual espresso machines to the consumer. If the consumer is shown how easy it can be to operate and maintain these machines, they can easily make a confident and well-informed decision on purchasing a product that can cater to their own tailored in-home coffee experience.” When asked about supplier promotions such as bonus gifts and cashback offers, he said the intended excitement of these promotions can easily be dulled. “While the market may seem flooded with promotions at

“AS TODAY’S CONSUMERS BECOME BETTER INFORMED AND MORE CONFIDENT IN PURSUING A MORE TAILORED IN-HOME COFFEE EXPERIENCE, WE MAY START SEEING A TREND TOWARDS MANUAL ESPRESSO MACHINES.” machine. Pricing and promotional activity are generally the first things that a consumer sees when they approach a product on the retail floor. “The one thing they don’t often see is how a coffee machine works. From a consumer’s perspective, it is far more intriguing seeing (and in this case tasting) the finished product that their potential new coffee machine can produce. This

times, the effectiveness of a promotion is largely based on two factors – the additional value to the original purchase and the ease of redemption (at point of sale or online). “There is no doubt that these promotions are still a very efficient form of marketing. If presented clearly and timed well, these promotional offers will most definitely entice a consumer’s intent to buy,” he said. AR

B R E A K FA S T AT S T E P H A N I E ’ S

THE GLAMOUR AND TASTE OF THE WORLD’S BEST COFFEE NOW AT YOUR FINGERTIPS

SMAS18847

AVAILABLE IN BLACK • RED • CREAM • PASTEL BLUE

AR HOME CAFÉ PROMOTIONS

Cashbacks and bonus gifts sweeten the sale Promotions are often most successful around key selling periods and in this instance, will coincide with Mother’s Day. Key coffee machine suppliers are encouraging sales with one or more promotions including cashbacks and bonus gift with purchases to entice customers to enjoy an in-home coffee experience.

NESPRESSO

Consumers receive a $100 cashback when they purchase a Nespresso Vertuo Plus machine; a $40 coffee credit coupled with a $40 cashback with the purchase of an original Nespresso system, or a $20 coffee credit coupled with $20 cashback with the purchase of a Nespresso Essenza or Inissia, from 19 March to 20 May, 2018. 30

Appliance Retailer March 2018

BREVILLE

SMEG

DE’LONGHI

JURA

Breville is offering a bonus 250g bag of fresh coffee with the purchase of the Oracle, Oracle Touch, Barista Touch and Dual Boiler espresso machines. This promotion runs from 1 April to 31 May, 2018.

Consumers purchasing selected De’Longhi fully automatic coffee machines across the PrimaDonna range will receive a $100 cashback. Alternatively, consumers will receive bonus 2kg coffee beans on other selected fully automatic coffee machines. These offers will run from 30 March to 14 May, 2018.

When consumers purchase a Smeg ECF01 manual pump espresso machine, they will receive a seven-piece barista pack (valued at $59.95) via redemption between 1 April and 31 May, 2018.

With the purchase of eligible Jura coffee machines between 1 April and 27 May, 2018, consumers will receive a bonus gift pack (valued at $200) that will include Jura crockery, spoons, coffee beans and other consumables. Eligible models include the GIGA 5, Z6, Z8, S8, J6, F9, E8, E6, A9, ENA Micro 90 and ENA Micro 1.

FEATURE

Motherâ&#x20AC;&#x2122;s Day OUTLOOK | TRENDS | RANGES | PRODUCT GALLERY | PROMOTIONS

AR MOTHER’S DAY

OUTLOOK

Smalls make a big statement

other’s Day is traditionally one of the biggest retail periods for the small appliance market. However, industry data has shown that not all segments of the market are experiencing growth. Kitchen machines suffered a 12% decline in units and 18% slump in value year-on-year, according to GfK data, while air fryers and deep fryers enjoyed 9% growth in units

BY EMILY BENCIC and an 18% uplift in value. Growth in the slow cooker segment has helped lift units for electrical cooking pots (slow cookers, multi-cookers and pressure cookers), despite a 2% fall in value. Toasters and kettles, as well as microwave ovens, continue to be relatively stable categories. Euromonitor International research analyst, Jorge Rosas attributed growth within the food preparation category in 2017 to DIY and health trends, in addition to ongoing home renovations.

“Consumers are not only replacing their benchtop appliances as they become faulty, but also whenever they renovate their kitchens,” he said. “As consumers attempt to personalise their kitchens with eye-catching and stylish benchtop appliances, retailers are offering an increased and varied range of colours, designs and finishes. Australian consumers are now focusing on using some benchtop appliances to complement their existing or renovated kitchen decoration.” AR

BUILT TO PERFORM

TRENDS

Appliances give inspiration for aspiring bakers and home cooks

he Smeg Mother’s Day gift line-up has never been so luxurious, stylish or colourful, according to head of brand, Tamara Buchanan. “In a first for the brand, there are no less than six new appliances that any mum would love, coupled with consumer promotions to make gift giving more inspired and affordable.” Mother’s Day is a time to create great food and enjoy the sensorial experience of food preparation, Kenwood category manager for food prep, Marcus Lo Russo said. “As attachments continue to grow in popularity, Kenwood will maintain its focus on offering consumers what they want. For example, the froyo fanatic will walk away with the frozen dessert maker, while the zesty zoodle salad maker will receive the spiralizer to complement their Kenwood Chef mixer.” Since launching its premium Luxe Collection in 2016, Breville claims to have sold over 14,000 Luxe kettles, with the Soft Top Luxe kettle (BKE735) and the Toast Select Luxe

Tamara Buchanan – Smeg

two slice toaster (BTA735) in the top 10 best seller list in their categories. “Small kitchen appliances, such as kettles and toasters, are a simple way to introduce colour to monochromatic, contemporary kitchen designs,” business manager for beverage and toast, Athena Kalos said. Healthy eating and wholefoods were noted as dominant trends by Breville business manager for food prep and cooking, Sharon Lenzner. “Consumers who want to follow a healthy diet and contribute to a healthier environment will benefit from multi-functional small appliances. “Blenders and juicers will continue to resonate with eager foodies who like to prepare fresh juices, smoothies and nourishing bowls, while slow cookers will appeal to those who enjoy the health benefits and satisfaction of nutritious cooking from scratch,” she said. KitchenAid has witnessed strong growth in the premium end of the stand mixer category as consumers invest in best-in-class appliances. “The recent launch of the limited edition black tie and copper finishes has proven very successful and we have seen a strong uplift in sales,” senior category marketing manager, Filiz Bensan said. A key focus for KitchenAid during the Mother’s Day sales period will be on attachments to highlight the versatility of its stand mixers, particularly for consumers who want to go beyond baking. “Consumers are

Marcus Lo Russo – Kenwood.

now able to explore their full culinary potential by adding attachments to their stand mixer for all cooking tasks and food preparation. The stand mixer has been an essential appliance in most homes but every cook should understand the possibilities it opens up for making one appliance do the work of many,” she added. Tefal will hone in on the healthy eating trend by encouraging consumers to reduce their consumption of processed food and invest in time-saving and convenient appliances. “Leveraging on the success of Cook4Me, Tefal will promote its new Cook4Me+ multicooker with 150 in-built recipes, including starters, mains and desserts, with over 100 meals cooked in less than 12 minutes,” product manager for kitchen electrics, Tegan Bond said. The Tefal MultiCook&Grains multi-cooker has also been designed for the health-conscious consumer. It boasts 82 cooking programs and can express soak chickpeas, cook rice, bake, cook baby porridge, quinoa and more.

BUILT TO LAST SMAS18842

AR MOTHER’S DAY

The message from Sunbeam for Mother’s Day is clear – move over personal blenders because traditional blenders are making a return. “Our new Two Way Blender is the perfect gift for mum to entertain with fruit and Champagne punches, create a healthy morning smoothie, or even make a soup for the family. The unique two way blades pause and alternate direction to ensure ingredients are pulled into the vortex for precise, consistent and superior results,” category manager, Jessica Roper said. Following the recent rose gold fashion trend that made its way into the kitchen, Glen Dimplex now predicts metallic finishes to be in high demand for the benchtop. “We are working to provide our customers with a wider range of products, expanding our benchtop cooking offering with stylish and functional options,” product and procurement manager, Douglas Yapp said. Russell Hobbs will also bring contemporary and stylish elements to the benchtop with a new kettle

Sharon Lenzner – Breville.

Appliance Retailer March 2018

Eileen Armenian – Russell Hobbs.

and toaster as consumers accessorise the kitchen with their appliances. “We studied various global trends in colours and this year, matte black coupled with black stainless steel or copper accents is on-trend,” assistant product manager for home appliances, Eileen Armenian said. In food preparation, Russell Hobbs wants to assist aspiring home bakers achieve their baking goals. “With 350 watts peak mixing power and five speeds with turbo boost, the Helix hand mixer does all the hard work for you,” assistant product manager, Cristina Cafasso said. Over at George Foreman, the product range has expanded from grills into food preparation with a new air cooker. “A current trend within the small appliance category is healthy living, which can be achieved by air frying food. We have embraced this trend and developed the Cyclo Chef Multi Air Cooker,” Cafasso said. Lenoxx Electronics experienced a very successful 2017 with sales increasing by over 70%, according

to director, Mottel Kransjanski. “We look forward to a further substantial increase in sales as we continue to expand our Healthy Choice range of small appliances, which are perfect gifts for mum this year,” he said. “Consumers want innovative products at competitive prices so they look to brands with proven reliability and superior craftsmanship.” Panasonic associate general manager for marketing, Maki Takahashi said Australian consumers are interested in versatile and userfriendly appliances. “They seek products that reduce food preparation time and have intelligent functions and features. Appliances that make healthy eating convenient and simple are also in demand.” In the lead up to Mother’s Day, Sharp will introduce six new microwave models. Based on an internal survey, the company identified that consumers are not using microwaves to their full potential. “There are common misconceptions around the safety of microwaves and the belief that they can only be used for reheating food,” head of consumer electronics, Hans de Jong said. In response to these findings, the Live Smart, Live Sharp campaign was launched to educate consumers that microwave cooking is extremely healthy, practical and convenient. According to SodaStream digital and social marketing coordinator, Chloe Carrington, consumers are becoming more discerning with the aesthetics of their appliances. “As consumers look to match their appliances with the theme of the kitchen, we have witnessed increased growth of our premium sparkling water maker, the Source Power. For us, Mother’s Day is second only to Christmas in terms of sales opportunities.” AR

Douglas Yapp – Glen Dimplex.

TECHNOLOGY WITH STYLE

DECEPTIVELY POWERFUL POWERFUL 800 WATT MOTOR BUILT TO PERFORM • SOLID ALL-METAL CONSTRUCTION BUILT TO LAST

SMAS18841

AVAILABLE IN RED • BLACK • PANNA (CREAM) • SILVER • PASTEL BLUE • PASTEL GREEN • PASTEL PINK

AR MOTHER’S DAY RANGES

Sunbeam TwoWay Blender

Blenders, breakfast collections, mixer attachments and more

n essential kitchen accessory for any mum is the Smeg hand blender (HBF02), ideal for making soups, dressings and smoothies. It sports a 700 watt motor, stainless steel blade with FlowBlend technology for optimal blending as there is no vacuum between the blade mount and container surface, as well as adjustable speed control including turbo control. The main hand blender is accompanied by a 1.4 litre BPA-free Tritan beaker, 0.5 litre chopper, potato masher and whisk attachment all for an RRP of $249. The new Smeg pure white 50s style blender (BLF01) complements the existing all-white toaster and kettle. It features an 800 watt motor, smooth smart technology and three pre-set programs for crushed ice, smoothie and pulse. In June, Smeg will launch a citrus juicer (CJF01) with a 70 watt motor, built-in sensor, stainless steel components and Tritan impactresistant bowl and cover. For Mother’s Day 2018, Kenwood will introduce new Italian manufactured pasta attachments, supported by the award-winning Chef XL Titanium mixer with a new 360 degree halo light to illuminate the bowl while mixing ingredients. The pasta attachments (RRP $199) offer a heavy duty stainless steel body and adjustable control dial with 10 variable thickness settings, that are easy to clean and come with a fiveyear warranty. The Chef XL Titanium (RRP $1,199) has a 6.7 litre bowl capacity, 1700 watt motor, over 20 additional optional attachments and a 10-year warranty. The SystemPro stainless steel bowl tools include the k-beater, spiral dough hook, power whisk, creaming beater and exclusive folding tool.

Appliance Retailer March 2018

KitchenAid Fresh Prep Slicer-Shredder Attachment

Breville will launch the new Searing Slow Cooker LSC650BSS with five browning functions, four cooking functions (low and high slow cook, steam and yoghurt), auto and manual keep warm, locking lid handles and a high-end stainless steel steaming trivet. Bench mixers will be another major focus for Breville this Mother’s Day, with blueberry granita and royal champagne replaced with black truffle and smoked hickory colours for the Soft Top Luxe kettle, Toast Select Luxe toaster and Nespresso Creatista. The new Toast Control range delivers a premium look and increased functionality into the $80 to $120 toaster price segment. Each model includes Breville’s unique Fruit Bread, A Bit More and Lift & Look functions for different types of bread. The ranges are available in two-slice, four-slice and long slot. KitchenAid has released a world-first vegetable sheet cutter attachment and fresh prep slicershredder attachment. The Vegetable Sheet Cutter (RRP $199) cuts fruits and vegetables into thin sheets for making fresh alternatives to everyday dishes, such as substitutions for pasta

and wraps, or reinventing snacks and sweets by creating sheets of zucchini, sweet potato, apples, cucumbers and more. Two blades allow for both thin and thick sheets, depending on preference or recipe. The Fresh Prep Slicer-Shredder attachment (RRP $169) takes the work out of adding freshly sliced or shredded ingredients to salads, entrees and other dishes. It offers three quickchange blades, a 2-in-1 food pusher for large and small diameter fruits and vegetables. The attachment is packed and organised inside a case for easy access and storage. Tefal aims to consolidate its position in multi-cookers this year and reinforce its ‘nutritious and delicious’ messaging across its kitchen electrics range. Its hero products for Mother’s Day will be the new Cook4Me+ multicooker, the new MultiCook&Grain multi-cooker and the all-in-one Cuisine Companion. The new Sunbeam Two-Way Blender (RRP $179) has a unique reversible blade system for a more even and consistent blend. The heavy duty stainless steel blades change direction to ensure all ingredients get drawn

SWEETEN THE DEAL THIS MOTHER’S DAY Customers will receive a BONUS Pasta Roller or Cutter, PLUS a choice of up to two extra attachments in-store with the purchase of selected Kitchen Machines.

BONUS PASTA ATTACHMENT

Roller or Cutter *

+ ONE EXTRA*

+ TWO EXTRA*

CHEF XL SENSE / ELITE

CHEF XL TITANIUM

COOKING CHEF

March 30, 2018 – May 14, 2018. Participating Kitchen Machine models include KVL6100, KVL6300S, KVL8300S and KCC9040S. *Terms and conditions apply, to view visit kenwood-australia.com or for all enquiries email promotion.au@delonghigroup.com or call 1800 126 659.

AR MOTHER’S DAY into the vortex. The blender also offers a powerful 1100 watt motor, seven functions, three pre-programmed functions (smoothie, chop/salsa and milkshake) or four manual settings. Glen Dimplex will launch Morphy Richards Evoke Metallic breakfast sets, available in three finishes – bronze, steel blue and platinum with chrome trims and a two-year warranty. The Evoke Metallic 2-slice toaster (RRP $129.95) and 4-slice toaster (RRP $149.95) feature variable browning control, deep self-centring toasting slots, illuminated buttons, frozen bread setting, cancel and re-heat buttons. The Evoke Metallic jug kettle (RRP $139.95) and Evoke Metallic pyramid kettle (RRP $139.95) boast a 1.5 litre capacity, stainless steel ring pull lid, 360 degree cordless base, water level window and safety locking lid. The Brooklyn Collection kettle and toaster from Russell Hobbs caters to the colour trends of 2018. The Brooklyn kettle (RHK92) has stainless steel housing with matte black painted finish, Perfect Pour spout and Quiet Boil technology. It features a 1.7 litre capacity, push open button lid, easy to view water window, blue interior illumination and removable washable filter for an RRP of $99.95. The Brooklyn 4-slice toaster (RHT94) also has a matte black painted finish and split carriages for two or four-slice toasting. Other features include defrost, reheat and cancel buttons, high-lift facility,

variable browning control, removable crumb trays and cord storage for an RRP of $99.95. Another addition from Russell Hobbs is the Helix hand mixer RHMX350 (RRP $49.95) with uniquely designed helix beaters that mix ingredients two times better than standard beaters (compared to RHMX1). It boasts a mess-free eject button, heel and bowl rest, removable parts are dishwasher safe and a case stores attachments and power cord. George Foreman has launched its new Cyclo Chef multi-air cooker GFAF5000 (RRP $199.95) with five cooking functions – air fry, rotisserie, kebabs, bake, grill and roast. It has a unique 1kg rolling basket and the rotisserie attachment allows users to cook roast chicken or 10 kebabs with the kebab skewer attachments. Other features include variable temperature control, digital controls, convection technology with halogen heating elements and a window to view the cooking process. Lenoxx Electronics has launched its Healthy Choice rose gold 3.5L air fryer (AF470B) that uses advanced turbo air technology, offering a low-fat, low-calorie, fast-cooking alternative. Consumers simply need to set the timer and temperature and the air fryer will do the rest. With an RRP of $199.95, it also includes a recipe book. The Healthy Choice 10-in-1 multicooker (MC02) offers 10 cooking programs and specialised settings,

including ‘porridge’ and ‘hot pot’. It has a fully removable aluminium die-cast container and non-stick surface, five litre capacity, digital LED display, touch controls and accessories including a frying basket, steam rack and recipe book for an RRP of $129. In the lead up to Mother’s Day, Panasonic will push its SD-ZB2512 bread maker (RRP $399). Part of the Coeliac Australia Endorsement Program, it includes a 100% gluten free mode, 13-hour timer and diamond-fluoro coated pan. With 33 baking and dough modes, users can create sourdough bread, artisan bread and scones. The Panasonic NNSF574S inverter microwave oven (RRP $329) will be another hero product for Mother’s Day, featuring inverter technology, flatbed design, LED oven light and optional fascia trim kit. Sharp will promote its R395EST inverter microwave (RRP $329) during the Mother’s Day period as it aims to educate consumers on the many uses of a microwave beyond reheating food. It boasts 1200 watt power output, smart inverter and smart sensor technologies, text display with cooking guidance, while users can store their personalised cooking time with the ‘favourite’ key. The flagship product from SodaStream is the Source Power sparkling water maker (RRP $249) with a sleek and contemporary design, three levels of fizz, responsive touch sensitive controls, LED display and snap-lock holding system. AR

BREVILLE

KITCHENAID

PROMOTIONS

SMEG

Consumers redeem an attachment of choice – triple pasta roller set, multifood grinder or slicer/grater – with the purchase of a Smeg stand mixer from 1 April to 31 May, 2018. Smeg will conduct in-store training on new products, as well as demonstrations in selected stores. 38

Appliance Retailer March 2018

With the purchase of a Breville Kitchen Wizz Peel & Dice, consumers receive a bonus dicing kit for a limited time only. Alternatively, when consumers purchase a Breville Searing Slow Cooker, Smart Oven or Steam Zone, they will receive bonus salt and pepper mills.

Consumers who purchase a KitchenAid stand mixer between 19 March and 20 May, 2018, have the choice of a bonus attachment – the spiralizer, fresh prep slicer-shredder or pasta roller. KitchenAid has rolled out world-first interactive displays in selected stores.

A multi-functional in-built searing product to complement existing Breville slow cookers, it features five browning functions and four cooking functions – low and high slow cook, steam and yoghurt.

Breville Searing Slow Cooker `` Six litre capacity `` Auto and manual keep warm `` Dual locking lid handles `` Premium stainless steel steaming trivet

RRP: $179.95

Breville: 1300 139 798

PRODUCT GALLERY Kenwood wants to make its Chef XL stand mixers more versatile than ever with its latest pasta attachment, manufactured in Italy and featuring 10 variable thickness settings.

Smeg Hand Blender HBF02

Kenwood Pasta Attachment `` Heavy duty stainless steel body `` Adjustable control dial `` Easy to clean `` Five-year warranty

RRP: $199

De’Longhi: 1800 126 659

`` Adjustable speed control `` Available in four colours – pastel blue, red, black and cream `` FlowBlend technology `` Includes main blender, 1.4 litre BPAfree Tritan beaker, 0.5 litre chopper, potato masher and whisk attachment

RRP: $249

Smeg: 02 8867 4888 An essential kitchen accessory for making dishes from scratch, such as soups, dressing and smoothies, the Smeg hand blender packs a powerful 700 watt motor and revolutionary stainless steel blade.

www.applianceretailer.com.au

AR FLOORCARE

OUTLOOK

Stick ‘em up – cordless continues to clean up floorcare sales BY KYMBERLY MARTIN

fK data shows the overall vacuum cleaner market is holding steady in units and value as handsticks remain the growth drivers, accounting for 55% of floorcare revenue. For the year ending January 2018, unit sales increased 3% while value was steady on 1%. Handsticks are way out in front when it comes to unit sales, taking 22% market share and 17% value share of the total category. Bagged canister models declined 3% in units and 6% in value while bagless canisters sales and prices went even further into freefall, declining 9% in units and 16% in value. For all other segments, unit sales dipped 10% in units and 14% in value. Flexibility and convenience are behind the popularity of the stick vacuum sub-category as consumers look for appliances that will help them complete household tasks in a fast and effective manner, according to Euromonitor International research analyst, Jorge Rosas. “Quality in

Appliance Retailer March 2018

suction power is also an important consideration when purchasing vacuum cleaners. Consumers realise that purchasing low quality vacuum cleaners will not only prolong the cleaning task at hand but also increase the risk of this not being done adequately.” Robotic vacuum cleaners remain an attractive concept for many households in Australia, Rosas said, albeit with some consumer hesitation due to quality and reliability issues. “Companies have been addressing these concerns by making more technical information available about their range as well as releasing new features, such as connectivity. The robotic sub-category will continue to experience year-on-year growth in volume terms over the next five years.” Healthier homes, increasing pet ownership and time-poor consumers are driving the floorcare business through Bing Lee stores. And sales for handsticks continue to head upwards as consumers strive to complete cleaning tasks quickly and efficiently.

However it was a testing time for retailers in 2017 when suppliers focused on volume over value, according to merchandise director, Russell Goldberg. (Read more in From the Floor on page 49). Electrolux will continue to focus on both volume segments of the market, as well as robotic products with emphasis on changing lifestyles. For LG, the transition in preferred vacuum design continues with handstick solutions remaining the main growth area. Techtronic Industries is maintaining market share, particularly for cordless and steam categories and claims to be number one in steam cleaners with its Vax brand. The robotic vacuuming and mopping categories is exceeding expectations for IXL Home with consistently strong sales growth across the full range of iRobot products. The outlook from Miele points to further growth from canisters and bagless categories. AR

TRENDS

Robotics adding to the convenience factor for time poor consumers

lectrolux was first to launch a robot vacuum cleaner in 2001 and has now released its latest addition to care-free cleaning with the PUREi9. Developed to accurately and effectively take care of the full cleaning process it is easily managed through an app, marketing manager for home care, Jodi Snyman said. “Being able to rely on the cleaning capability of a robot vacuum cleaner has been an important factor for Electrolux when developing PUREi9.” The PUREi9 comes with

Brad Reed – LG.

a 3D vision system, which uses a combination of lasers and camera to map the home in 3D to effectively detect obstacles and navigate around them to achieve perfect cleaning coverage. “The compromise between wanting to do other things while keeping and maintaining a clean floor is now a thing of the past.” The floorcare category continues to be an area of significant focus for LG and during 2017 the company targeted the handstick and robotic sub-segments in what marketing manager Brad Reed described as a highly competitive category. “We have sought to consolidate our position ahead of our new range of CordZero handstick vacuums that are being released this month. Consumers are increasingly looking for portable lightweight vacuums that can handle

THE FLOORCARE CATEGORY

CONTINUES TO BE AN AREA OF

SIGNIFICANT FOCUS FOR LG AND DURING 2017 THE COMPANY

TARGETED THE HANDSTICK AND ROBOTIC SUB SEGMENTS… DESCRIBED AS A HIGHLY

COMPETITIVE CATEGORY. small clean-up jobs that pop up around the house.” LG has taken into account the different cleaning tasks around the household that has led to a trend to more families having multiple vacuum models. “Our new models showcase technology that offers users a powerful and comfortable cleaning experience,” he said. “The LG CordZero handstick is building on the legacy LG has set for its home appliances in Australia.”

For IXL Home the strongest trend lies within Wi‑Fi connectivity via the iRobot Home app on the new Roomba 690 and 890 models. According to brand manager, Emma Basquille, these models provide consumers with multiple benefits of smart home technology, from scheduling cleaning jobs, to notifications and direct access to customer support. “It allows for more customised, powerful and convenient cleaning assistance, every day. By extending connectivity from the top-of-the-line Roomba

Emma Basquille – IXL Home.

www.applianceretailer.com.au

AR FLOORCARE

Maja Pejovic – Bosch.

980 down presents more consumers with the opportunity to experience added functionality of smart home technology at a more affordable price. All Wi‑Fi connected Roomba vacuuming robots will soon be compatible with Google Home enabled devices, which is just one of the new features in the iRobot home app,” she said. Investment from floorcare companies into the category is the number one trend to date, Techtronic Industries (TTi) brand and commercial product manager, Ricardo Rogers said. “The race to have the longest runtime and fastest charge time is the goal. Consumers want more for less. Floorcare customers are getting both demands at one-third of the price being paid only two years ago.”

Sharon May – Miele.

Appliance Retailer March 2018

“THE RACE TO HAVE THE LONGEST RUNTIME AND FASTEST CHARGE TIME IS THE GOAL. CONSUMERS WANT MORE FOR LESS.” Techtronic Industries, Ricardo Rogers

He said convenience and effortless cleaning are also on the consumer preferences list. “Consumers want products to be versatile, easy to use and convenient. Products in today’s arena must make life easier or risk being just being another tool or gift in the cupboard.” The launch of the Miele Blizzard CX1 bagless range late last year has strengthened Miele’s position as the vacuum cleaner specialist that now offers a total floorcare solution, according to product manager Sharon May. “The launch of the Miele Blizzard CX1 late last year resulted in strong retail sell-in on the back of the campaign, and a successful selling period in the lead up to Christmas. Such anticipated growth reflects that seen in Europe where, since the launch of Blizzard CX1, Miele has grown market share in both bagged and bagless segments.”

The cord-free format continues to produce strong floorcare sales for Dyson with the company pushing product versatility and power as the big attraction for consumers. According to Dyson, these dominate the growth trend in the floorcare market, predicting that larger corded vacuums will ultimately be replaced by more powerful cord-free formats and become the main vacuum in the household. However, company research confirmed that consumer perceptions around power and runtime remain key challenges for the category to address. For Bosch, understanding consumer needs is a key consideration “Our insights show that customers look for a higher level of performance and longer runtime, and who may not have previously owned a cordless handstick vacuum, appreciate the convenience a detachable handheld vacuum offers,” brand manager, Maja Pejovic said. “The Athlet handstick is well equipped to be the primary house vacuum.” Bissell is reporting increased volumes in all its core categories stimulated by both new products and new formats. “We expect all these segments to continue growth, supported by TV marketing activity plus instore promotion and demonstration,” managing director, Chris Egan said. “Products with pet hair management capability have been especially well received this year and further innovations will build on this in coming months.” There has also been an increasing awareness of the importance of deep clean with shampoo and the company recently released an antibacterial formulation to use with its Revolution model. Consumers are demanding more high performing products that are able to meet all their household cleaning needs, Russell Hobbs assistant product manager, Cristina Cafasso said. AR

AR FLOORCARE

Smart cleaning technology gets the heads up

RANGES

eing able to rely on the cleaning capability of a robot vacuum cleaner has been an important factor for Electrolux when developing PUREi9. With the smart charging and resuming system, PUREi9 does not struggle finding its way back to where it stopped cleaning after recharging. When returning to the base automatically for charging, PUREi9 will resume cleaning where it stopped and is able take care of the full cleaning process without supervision. ClimbForceDrive can climb obstacles up to 2.2cm high and the advanced detection system helps prevent the machine from getting stuck on loose objects, under furniture or down stairs. Modern homes can sometimes pose a challenge in terms of cleaning, with complex furnishing and numerous edges and corners. This has been taken into account with its unique triangular trinity shape and PowerBrush designed to thoroughly clean along walls, around obstacles and in corners. The new LG CordZero handstick is an option for all cleaning tasks from small, everyday clean-ups to a thorough weekly vacuum. This range will showcase technology that offers users a powerful and comfortable cleaning experience. The Smart Inverter motor spins at high speed to create rapid air flows inside the vacuum to help suck up and filter large and small dust particles. It uses brushless technology for longer motor life compared to motors with carbon brushes. Other attributes include a five-step filtration system that captures up to 99% of particles as small as 2.5 microns, helping to remove dust and allergens from the home 44

Appliance Retailer March 2018

Vax VX63 Blade Pet Pro Slim Cordless

Miele Blizzard CX1 Comfort Bagless Canister Vacuum

and a Power Drive nozzle cleaning head for cleaning carpets and hard floors. There are five models in the range, including three with a Dual PowerPack for up to 80 minutes of cleaning time. The advantages of cloud connected cleaning has been extended in Australia with the launch of the Roomba 890 and Roomba 690 from IXL Home. With the iRobot home app, these Wi-Fi connected vacuuming robots are ready to clean on demand from anywhere, anytime. Each model can be scheduled to clean up to seven times a week, available for Android and iOS devices. The range comprises Roomba 637, 690, 890 and 980 vacuuming robots and the Braava 380t mopping robot. The standard model, 637 features a full suite of sensors that navigate easily around obstacles. The Roomba 690 and 890 Wi-Fi connected models come with iAdapt navigation each with a three-stage cleaning system for maximum removal of dust, dirt and hair under furniture and along wall edges, avoiding stairs and other drop-offs along the way. The top of the line Roomba 980, also with Wi-Fi, was developed to deep clean carpets with multi-room coverage and runs continuously for up 120 minutes. Techtronic Industries has invested heavily with its UK team of designers and engineers to develop a range of products to offer the user convenient cleaning, as well as requested features. The Vax Cordless Blade machines combine contemporary designs with new Direct Helix technology. This provides three-dimensional support inside the horizontal dirt bin, intersecting the cleaning wand for a direct air path from the floor to the cyclone for maximum performance and efficiency. The innovative horizontal cylinder is balanced to optimise performance in any cleaning orientation. Boost mode, instantly increases power at the touch of a button and the floorhead attaches directly onto the detachable

AR FLOORCARE handheld for optimal pick-up for stairs and cars. The cleaning wand is designed to clean hard to reach areas while dirt and debris is collected in a compressed puck and, together with the easy access cyclone, removable filter and quick empty dirt bin, delivers a hygienic, effortless, maintenance system. For Miele, hygiene is still the most important factor when it comes to vacuum cleaning. Emptying a bagless vacuum cleaner was an issue of consumer concern that led to the innovative dust separation and disposal system, developed exclusively for the new bagless Miele Blizzard CX1 range, which is a key selling point. Finer dust particles and allergens are captured by a separate filter container in the CX1 which only requires emptying, when prompted by the controls, once or twice a year. Then, it’s simply a matter of removing the filter and placing it under running water and the lifetime HEPA filter is maintenance-free, and like the fine dust filter, never needs replacing. Miele has always championed bagged cleaners and the Complete 3 and Compact C2 provide maximum hygiene and cleanliness using the multi-layered HyClean 3D dustbags. The Dyson V8 Absolute+ vacuum, launched in 2016, continues to be the hero SKU, claiming to have the most powerful suction of any cordfree vacuum on the market. It has a 40-minute runtime and carries six specially-engineered tools designed to increase function, allowing it to be used across a number of scenarios from surfaces throughout the home to inside the car. Two tier radial cyclones deliver ongoing suction as well as contributing to HEPA filtration. It also features two direct-drive motorised cleaner heads, a soft-roller for hard floors and the directdrive head for cleaning carpets. Recent battery chemistry, powered by nickelcobalt-aluminium, contributes to the extra power and longer runtime. The Bosch cordless handstick vacuum range comprises five models, each with high-performance LithiumIon rechargeable batteries. This tried and tested technology used in Bosch power tools and E-Bikes is synonymous with high performance, short charging times and long battery life, resulting 46

Appliance Retailer March 2018

Bosch BBHL2214 Readyy’y Cordless Vacuum

BEING ABLE TO RELY ON THE CLEANING CAPABILITY OF A ROBOT VACUUM CLEANER HAS BEEN AN IMPORTANT FACTOR FOR ELECTROLUX

WHEN DEVELOPING PUREI9.

in a superior battery technology which does not need replacing. Combined with the efficient and aerodynamic long-life motor, the cordless Athlet range is equipped for intensive use and provides a genuine alternative to a barrel vacuum for customers looking for cordless flexibility. With its convenient two-in-one functionality, the versatile Readyy’y 2-in-1 21.6V is another cordless vacuum option from Bosch and features a detachable handheld vacuum to tackle spot cleaning with flexibility. Bissell’s range includes the lightweight and manoeuvrable ProHeat 2X Revolution deep cleaner, the CrossWave hard floor cleaner, which vacuums and washes floors at the same time using minimal water to care for sensitive surfaces, and the PetHair Eraser featuring a tangle free brush roll, SmartSeal allergen system and hands-free tank empty. At Russell Hobbs it’s the little things that matter most, like efficient removable of stubborn pet hair, the ability to get into those hard to reach places and tools for different floor surfaces and stairs. With easy to empty bins and filters that are simple to clean and maintain, cleaning the home is said to be effortless with its latest machine, the HEPA multicyclonic bagless. It is designed for consumers in need of a vacuum that is efficient and effective for all household needs at an RRP of $249.95 that won’t break the bank. AR

Russell Hobbs RHF218C Multi-Cyclonic Bagless Vacuum

Model: VX60

Model: VX66

CORDLESS

Nothing can hold you back from going forward Model: VX63

available through retailer specialists such as:

vax.com.au

Vax Cordless Blade models vary by retailer. Please visit vax.com.au for retailer availablity. *Up to 45 minutes run time is only available on model VX63. Models VX60 and VX66 maintain a run time of up to 35 minutes.

AR FLOORCARE

LG A9 CordZero Handstick With smart, user-focused premium features this next generation cordless vacuum gives consumers an easier and improved household cleaning experience, which they can couple with other time-saving and innovative LG home appliances.

`` Five-step filtration system removes dust particles down to 2.5 microns in size `` Up to 80 minutes run time `` Power Drive nozzle with a direct drive motor `` Height adjustable and ergonomically balanced adjustable telescopic pipe

RRP: From

$599

LG: 1300 542 273

Electrolux Purei9 Robot (P191-5SGM)

PRODUCT GALLERY

This robot vacuum cleaner comes with 3D vision which uses a combination of lasers and a camera to map the home in 3D, to detect obstacles and navigate around them for an accurate and effective cleaning path.

`` Smart charging system returns automatically to base for recharge `` Unique triangular power brush for cleaning along walls, around obstacles and in corners `` ClimbForceDrive climbs obstacles up to 2.2cm high `` Mobile app for customised cleaning schedule

RRP: $1,699

EHP: 02 9317 9500

Vax VX63 Blade Pet Pro Slim Cordless A stylish, slimline vacuum designed to fit seamlessly into the home to deliver a smarter, more efficient clean with power indicator and boost mode that instantly increases power at the touch of a button.

`` Direct Helix technology for maximum performance and efficiency `` Up to 45 minutes runtime and four hour charge time `` Lightweight at 3kg `` Dusting brush/crevice and pet tools/wall mount

RRP: $299

Techtronic Industries: 1300 829 287

Appliance Retailer March 2018

Roomba 980 Robot The Roomba 980 was the first robotic vacuum in Australia to be app enabled for out-of-home cleaning. The iRobot Home app allows for convenient cleaning and scheduling anytime or anywhere, or just press clean on the robot.

`` iAdapt 2.0 navigation uses a full suite of sensors to map and adapt to clutter and furniture `` Visual localisation expands coverage with proprietary vSLAM technology `` Carpet boost provides up to 10 times the air power `` AeroForce cleaning for exceptional agitation and brushing performance

RRP: $1,499

IXL Home: 1300 727 421

PROMOTIONS

IXL HOME

IXL Home’s multi-channel marketing program for iRobot includes an extensive above-the-line advertising calendar combined with in-store demonstrations and product training events.

FROM THE FLOOR

Russell Goldberg from Bing Lee

t Bing Lee three key trends are driving the group’s floorcare business. These are healthier homes, increasing pet ownership and timepoor consumers seeking convenience, merchandise director, Russell Goldberg said. Sales are steady with handsticks the fastest growing segment as more customers demand products that can effectively vacuum a family home, “So runtime, dust capacity and floor tools are important features to have on board,” Goldberg said, “and the growth in cord free is also driving innovation in battery technology”. Canister models are being purchased primarily on their capacity to clean family-sized homes as well as being ‘allergy friendly’ and this healthier home trend is adding to the increase in sales for steam and shampoo products. Robotic vacuums with suction power and sensor/ mapping are starting to gather sales momentum too because these machines give time back to consumers by vacuuming while they’re not at home. Robotics are also helping connect floorcare with the drive towards smart homes.

He said price is a factor but consumers are usually happy to pay for a better cleaning solution while the big plus for a promotion is that it introduces more potential shoppers looking to upgrade and also helps to close the sale. However, suppliers focusing on volume over value and margin erosion, were a market-wide challenge in 2017, and as more players enter the handstick market, this has resulted in category cannibalisation. Goldberg recognises that while online is integral to the shopper journey the majority of shoppers still visit a store for product demonstrations and advice. And accepting that Amazon is the latest serious player with significant backing, the online behemoths impact has varied globally by geographic market, product category and price segments. “Regardless, successful retailers will, as always, be the ones who best look after their customers through the whole shopping journey.” Dyson is the brand currently driving floorcare sales, although Miele, LG, Electrolux and Samsung are now starting to leverage total brand and manufacturing strength into floorcare. Technology specialists like iRobot are also adding value to the category, he said. AR

MIELE

Miele will continue to promote the existing bagged canister range through gift-withpurchase promotions, in addition to promotions for the Blizzard CX1 bagless range.

VAX

Above-the-line activity is supporting the Vax range in March on Channel 9's Morning Show, together with print advertising in weekend newspapers.

ELECTROLUX

A digital campaign will support the launch of the new Purei9 robotic vacuum from Electrolux.

www.applianceretailer.com.au

AR WHAT'S HOT

Smeg Portofino Freestanding Cookers

Smeg’s 70th anniversary coincides with the release of Portofino, its most technologically advanced freestanding cooker to date. Available in eight colours that include the Portofino hues of sunshine yellow, olive green, coral red and burnt orange plus stainless steel, black, white and anthracite, this appliance delivers world-first technological features. These include Thermoseal, energy efficient European A+ cavity for a 126L capacity oven, and triple fan technology with Dynamic Air Flow. It is available with both gas and induction cooktops. Portofino’s more powerful heating elements, with 23 per cent higher wattage, significantly reduce pre-heating times (a mere six minutes to reach 200 degrees Celsius).

RRP: From $6,990

Smeg: 02 8867 4888

Dyson Red/Nickel Supersonic Hair Dryer

This red/nickel colour is the latest addition to the Supersonic range of hair dryers that give consumers the ability to style and help protect hair from extreme heat damage. It is powered by the company’s most advanced digital motor to date, the V9, that uses a fast but focused airflow for controlled, precise drying and styling. It features a smoothing nozzle that dries and styles hair at the same time while the diffuser disperses air evenly around each curl to reduce frizz. The hair dryer comes with four heat and three air flow settings plus a cold shot.

RRP: $549

Dyson: 1800 239 766 50

Appliance Retailer March 2018

Electrolux Ergorapido 2-in-1 Cordless Vacuum

The new generation Ergorapido vacuum cleaner allows consumers to clean more, for longer thanks to a high performance Lithium HD TurboPower battery that provides a longer run time of up to 48 minutes. The LED battery indicator shows when the vacuum needs recharging. Its 2-in-1 design incorporates a removable handheld unit to easily switch between cleaning floors to furniture and high-up, hard to reach areas. Additional features include the signature 180 degree EasySteer manoeuvrability and patented BrushRollClean technology to easily untangle hair and fibre from the brush roll.

RRP: From $299

Electrolux: 02 9317 9500

Breville the Toast Control Range

Breville has introduced the Toast Control toaster range to deliver a premium look and increased functionality to the $80 to $120 segment of the toaster market. With a classic shape, each model includes Breville’s unique Fruit Bread, A Bit More and Lift & Look functions that take the guesswork out of toasting different bread types. Other features include six browning controls, deep and extra wide self-centring slots and a high lift lever. The toaster is available in two slice, four slice and long slot with brushed and polished metal for a timeless aesthetic.

RRP: 2-slice $79.95 / 4-slice $99.95 / Long slot $119.95 Breville: 1300 139 798

COMPANY INDEX AR COMPANY

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READERSHIP GROUPS

Asko...................................................................................................................11 Bi-Rite Home Appliances.................................................................................28 Bing Lee..................................................................................................6, 40, 49 Bissell..........................................................................................................42, 46 Bosch...........................................................................................................42, 46 Breville............................................................ 16, 17, 20, 30, 33, 36, 38, 39, 50 De’Longhi.................................................17, 20, 21, 23, 26, 30, 33, 36, 37, 39 Dyson................................................................................................... 42, 46, 50 e&s...................................................................................................................... 9 Electrolux.................................................................... 40, 41, 43, 44, 48, 49, 50 Euromonitor......................................................................................... 16, 32, 40 GfK........................................................................................................ 16, 32, 40 Glen Dimplex..............................................................................................34, 38 Groupe SEB.................................................................................................33, 36 Hisense............................................................................................................ IFC IXL Home..................................................................................40, 41, 44, 45, 49 Jura......................................................................................7, 17, 20, 26, 27, 30 KitchenAid.........................................................................18, 22, 24, 33, 36, 38 Lenoxx Electronics......................................................................................34, 38 LG............................................................................................... 9, 41, 44, 48, 52 Miele.............................................................................................. 40, 42, 46, 49 Myer.................................................................................................................... 8 Nescafé Dolce Gusto...................................................................... 18, 22, 25, 30 Nespresso................................................................... 15, 16, 17, 19, 20, 26, 30 Panasonic....................................................................................................34, 38 Prestige Appliances..........................................................................................14 Sharp...........................................................................................................34, 38 Smeg........................................ 8, 18, 22, 29, 30, 31, 32, 33, 35, 36, 38, 39, 50 SodaStream................................................................................................34, 38 Spectrum Brands........................................................................... 34, 38, 42, 46 Sunbeam..................................................................................16, 18, 24, 34, 36 Techtronic Industries.........................................................40, 42, 44, 47, 48, 49 Thorn Group......................................................................................................10 V-ZUG.................................................................................................................. 7 Videopro.....................................................................................................12, 13 Wesfarmers.......................................................................................................10

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