5 No. 1: Haier Brand Status in Gulf Countries

2017-10-16 13:35:00 source: China net

“Brand leading, co-creation and win-win” as the theme, Haier MEA Annual Summit was opened in Guangzhou on October.14. With the outstanding performance of 5 No.1 market share in Middle East and Africa gulf countries, Haier attracted a widespread attention.


Market share: 5 NO.1 in 3 countries

Haier made discussion and exchanged with dealers from Middle East and Africa, summarized work in 2017, and showed its new strategic transformation at the summit. As the center and pivot of “one belt and one road” initiative, Middle East and Africa gulf countries owned abundant petroleum and vast market. Haier adhered to the strategy of “trinity and brand leading”, making self-owned brand proportion of nearly 100%. From January to September in 2017, Haier performance increased up to 30% and occupied top market share in several Middle East and Africa countries.

According to latest data from GFK, in Nigeria, Haier occupied refrigerator market share of 35%, freezer market share of 37%, washing machine market share of 30%, and air-conditioner market share of 10%. Three household appliances occupied consecutively No.1 market share for many years. In Israel, Haier occupied side by side refrigerator market share of 40.9% from January to June, increased up to 45.8% in June, which was far more than the sum of the second and the third brand. In Saudi Arabia, the sales volume of Haier side by side refrigerator kept rising steadily and ranked first now. All the excellent performance could hardly be achieved without Haier insistence of global high-end branding strategy in Middle East and Africa countries.

Strategic layout: high-end branding

Chinese brand always adopted OEM mode that gave poor impression of the whole brand on the users. “Due to western brands and low Chinese brand recognition in the market, Haier is at the transitional period from being unfamiliar to being familiar now; this is the present situation for Haier in Israel.”, Yaron, an Israeli Haier dealer, said to the journalist. Competing with international high-end brands, Haier did not take price competition in Middle East and Africa regions, but gained fame and success for Chinese brand on the approach of self-owned brand and independent innovation, through cooperative engagement of six major appliances and setting up factories to provide whole set of technologies and services in Egypt, Nigeria and Iran...

Haier achieved upgrade and transformation of high-end brand in Middle East and Africa markets. In the first quarter of 2017, Haier launched GE Appliances respectively in gulf countries and Egypt, satisfying high-end appliances demands for users in Middle East and Africa regions, and they were widely praised. Though Haier has not yet produced new products of GE Appliances in the fourth quarter of 2017, it has gained orders of tens of millions dollars from 6 dealers. Haier high-end brand has broken the barrier for Chinese brand appliances market in Middle East and Africa regions and simultaneously expanded its recognition in global market.

Cross-category marketing: leading trends of the market

In addition to overseas branding and leading market trend, Haier also implements cross-category marketing, through constant update of products, satisfying user demands to lead market trends. In the Middle East and Africa market, Haier has mainly pushed TM refrigerators with top freeze and bottom cold storage. After entering into Middle East and Africa markets, Haier kept on upgrade and iteration of products by technical advantages and retained existing market share by appearance upgrade and cost optimization for TM refrigerators. Meanwhile Haier pushed out T door refrigerators with dry-wet partition function to meet users’ high demand on dried food preservation, provided optimal preservation solution for Middle East and Africa users, popularized it in the whole Middle East and Africa regions, achieving transformation from TM series to T door series. Yaron also said to the journalist, “Though the price of T door refrigerator is 20% higher than local similar products, the sales volume is the best. Haier T door refrigerators market share has been up to 15.6%, ranked the third in the market by June of this year, which greatly reduced the market share of competitors, being the fastest growth of brand in local market.”

Haier appliances gained 5 No.1 market share in Nigeria, Israel and Saudi Arabia. The export growth rate of washing machine increased by 126% in Middle East and Africa regions, ranking No.1 and being 4 times of average growth rate of the industry. The excellent performance does not only show Haier’s leading position of high-end products in global market, but also manifests remarkable result of implementing Haier globalization strategy.

Copyright 2017 GE Appliances, a Haier Company