Haier: From #1 Home Appliance Brand for 10 Straight Years to #1 Ecosystem Brand

Thu Mar 14, 2019 - 7:17am UTC

Haier is allowing global users to enjoy better smart home scenarios

In 2019, Haier initiated its global smart home strategy, its cluster of 7 brands that offer a full suite of smart home products, which has launched a revolution for users all over the world.

Haier has shown its successful evolution from a global market footprint to a global brands footprint through its #1 position in global the appliance industry for 10 consecutive years, which also shows the completion of its global brand-building and brand-acquisition strategy. It has created a life-centered ecosystem brand, comprised of Haier’s cluster of 7 brands, that supply smart home solutions and creates a global smart home ecosystem brand.

This amazing news comes from the Haier Global Branding Summit, “Haier Smart Home, Individualized Better Life,” held at the Shanghai World Exhibition Center on March 13th. During the summit, Haier’s 7-brand cluster showed their latest smart home achievements. This suite of products feature a host of original technologies including the Casarte washing-caring machine, which is a world-first. In addition, GE Appliances from the US, AQUA from Japan, Fisher & Parkel from New Zealand, and Candy from Italy also showcased their smart home achievements.

From brand globalization to life-centered ecosystem globalization

Haier has two standards to evaluate its smart home ecosystem: brand globalization, and system globalization.

These two points were fully explained during the launching event. In terms of the brand globalization, the 7-brand cluster that includes Haier, Casarte, Leader, GE Appliances, Fisher & Paykel, AQUA and Candy’s smart achievement were exhibited during the event. For example, GE Appliances’ smart kitchen suite, the Fisher & Paykel “social kitchen” creation, the AQUA “smart community washing,” Candy’s smart connected appliances and others, strongly announced the Haier cluster as a smart home ecosystem brand. This brand cluster also showcased the abilities of the Haier Smart Home system. In terms of standard globalization, Haier is leading the way towards creating a variety of international standards. For example, the Institute of Electrical and Electronics Engineers (IEEE) has decided to let Haier lead the development the international standards for large-scale individualized industrial models.

The purpose of building a global smart home ecosystem brand is to offer individualized products at a global scale. Based on this goal, during the event Haier Advanced Research Department Manager Wang Ye illustrated what updated experiences will bring to users to the updated Haier Smart Home ecosystem in 2019. After, the launching of Haier, Casarte and Leader’s smart home suite during the conference grabbed the attention of all attendees.

Journalists witnessed the Haier Pinzhi+ suite during the launch event. Based on a full suite home smart scenario feature, it realizes whole-home information connection and coordination, bringing users a one-step baking experience. The Leader L.TWO functions focus on the young generation; therefore, its design is simple and fashionable. Its functions highlighted the benefits of a speedy internet connection, long distance control, voice control and more. The suite from premium brand Casarte C7 focuses on upper class individuals, thus its design is a mixed of advanced and artistic aesthetics. In addition to its premium quality, its smart experience illustrated its premium features. These three different brands suites individualize smart home solutions based on a variety of requirements.

During the conference, Haier showed outstanding full-suite smart home solutions. Full-suite, personalized, and smart are the remarkable impressions that the Haier Smart Home brought to attendees, which represents its differentiator from other brands. It offers one-step smart capabilities such as meals, clothes, entertainment and more. As for personalization, Haier offers personalized products and smart home solutions and scenarios based on users’ lifestyles and is still updating. All network devices been connected and coordinated and will work automatically. During the evet, people witnessed how smart speakers offer voice control of all the smart home appliances. All the home appliances can automatically adjust, decide and service based on the environment and user habits. For example, the air conditioner can automatically adjust the temperature and humidity, the refrigerator can remind users to order ingredients and so on.

The difference between the Haier Smart Home and other brands is the ecosystem. Haier believes that that users purchase home appliances not just for the single product, but to build a full-suite smart solution. Thus, the Haier Smart Home is based on internet-connected devices that offers users a full-suite smart home solution. For example, in the internet of food, the LINKCOOK refrigerator played the “health consultant” role, integrating seven categories with over 200 resources including gourmet, entertainment, farm, nutrition and so on, fulfilling users’ requirements of purchasing, storage, cooking, cleaning, health management and so on in one step. Users can order over 20 types of organic products through the refrigerator, realizing one-step ordering, delivery tracking and more.

Haier is always in the top position in the smart home area. In August 2006, Haier launched an artificial intelligence home system, U-home, which is at least 8 years earlier than other brands in the same industry. Haier has since crated a 7-brand cluster and built an Internet of Food Ecosystem, Internet of Clothes Ecosystem, Internet of Living Ecosystem, and Internet of Entertainment Ecosystem. Recently, it built the world’s first 5G smart home laboratory. Haier again has the leading position in 5G home service in the industry. This laboratory will focus on the use of 5G to improve home appliances connection and coordination. The first Haier Smart Home and Scenario Solutions involving 5G technology will launch in the second half of 2019.

Haier built its Smart Home Ecosystem based on its global system

Haier’s smart home ecosystem can spread all over the world thanks to its global brands footprint, which gives it the chance roll out products quickly; and its 34-year leading position in the areas of research, manufacturing and marketing.

With Haier’s position as the #1 global home appliances brand for 10 continuous years, it has realized the transition from global footprint to global acquiring. Its 7 brands have all become mainstream in their local markets. In Australia, according to GFK, Fisher & Parkel’s market share of clothes dryers reached 25%, which ranked #1. In the US, even as the general home appliances industry market decreased 1.1%, GE Appliances’ market share still increased, to 11%. In Japan, AQUA launched a “business community wash” campaign, copied from the Chinese “community wash,” and has reached 75% market share, the leading position. In west Europe, according to the Euromonitor, after being acquired by Haier, Candy has reached #5 in the market, and plans to achieve Top-3 in the market by 2022. Casarte, the global premium home appliance brand, has become the first choice in the Chinese premium home appliances area. In the first 3 seasons of 2018 income from the brand has increased 49%. Leader, focused on the young generation as a fashionable home appliance brand, increased to 43% market share in 2017.

The advantages of Haier’s technologies, production and marketing support the achievements of Haier’s 7 brands globally, which also supports the leading position of Haier Smart Home. In terms of technologies, Haier has built 10+N R&D centers globally, and absorbed advanced research abilities. Its original technologies have been imitated 151 times. In terms of manufacturing, Haier has built 24 industrial parks and 121 manufactoring centers, while its local manufacturing footprint is still growing. Haier’s COSMPPlat model has been copied all over the world, which coveres 12 industries, 11 areas and 20 countries. In the area of marketing, Haier has built 106 marketing centers and all-day service networks globally.

Following the core value of its Rendanheyi model, in the Internet of Things era, Haier is not just about a simple home appliance and products brand. It has become a lifestyle brand. Based on the success of its 7 brands, Haier has not just achieved its goal of transitioning from its building of products and brands, but has also achieved the global leading position in the Internet of Things era.

This news is published on Reuters.

VCNN is your primary source for all venture capital news. We provide the latest breaking news and insider stories straight from the venture capital scene.