ASEAN has made remarkable progress in the past decade to become an economic powerhouse. The region’s combined gross domestic product (GDP) of US$3.66 trillion in 2022 made it the world’s sixth largest economy. With an annual growth forecast of around 5%, ASEAN is expected to become the fourth largest economy by 2030.
In ASEAN economies, the number of people living in cities with more than 200,000 inhabitants is set to grow by more than 90 million between 2012 and 2030. Urbanisation in many ASEAN markets continues to bring about changes in lifestyle and spending patterns. As growing affluence continues to translate into spending power, ASEAN consumers are moving from buying basic necessities to discretionary items. They have begun to appreciate home appliances that combines craftsmanship, innovation, and an aesthetic sensibility, as well as items that are associated with urban lifestyles, such as a capsule coffee machine, a wine aerator, or a compact vacuum cleaner. In addition, the rising number of residential property developments has boosted the demand for housewares in the major ASEAN cities. Home furnishings, furniture, kitchenware, tableware, and home decorative items, such as ornaments, candle holders, clay pots, vases, cushion cover, and rugs are all in demand.
Besides that, the rising gifting culture in ASEAN across many occasions, whether for a wedding or a house warming, is expected to drive demand for housewares. On the other hand, the increasing demand for energy efficient appliances and eco friendly housewares will generate opportunities for international exporters in the houseware and small home appliances industry.
Vying for a share of these considerable growth opportunities, international housewares brands are trying to increase their presence in the region by targeting new markets, channels and segments. A broad range of innovative products, such as eco friendly housewares, plus user friendly and energy efficient home appliances, are being marketed to further strengthen brand presence and recognition in the market.