China’s Commercial Kitchen Appliances Market Is Booming: One-Stop-Service Solution Highly Demanded
China’s commercial kitchen appliances market is growing rapidly as the COVID-19 situation gradually normalizes in China, while the catering industry is expected to experience a growth rate of more than 10% in the coming years, according to the latest white paper on Chinese commercial cuisine. household appliances market published by JD.com and market research firm iResearch on April 19e.
Based on extensive investigation, the white paper showed that large commercial kitchen appliances used for food processing, display and storage account for a third of the cost of a new restaurant, and expenses Overall kitchen appliance spending accounts for approximately 7 percent of a restaurant’s revenue, while more than half of owners surveyed said they would like to increase their purchasing budget on affected equipment in the near future.
JD’s sales data showed that in the first quarter of 2022, commercial refrigerated display cases, refrigerators, disinfection cabinets, water heaters and conventional electric ovens were the main categories most in demand and accounted for more than 50% of sales in this segment, with each category constituting 25.4, 11.6, 8.2, 5.1 and 4.6% of sales respectively.
Both upper-tier (up 105.6% YoY) and lower-tier (up 132.3% YoY) markets saw robust growth, with the latter showing stronger momentum. Compared to the full year of 2021, lower-tier cities’ consumption in the first quarter grew 5.1%, accounting for nearly 70% of the full-year spending in this segment.
The introduction of smart, eco-friendly and standardized products is driving market demand as catering companies seek to improve the functions, appearance and services of their kitchen equipment, notes the white paper.
“Service is what enterprise users value most when making purchasing decisions,” noted Hui Liu, director of JD’s Consumer and Industry Development Research Institute. .com. “The capabilities to provide a more efficient, convenient and flexible one-stop service that can help them with product introduction, testing, installation trainings, equipment maintenance and more services before, during and after sales will be highly desired and a key to success in this market.”
In response, JD Business, the business services business unit of JD.com, has teamed up with commercial kitchen appliance partner brands such as Lenovo, MAXHUB, Lecon, DEMASHI and others, to launch a unique solution and worry-free for catering. companies, in which, at a transparent product and service price, customers will receive personalized services ranging from site survey, design, installation, supply of auxiliary materials and more to configure their kitchen space and their management.
In addition, by leveraging JD’s advantages in supply chain and digital technologies, catering companies can first use the advantages of the site VR and 3D experience space to build their kitchens virtually and get advice from professional designers with needs, measurements and more, they can then place orders online to follow the entire service process while enjoying a better price, less time consuming and higher efficiency, such as what JD is best known to Chinese consumers.