Australian home appliance ad spend forecast to surge above pre-pandemic

Chris Pash
By Chris Pash | 4 October 2021
 
Nickie Scriven

Zenith forecasts that home-appliance advertising will grow ahead of advertising as a whole in 2021.

In Australia, Zenith predicts that advertising spend by home appliance brands will rise this year to US$318m from US$260m in 2020, well ahead of the US$303m spent before the pandemic in 2019.

By 2023, adspend will reach US $337m.

Zenith expects consumers will continue to devote more of their time and budgets to the home than they did before the pandemic

Zenith Australia CEO Nickie Scriven: “In this category, shoppers enjoy being able to physically see and compare features, to feel confident that their purchase will suit their specific needs.

"That said, given how greatly our lifestyles have evolved since the pandemic, consumers are no longer delaying purchases of appliances, rather they are seeking items that bring enjoyment and ease to their at-home experience.”

According to a national ZenPoll last month, with more Australians now working from home, 58% agree that it is more important than ever to make their house a home.

One in three (34%) are investing more in home improvements, and more than a quarter (28%) have invested more in home appliances since the start of the pandemic.

And with many people cooking at home in lockdown, 62% are making an effort to eat healthier.

Overall, the ZenPoll found that when it comes to purchasing large appliances, 80% of Australians still prefer to purchase these in-store than online, with 67% preferring to purchase small appliances in-store.

Digital advertising will become more important to home-appliance brands over the next few years as they continue to embrace ecommerce.

In Australia, digital ad spend is expected to increase by 22% this year, almost double compared to 2020.

Zenith's National Head of Digital & Data Joshua Lee: “To remain top of mind, brands are turning to video, social and mobile for reach and cut-through.

"The category is set for modest growth of 5% over the next two years, as at-home behaviours begin to curb.”

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