Marketing Mix of Electrolux and 4Ps (Updated 2023)

The Marketing mix of Electrolux analyses the 4Ps of Electrolux, which includes the Product, Price, Place, and Promotion of Electrolux. Electrolux is a multinational manufacturer associated with the home appliance industry. It is of Swedish origin and is headquartered in Stockholm, Sweden. In terms of units sold, it ranks at 2nd position in the global market; it is a public company established in 1919. Products are sold under several brands, including Electrolux, Castor, Gafa, and Kelvinator. Some of its competitors are as follows:

• Haier Group Corporation
• LG Electronics Inc.
• Samsung Group
• Whirlpool

About Electrolux

• Type: Multinational home appliance manufacturer
• Industry: Consumer durables
• Founded: 1919, in Sweden
• Founders: Axel Wenner-Gren and Knut Wallenberg
• Headquarters: Stockholm, Sweden
• Area served: Worldwide
• Current CEO: Jonas Samuelson
• Number of employees: 51,000
• Major products: Refrigerators, freezers, ovens, cookers, hobs, hoods, microwave ovens, Etc.

Electrolux Product Strategy

Electrolux manufactures several products for consumer use as well as professional use. Its first product was The Lux-Vacuum in 1919; in 1925, it launched its first refrigerator. In 1940, it launched a food processor that was followed by a washing machine for home use in 1951. In 1959, it launched a dishwasher, and in 2001, a robotic vacuum cleaner titled Electrolux Trilobite was launched. Some of the current items in its consumer product portfolio are as follows-

• Air Conditioners- Designed to be highly durable, energy-saving, and efficient. Some models include S12L5R, S18L5R, S12E5W, S12L5W and S18E5W.
• Microwave ovens- Designed with the latest Smartwave technology that keeps nutrients intact and cooks uniformly. Some varieties include Solo Microwave Ovens, Convection Microwave Ovens, and Grill Microwave Ovens.
• Washing Machines- Sensible features and euro-design make laundry a pleasurable activity. Varieties include semi-automatic washing machines and fully automatic washing machines.
• Refrigerators- Intelligent cooling and premium finish result in savings and great product. A few models under the Direct-Cool variety include EJS225T, EJL205T, EBP203, and EBL225T.
• Vacuum Cleaners
• Chain saws
• Lawn Mowers

Electrolux manufactures laundry equipment and professional food service used in laundromats, restaurants, and hotels. It is a serious business with a huge North American and European market.

The product mix of Electrolux in 2023 is as follows(Source)

1. Kitchen Appliances: Refrigerators, Freezers, Cooking ranges (ovens, cooktops, and stoves), Microwaves, Dishwashers, Range hoods, Wine coolers
2. Laundry Appliances: Washing machines, Dryers, Washer-dryer combos
3. Small Appliances: Vacuum cleaners (both upright and canister), Air purifiers, Coffee makers, Blenders, Toasters, Food processors, Irons
4. Professional and Commercial Appliances: Commercial cooking equipment, Industrial laundry machines, Professional refrigeration units
5. Air Conditioning and Climate Control Products: Air conditioners, Heat pumps, Dehumidifiers
6. Outdoor Products: Outdoor grills, Lawn mowers, Leaf blowers
7. Vacuum Cleaner Accessories and Consumables: Vacuum bags, Filters, Brush rolls
8. Water Heaters: Electric water heaters, Gas water heaters
9. Water Treatment and Purification Systems: Water purifiers, Water softeners

Electrolux Place Strategy

Electrolux is a global company, and this growth has been made possible by acquiring more than three hundred companies in places like North America and Europe. The company has divided its operations into four sectors: Asia-Pacific, Europe/Africa/Middle-East, Latin America, and North America. Its network is spread globally to more than sixty countries and one hundred and fifty cities with the help of capable and efficient employees.

Its manufacturing plants are in several places like Memphis, Kinston, St. Cloud, and Anderson. Its distribution channel depends on its suppliers, who help the products reach consumers through various outlets like retail stores, supermarkets, hypermarkets, and shopping malls. Electrolux has created a vast consumer base by introducing its online sales, which do not require intermediaries.

Here are five key elements of Electrolux’s place strategy:

1. Global Presence: Electrolux operates a global distribution network, ensuring its products are available in multiple countries and regions. This extensive presence allows the company to reach a diverse customer base worldwide.
2. Multi-Channel Distribution: Electrolux utilizes various distribution channels, including brick-and-mortar retail stores, online platforms, and authorized dealers. This multi-channel approach ensures customers can access its products through their preferred shopping methods.
3. Retail Partnerships: Electrolux often partners with major retail chains and appliance stores to showcase its products. These partnerships help the company leverage the existing customer base and provide in-store product demonstrations and support.
4. Supply Chain Efficiency: Electrolux strongly emphasizes supply chain management to streamline its distribution process. This involves optimizing manufacturing facilities and distribution centers to reduce lead times and minimize costs, ultimately benefiting the company and its customers.
5. Customer Service and Support: Electrolux invests in customer service and support centers to assist consumers with product inquiries, repairs, and warranty services. Providing accessible support helps enhance the overall customer experience and builds brand loyalty.

Electrolux Pricing Strategy

Yearly sales figures of Electrolux exceed forty million units in a strong network that has spread to one hundred and fifty markets. The brand has always stressed qualitative products and has refused to compromise. It faces stiff competition from companies that launch similar-sounding products at lower rates. The Electrolux group has adopted a premium pricing policy for its customers. Its price range seems higher than similar products from several rival companies.

Hen has emphasized the quality and innovation of its products and, to maintain and create a solid consumer base, offers incentives and discounts periodically, especially during festive seasons. Prices of Electrolux products through online shopping are comparatively lower, and people have started purchasing through this medium to cut costs.

Here’s an overview of Electrolux’s pricing and marketing strategy:

1. Value-Based Pricing: Electrolux positions its products based on the perceived value they offer to consumers. This considers product features, quality, performance, and brand reputation. Electrolux aims to set prices that align with customers’ value of their appliances.
2. Premium and Mid-Range Segmentation: Electrolux offers a variety of products catering to different market segments. They have premium lines with advanced features and design aesthetics, appealing to customers who pay a premium for top-tier appliances. Simultaneously, they offer mid-range options that balance quality and affordability, making their products accessible to a broader audience.
3. Competitive Pricing: Electrolux closely monitors competitors in the home appliance industry and adjusts its pricing strategy accordingly. This involves pricing products competitively to maintain market share while ensuring they remain competitive in quality and price.
4. Dynamic Pricing: In today’s digital age, Electrolux leverages interactive pricing strategies for its online sales channels. They may adjust prices in real time based on factors like demand, seasonality, and online marketplaces’ competitive landscape to optimize revenue and profitability.
5. Promotions and Discounts: Electrolux frequently offers promotions, discounts, and rebate programs, especially during peak buying seasons, holidays, or when launching new products. These promotional activities attract price-conscious consumers and stimulate sales.

Electrolux Promotion Strategy

Electrolux is ranked at the world’s second position, and it aims to gain the first spot in the consumer market. For this purpose, it has launched several marketing activities to help recreate the brand’s visibility and awareness. It has a customer engagement center to provide every kind of support to customers. Electrolux commercials are aired with the help of electronic media on radio and television, gaining maximum audience coverage.

Ads are also published in newspapers and magazines along with any new information and marketing schemes the company has launched. Electrolux has advertised its products through social media and created a vast customer base because people are becoming more techno-savvy and prefer online purchases as theyeareare convenient and affordable.
Electrolux employs a promotion strategy centered on these key elements:

1. Digital Marketing: Electrolux heavily invests in online advertising, social media campaigns, and email marketing to reach and engage a broader audience, showcasing its products’ features and benefits.
2. Influencer Partnerships: Collaborating with home and lifestyle influencers and experts to endorse and demonstrate Electrolux products, leveraging their credibility and reach to connect with consumers.
3. Seasonal Promotions: Offering seasonal and holiday promotions, discounts, and rebate programs to encourage purchases during peak buyers, creating a sense of urgency and value for customers.

Some Recent Video ads and Print ads of Electrolux are:

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