Gen Z consumers are now driving the connected appliance agenda. We need to be ready and surpass their expectations, says Andreas Cedborg, VP of Digital Product at Electrolux Group, in this interview.
Hi Andreas, In general, what are consumers looking for in terms of product experience in today’s digital world? Is connectivity top of the list?
We now see a generational wave where connectivity features are disproportionally more important for the Gen Z generation, who already make up 30% of the total global population. They are the next wave of consumers. The market will shift quickly as they age into first and second-time home buyers.
In general, consumers are looking for digital products that are easy-to-use and provide a friction-free experience, save them time and are beautiful. Driven by what the consumer electronics and automotive industries offer, especially Gen Z consumers have become even more used to intuitive and personalized digital user experiences. Now, they expect the same from their home appliances. We need to be ready for this and surpass their expectations.
And what digital technologies are speeding up the change?
Larger and more high-resolution displays, artificial intelligence (AI), computational power, greater memory and advanced sensors are all important pieces in a puzzle that enables the creation of a much better user experience. Innovation is happening at a rapid pace and becoming a ticket to play across many industries.
We’re a manufacturing company with over 100 years of experience selling physical household appliances. How does our digital strategy change our story going forward?
We are now in a hybrid world where we have both a physical product and complementing that with a digital experience. For example, we have an app that serves our appliances. Let’s say the user wants to manage energy use in the home. Through our app they can set their dishwasher to start within 12 hours when the energy prices are lowest. This is a function tied to the physical appliance, but it is realized through a digital channel.
So our story remains that we create physical products and now the digital experience is part of that complete product experience.
What is the biggest difference in digital product development compared to physical?
Digital products have a much shorter formulation timeline than physical product development making it easier to be experimental. And once our appliance is with the user, this is just the beginning. Connectivity and the use of AI allows us to get user feedback and continuously upgrade the product through over-the-air (OTA) updates, making it better rather than older over its lifetime. It’s a completely different way to work and a way that Gen Z users expect us to take.
Tell us some of the user benefits of connecting, for example, a washing machine?
There are many benefits over a product’s lifetime. Connectivity can help the user optimize time through simple notifications such as letting them know when a load is done when they are in another room. There are also many more washing program options included in the app that you won’t see on the user interface on a machine. Once you click on a colour wash, for example, the app can take you on a multiple-choice journey to choose the best cycle for the load.
Connectivity can also encourage consumers to make more sustainable choices, for example, via software prompts to use programs that use less energy and resources. We can also educate them in the washing process itself to help make clothes last longer.
And there is no more sustainable behaviour than taking care of the appliance you already own. If the appliance is connected, if it needs a repair, the service person can see what is logged from the washing machine to understand what the problem is, which creates a much better experience for the user. We can also encourage preventative maintenance by prompting consumers to change a component before it wears out. Ultimately, connectivity helps extend the life of the product, which is better for the user and the planet. And we know that the Gen Z users really like this.
You’ve mentioned our app. What are some other highlights?
The app is essentially a remote way for the consumer to connect and to control not just one, but many of our appliances from one platform. The app is connected to Google and Alexa voice control which means if you pair the app with Google’s ecosystem then you don’t need the app at all. You can just start your dishwasher or washing machine by talking to Google.
How far away is direct clothes scanning, when a machine recognizes what is in the machine and adjusts the program?
It’s closer than you might think. With new technologies, we can have digital markers in clothes. This means when you put those items in the machine, it will be able to read the digital markers and understand what it is. Right now, it’s experimental but this is a technology we might very well use in the future.
Electrolux Group
Electrolux Group is a global appliance company that has shaped living for the better for more than 100 years. We reinvent taste, care and wellbeing experiences for millions of people, always striving to be at the forefront of sustainability in society through our solutions and operations. Under our group of leading appliance brands, including Electrolux, AEG and Frigidaire, we sell household products in around 120 markets every year. In 2023 Electrolux Group had sales of SEK 134 billion and employed 45,000 people around the world. For more information, go to www.electroluxgroup.com.