Robotic vacuum maker Dreame says untapped global demand to drive next phase of growth
Europe is Dreame’s largest market for robotic vacuum cleaners, with more than half of its revenue there generated by premium products
Despite intense competition that has pushed one US company into bankruptcy, the global robotic vacuum cleaner market has plenty of room for growth given low penetration rates, according to Meng Jia, president of Dreame Technology’s robotic vacuum division.
Meng anticipates steady growth for robotic vacuum sales over the next few years, noting that market penetration remains low – less than 10 per cent in China and under 20 per cent overseas.
“The robotic vacuum category hasn’t fully realised its potential in terms of user experience,” said Meng, adding that the product was still in its “ascent stage”.
Europe was Dreame’s largest market for robotic vacuum cleaners, followed by China and the US, according to Meng. Europe’s dominance was driven by a consumer base that is receptive to leading-edge technology, with more than half of Dreame’s revenue in the region generated by premium products priced above 1,000 euros (US$1,174).
“The Chinese market is the most competitive in the world,” said Meng. The 3,000 to 4,000 yuan (US$568) price bracket accounts for roughly 50 per cent of the company’s domestic revenue, in contrast to the premium-heavy European market.