Core Insights - The home appliance market during this year's Double 11 has faced significant challenges, with a notable decline in sales compared to previous years, attributed to various factors including reduced government subsidies and a shift in consumer behavior [2][4][8] - Price competition has intensified as manufacturers and retailers adopt self-subsidization strategies to promote mid-to-high-end products, leading to a decrease in overall profitability [4][5][9] Market Performance - Sales of major appliances such as televisions, refrigerators, and air conditioners have shown a year-on-year decline during the Double 11 period, with online and offline retail markets experiencing a downturn [2][4] - The average price of air conditioners has decreased by 5%-15% year-on-year, indicating a competitive pricing environment [4] Consumer Behavior - Consumer demand has been fragmented this year, lacking the concentrated surge seen in previous years, leading to a more cautious purchasing approach [4][8] - The rise of content-driven e-commerce has shifted sales dynamics, with some companies reporting a 20% increase in overall sales during Double 11, while others noted that online prices sometimes undercut their wholesale costs [5][6] Growth Opportunities - Growth in the home appliance sector is becoming more structured, with specific categories such as smart appliances and health-oriented products seeing significant increases in sales [8][9] - For instance, sales of AI-enabled home appliances accounted for over 30% of total sales for some brands, highlighting a shift towards innovative product offerings [8] Strategic Shifts - Companies are increasingly focusing on product customization and collaboration with e-commerce platforms to meet consumer demands for high-quality, tailored products [9] - The traditional low-price strategy is losing effectiveness, prompting brands to prioritize product quality and customer service over mere price competition [9]