/PRZWT/ In 2025, the Chinese small household appliances market will exhibit a distinct structural differentiation. Under the circumstances where the retail sales of small household appliances declined by 6% to 8% in the first half of the year, some niche segments witnessed explosive growth. Among them, the market size of cold extraction function coffee machines increased by 423% year-on-year in the first quarter of 2025; the sales of the floor cleaning machine industry increased by 17.45% in 2025.
Behind the market fluctuations lies the transformation of consumption logic. Simply relying on overall sales data to understand the industry has become overly one-sided. The emergence and growth of a large number of new categories, driven by the individualized and fragmented demands of users, are continuously reshaping the market landscape.
Under this trend, small household appliance enterprises are gradually moving away from the traditional manufacturing model of "scale expansion" and shifting towards a value chain reconfiguration centered on user needs. Manufacturing upgrading is no longer merely about increasing production capacity; it involves achieving precise responses throughout the entire supply chain from demand insight to product delivery. During this process, Xiong Er Electric Appliances drives its manufacturing with digitalization. Not only has it achieved growth in its own performance, but it has also provided valuable practical answers.
Pre-process data to determine wind direction, upgrade data to enhance efficiency
The fragmented nature of small household appliance consumption determines the rapid iterative nature of market demand. This is clearly demonstrated in the rapid changes of emerging product categories in the past two years. For instance, in 2024, categories such as smart tea bar machines and pet small appliances were still the "dark horses" of the year; by 2025, cold extraction coffee machines and variable-frequency blenders had become the favorites of the general public.
The rapid shift in demand means that the traditional model of relying on past sales data to predict trends often lags behind the changes in consumer preferences, easily leading to the predicament of "following the trend means becoming outdated". Only by placing demand insight at the forefront can one gain the initiative in the ever-changing market.
This is also the breakthrough point for Xiongxi Electric Appliances - the pre-inclusion of user data. The brand collects over 20,000 pieces of new product research data every year. These real feedbacks from the front line cover multiple aspects such as product functions, usage scenarios, and experience pain points, serving as an important basis for "effective innovation".
For instance, the all-glass health preservation kettle is a product developed by Xiong Er Electric Appliances after accurately identifying the health care needs of users. Through upgrading the all-glass integrated body and applying technologies such as nano energy concentration and rapid heating, it meets the health care requirements in various scenarios. Recently, it has won the "Good Product" award in the 2025 Home Appliance Industry. Currently, the sales volume of Xiong Er Electric Appliances' health preservation kettles across the entire network has exceeded 10 million units, and it has consistently ranked first in market share for seven consecutive years.
The successful overseas expansion of rice cookers is also a typical example. By conducting in-depth research on the dietary habits of Vietnamese consumers, who prefer glutinous rice and pay attention to the cooking taste, as well as the space limitations of small kitchens, Xiaoxiong Electric Appliances developed targeted products with mini capacity and precise temperature control to meet local demands. With this differentiated advantage, they opened up the overseas market.
To seize the market trends in advance, it is necessary to combine with the rapid implementation of innovations to form a synergy. Digital manufacturing is the key to achieving efficient conversion of creative ideas. Xiong Er Electric Appliances has been persistently implementing the "321 Digital System Upgrade Project", which is centered around three major business platforms, two supporting platforms, and a digital enabling platform, achieving full-chain digital empowerment.
In the Foshan factory of Xiongxi Electric Appliances, the product can be completed with injection molding in just 45 seconds, and the insertion of electronic components can be achieved in 0.14 seconds. With only one worker on duty for 6 machines, the factory can produce over 200,000 parts every day. This system has compressed the average production cycle of the products by 5 days, and the achievement rate of the main production plan has increased to 97.33%. It not only ensures the rapid launch of new products but also can flexibly meet the production needs of multiple categories and small batches, perfectly adapting to the fragmented consumption trend.
Today, Xiongxi Electric Appliances has over 90 product categories. Through a vast array of best-selling products such as the Stackable Cooker, Blender, and Coffee Machine, it has established a product matrix covering all scenarios including kitchen, personal care, and feeding, providing users with a relaxed and enjoyable quality of life.
Digital manufacturing lays the foundation for quality.
While capturing consumption trends and enhancing iteration efficiency, small household appliance enterprises must not neglect their core competitiveness - quality. This is because whether it is the "quality full life cycle management" emphasized in the "Digital Transformation Implementation Plan for Light Industry" by the country, the green development requirements under the "dual carbon" goal, or the consumers' expectations for high-end and scenario-based products, all of these imply that quality is the fundamental for enterprises to survive through market cycles.
The quality of a product depends on the manufacturing process. Especially in the current era of intelligent manufacturing, enterprises must have the ability to conduct intelligent production control throughout the entire process to ensure the stability of quality in multi-category and large-scale production, avoiding quality control loopholes caused by the expansion of the product portfolio. They also need to possess professional full-cycle detection and verification capabilities, from research and development to market launch, to avoid quality risks at all stages and ensure that each innovative product can withstand the test of actual use.
This is also what Xiaoxiong Electric has been doing. In the field of intelligent manufacturing, Xiaoxiong Electric has established 5 intelligent manufacturing bases, with a total area of approximately 580,000 square meters. These bases cover 4 professional complete machine factories and multiple core component manufacturing factories, forming a full-chain control capability from core components to complete machine production. On the production lines, 5G full-connection technology enables real-time collection of production data, and AI visual inspection replaces manual work to complete high-precision quality inspection. This reduces human errors from the source and increases the qualified rate of finished products to 95%, ensuring the consistency of product quality.
It is worth noting that, thanks to its outstanding performance in areas such as land conservation, production purification, and energy decarbonization, Xiaoxiong Electric Appliances recently successfully received the "Guangdong Provincial Green Factory" certification with a high score of 101.05. This certification not only recognizes its green manufacturing practices but also serves as a strong evidence of the power of digitalization in enhancing quality and promoting sustainability.
Meanwhile, the specialized testing system adds another "safety valve" for quality. Xiong Er Electric has built a professional testing and evaluation center covering an area of approximately 2,000 square meters, including performance laboratories, environmental laboratories, material laboratories, and over a dozen other specialized laboratories, equipped with a large number of high-precision testing instruments. This center has obtained the laboratory accreditation certificate from the China National Accreditation Service for Conformity Assessment (CNAS), indicating that its test results have authoritative credibility. From durability tests under extreme conditions to safety performance tests for components, every product must undergo multiple rigorous tests before it is launched, ensuring that innovation is truly based on reliable quality.
From a long-term perspective, the next growth point in the small household appliances market will gradually shift from the "breadth" of scale expansion to the "depth" of demand exploration and the "precision" of manufacturing capabilities. By leveraging data-driven approaches to achieve demand anticipation and ensuring quality implementation through intelligent manufacturing, Xiong Electric has not only attempted to resolve the common contradictions between personalized and large-scale production in the industry, but also laid the foundation for its breakthrough in the targeted market.
In the current era where intelligent manufacturing has become an important direction for industrial upgrading, digital and intelligent transformation has permeated through key links of the industrial value chain, serving as one of the effective ways to cope with fragmented consumption and enhance market competitiveness. In the future, with technological advancements and the evolution of consumer demands, this model is expected to become an important trend for the high-quality development of the industry. During this process, more enterprises like Xiongxi Electric Appliance need to get involved, actively exploring diverse paths, and accumulating experience and continuously optimizing in practice.
