Rental fee cheaper than raw water cost? The rising trend of 'self-managed' water purifiers

by Choi Donghyeon

Published 15 Feb.2022 09:42(KST)

SK Magic's self-managed water purifier 'Eco Mini Water Purifier Green41'

[Asia Economy Reporter Donghyun Choi] The domestic rental industry continues to introduce ‘self-managed’ home appliances early this year. The prolonged COVID-19 pandemic has increased the number of consumers preferring contactless services, and the lower price compared to on-site maintenance models has driven demand.

According to the industry on the 15th, SK Magic launched the self-managed non-electric water purifier ‘Eco Mini Water Purifier Green41’ earlier this month. This product adds a non-electric function to SK Magic’s first self-managed water purifier, the ‘Self Direct Water Purifier,’ released in August 2020. The device operates solely on water pressure without requiring electricity. It was developed focusing on the recent industrial trends of contactless service and eco-friendliness.

The monthly rental fee for this product is 16,900 KRW (based on a mandatory usage period of 3 years). If contracted for 6 years, the price drops to 11,900 KRW. An SK Magic representative said, “The previously released self-managed water purifier is very popular, selling over 10,000 units monthly,” adding, “Its lower price compared to on-site water purifiers attracts customers who prefer bottled water delivery, leading many to switch to self-managed water purifiers.”

For on-site maintenance products, a technician typically visits the customer’s home every 3 to 4 months to inspect the device, whereas with self-managed products, customers must replace the regularly delivered filters themselves.

Coway has been releasing self-managed water purifiers since 2020, and currently offers nine related products. For self-managed products, filters and self-management kits are regularly delivered every six months. Through its DX (Digital Transformation) Center, established in January last year as an integrated IT-dedicated organization, Coway has further specialized its smart management services using artificial intelligence (AI) and the Internet of Things (IoT). A Coway representative said, “Smart sensors provide voice guidance on device malfunctions and connect customers to the call center,” adding, “It also automatically checks filter lifespan, making management easy.”

Kyowon Group’s health appliance brand Wells also launched the self-managed non-electric water purifier ‘Wells Mimi’ last month. The company explains that it can be installed anywhere with just 9cm of horizontal and vertical space, without restrictions on power outlet availability. A Wells representative said, “With the spread of contactless trends, inquiries from customers wanting to reduce plastic consumption have recently increased significantly.”

Chungho Nais introduced two models of the ‘Chungho Self-Managed Water Purifier’ (cold water purifier and cold/hot water purifier) in January last year. It added a filter backwash function that discharges residue filtered inside the filter, making it easy for consumers to clean and sterilize by themselves. This product also allows customers to choose between self-managed and on-site maintenance services. The company explained that 87% of customers chose self-managed service over the past year.

When self-managed products were first introduced, there were concerns among on-site maintenance technicians. They could earn commissions from visits and additional allowances from selling products to customers they met on-site. However, an industry insider explained, “As consumers increasingly seek only self-managed products, sales organizations are now asking why self-managed products are not being offered,” adding, “Since they also benefit from selling more self-managed products through online channels, concerns about reduced sales activities are diminishing.”