"Samsung's Secret to No.1 in Italy's Electronics Market Revealed... A Look at Local Distribution"

On the 17th (local time), Media World Certosa, a representative home appliance retailer in Milan, Italy, where one can get a glimpse of European households at a glance. This place, reminiscent of domestic electronics stores like Electronic Land or Hi-Mart, had mobile devices on the first floor and a variety of products from different brands such as TVs and home appliances on the second floor.

Media World Certosa, where Samsung Electronics' Europe-specialized built-in lineup can be directly touched and purchased, is the leading retail store among Media World stores in Italy with the highest sales of Samsung products. It can be said that this is the place where Samsung Electronics has established itself as the most well-known and frequently purchased brand among Italians amid fierce competition in the Italian home appliance market.

Samsung Electronics displayed products such as home appliances, TVs, and mobiles in a space designed like a European household and recreated an environment where devices are interconnected through artificial intelligence (AI) and SmartThings. Customers visiting the store could experience new connected experiences, such as controlling other Bespoke AI products via the screen of the 'Family Hub' refrigerator and easily continuing content watched on TV or smartphone onto the appliance’s screen.

The product currently being focused on the most here is the 'Built-in Wide (Wide) BMF (top refrigerator, bottom freezer) refrigerator' released in Europe this month. This product, which was also exhibited at Samsung Electronics' booth during the 'Milan Design Week · EuroCucina 2024,' is the first wide model in Samsung Electronics' built-in refrigerator lineup. Its internal capacity is 389 liters, 91 liters larger than the previous model, reflecting the trend of Italian consumers whose demand for wide built-in refrigerators is increasing.

Seok Hyemi, a home appliance specialist at Samsung Electronics Italy, explained, "Italians have gradually increased the amount of food stored at home since COVID-19. Italian homes have quite high ceilings, so refrigerators were made taller, but when they exceeded 2 meters, it became difficult to reach, making wider refrigerators the trend."

Samsung Electronics also leveraged the high interest in energy saving in the European market as a selling point. Seok emphasized, "The AI inverter compressor applied to the wide BMF refrigerator, which reduces energy consumption by 55.9% compared to previous models, is the result of 27 years of development expertise, providing higher energy efficiency and durability than the previous generation."

Samsung Electronics provides a comprehensive kitchen appliance solution package including built-in ovens, dishwashers, and cooktops along with built-in refrigerators to Italian distribution channels. Among these, the oven has been the most successful product in establishing a foothold in the European market.

Seok said, "Europeans make dishes like lasagna and pizza at home, so the oven can be considered the hub of home cooking. We succeeded in the oven business by enabling separate cooking of roast beef on the top and desserts on the bottom with the 'Dual Cook Flex' product."

The reason Samsung products were chosen is quality. Seok said, "Italy is a very important market where built-in appliances account for more than half of the total home appliance market. However, built-in appliances are conservative markets where it is difficult for new brands to enter due to the difficulty of model replacement in stores, ease of installation, and high-quality requirements. Samsung Electronics is the only Asian brand among the top companies in the Italian built-in market and achieved 12% sales growth in this sector last year, showing growth momentum."

In fact, Samsung Electronics is leading the local home appliance market in Italy, ranking first in washing machines and refrigerators last year. It has maintained the number one position in the freestanding home appliance market since 2013 and has been number one in the overall home appliance market, including built-in appliances, since 2022.

Samsung Electronics is accelerating market penetration through collaboration with major luxury kitchen furniture companies. On the same day, visiting the stores of 'Scavolini' and 'Lube,' luxury built-in kitchen furniture specialist brands located in the Corso Sempione area, it was confirmed that Samsung Electronics' products were displayed among prominent local brands. The Wide BMF refrigerator was also available in built-in form at each company's exhibition hall.

Seok explained, "Samsung Electronics has strategic partnerships with all five major local kitchen furniture distributors: ▲Scavolini ▲Lube ▲Veneta Cucine ▲Stosa ▲Arredo3. In particular, Scavolini proposes Samsung Electronics products as their first choice for collaboration."

Direct collaboration with designers is also underway. On a site operated only in Italy called 'Samsung Kitchen Club,' designers can sell package products with Samsung Electronics and upload invoices to receive rewards. Currently, 1,500 designers are registered in the Kitchen Club. Samsung is the only brand that supports TV, home appliances, mobile, and IT simultaneously, making it attractive to designers.

A Samsung Electronics official said, "We are actively targeting the market through the introduction of a Europe-customized built-in lineup, the establishment of a dedicated built-in sales organization, and collaboration with premium kitchen distribution companies in Italy. Samsung Electronics will achieve results in the European market based on AI-based smart connected experiences and energy-efficient products, which are our strengths."

Meanwhile, Samsung Electronics Italy was established in 1991 and employs about 400 employees at two bases in Milan and Rome.

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