Global megatrends that shape our business

Global demographic trends – such as population growth, the growing middle class, an aging population and urbanization – are increasing the demand for home appliances, which puts more pressure on natural resources. By 2035, another billion people are expected to buy their first refrigerator.

Implications for Electrolux

• Significant growth potential in emerging markets.
• Continued need to improve the environmental performance of products.
• Growing importance of the silver-haired consumer group and the increasing number of smaller households.
• Potential for new business models, e.g. shared ownership.

There is growing concern among various stakeholders that humans are causing irreversible damage to the planet’s fragile systems, and that there is an urgent need to reduce greenhouse gas emissions and adapt to a changing climate. There is also a pressing need for businesses to work within planetary boundaries by developing ‘circular business’ models that promote resource efficiency, cleaner chemistry and waste reduction.

Implications for Electrolux

• Continued need to improve the environmental performance of products.
• Pressure to reduce water consumption in areas with water scarcity.
• Competition for some metals and minerals.
• Growing importance of the circular economy.
• Expectations to go beyond chemical legislation.

New technologies are scaled rapidly and globally, with purchasing decisions increasingly influenced by online information and social media. The Internet of Things (IoT) promises to connect billions of products in the near future.