Khind, a global consumer electrical and electronics manufacturer, has signed an agreement with retail giant Al Futtaim to distribute Khind products in the consumer electronics segment across the UAE.
The agreement will boost the household appliance market revenue in the Middle East and Africa (MEA), region that has been growing from Dh23.12 billion in 2017 to Dh27.9 billion in 2021, according recent industry reports. The household appliance market revenue in the MEA is projected to grow to $8.4 billion in 2023.
The agreement illustrates the shared commitment of both parties to further penetrate the market and broaden their reach within the Middle East region that will also help the market to grow in the next few years.
Adil Mistry, group CEO of Khind Holdings Berhad, said: “We have enjoyed many longstanding vendor relationships throughout our years in business and we are pleased to strategically align ourselves with Al Futtaim’s strong distribution network. I hope this will be a winning combination for us.”
“I strongly believe that right distributor enhances a company’s exposure in the product market and can give an edge in terms of speed and efficiency. This association will widen our customer reach and help us to grow faster in the region,” he said.
Khind, which looks after the market development for the brand in 15 key markets across the region, has recently relocated to a bigger regional head office to increase the brand’s presence and boost the region’s growing consumer electronics and home appliance market.
Revenue in the UAE’s vibrant household appliances segment is projected to reach Dh1.21 billion in 2021. Revenue is expected to show a Compound Annual Growth Rate (CAGR) of 14.84 per cent between 2021 and 2025, resulting in a projected market volume of Dh2.11 billion by 2025.
In the household appliances segment, the number of users is expected to amount to 2.9 million users by 2025, resulting a user penetration level of 21.5 per cent in 2021 and is expected to hit 28.2 per cent by 2025. The average revenue per user (ARPU) is expected to amount to $154.26. In the Household Appliances segment, 50 per cent of total market revenue will be generated through online sales by 2023, reports have said.
Sachin Wadhwa, MD of Al-Futtaim Electronics, said: “Through its relentless pursuit of excellence and providing products and services of the highest quality standards, Al-Futtaim Group continues to deliver on its promise of enriching the lives and aspirations of its customers each and every day. Al-Futtaim Electronics in partnership with Khind Middle East, uphold these values in bringing quality products at a competitive price point.”
“We are excited to partner with Khind Middle East in distributing its range of class-leading products in the UAE, providing our customers with a unique and excellent shopping experience. We are confident that the partnership between Al-Futtaim Electronics and Khind Middle East will be beneficial for both companies in achieving success in in the distribution strategy and peak performance on the market,” he added.
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