2025.06.25
Continued market decline in May
The market for white goods and household appliances is still showing no signs of recovery. The APPLiA market's sell-in figures for May show a continued lag compared to the previous year.
In terms of value, the accumulated value of sales in the first five months of the year is now 6.9 percent below last year's figure. It seems as if a wet blanket is hanging over our market and its hopes for a recovery.
Better location for retail expected
However, the Retail Economic Report from HUI predicts a tendency for improvement in the retail sector going forward. The recovery of the Swedish economy is now believed to be gradual and HUI is adamant that the situation will brighten somewhat during the autumn. In the report we can read:
– Despite global setbacks, there are some glimmers of hope in the Swedish economy. With a strengthened krona, real wage increases, stabilized inflation and interest rate cuts in sight, there is much evidence that the economic situation is slowly continuing to turn for the better. As consumption levels slowly rise, retail sales are expected to increase. The non-durable goods trade has begun a cautious turnaround and HUI estimates that annual growth will amount to 4.5 percent in current prices and 3.0 percent in fixed prices.
A tough month for both MDA and SDA
The accumulated figures are now minus 5.4 percent (MDA) and minus 11.1 percent (SDA). The number of working days was fewer in May 2025 than last year – this may have to some extent affected the outcome of the industry's sell-in values for the month of May this year. But of course, the uncertain global situation, which affects purchasing and investment appetite, is the biggest factor slowing down consumption readiness among Swedes.
Positive prognosis?
To find some positive thoughts about the future, we return again to HUI's latest economic forecast published in June, where we note the following statement:
– Despite the uncertain global situation, the retail sector is showing resilience and, gratifyingly, sales in the consumer durables sector are turning upwards after a challenging period. This year, all sub-sectors within the consumer durables sector are expected to show growth. The pharmacy sector and trade with a wide range of products, where low-price alternatives are well represented, continue to act as a driving force for development. Consumers' price awareness remains, despite the fact that purchasing power is now gradually increasing, says Emma Hernell, CEO of HUI Research.
For the APPLiA industry, not only is a positive development in retail sales important. To reverse the downward trend, it is also necessary for housing production to get underway and for energy-saving renovation measures to be initiated on a larger scale in Sweden.
