The prices of household appliances will increase at the start of the school year, even more in the areas affected by the floods: why?

If you need to buy appliances, now is the time. Prices will indeed increase by 5 to 15% in the coming weeks, due in particular to production delays due to the health crisis.

A steam iron currently sold 49 euros instead of 59 euros because we are in sales period will be sold 69 euros at the start of the school year. All appliances are concerned, from the toaster to the television, including the vacuum cleaner and the washing machine.

“What explains this situation is that the components coming from all kinds of foreign countries are no longer available, because with the Covid, there have been plant closures, production blockages”, explains Gery Zschau, manager of an appliance store.

Suppliers also have to cope with rising raw material costs and rising transport prices, particularly maritime ones.

“As a general rule, the cost of electronic components, we have increases ranging from 15 to 40%. On the cost of transport, we are rather on a great variability”, says Didier Van Caillie, professor of business strategy at the University of Liège.

Customers are looking for solutions

This price increase could disrupt the plans of some consumers. “Maybe we’ll wait longer before changing it”, confides a client. “There are devices that are worth repairing, others are not”, believes another. “We buy what we need and that’s it. If it’s more expensive, too bad, we don’t know how to do anything”, adds another client.

Resellers worried

If this price increase is not yet visible on store labels, it is in particular thanks to resellers who absorb the difference by reducing their profit margins.

“When we go to the sites of our suppliers, I admit that it worries me a little but hey, we will try to maintain these prices as much as possible”, says Gery Zschau, the manager of a store.

This price increase could occur even more quickly in some regions, especially in areas affected by floods where demand for these devices is high.

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