Czech Republic: MDA Market Trends Remain Negative in May

The trends for MDA over the YTD2010 have shown a decrease of -7% and -5% in value (CZK) and volume terms respectively, compared to the previous year. The market has strongly declined since March 2010 and experienced a -12% drop in May 2010.

The decline comes from all traditional channels. Only Internet sales, which are very strong in the Czech Republic with 15% of the turnover, have developed over the YTD2010 and May 2010, with positive trends in units but flat trends in value. Indeed, this channel has endured marked price erosion in recent times.

The decrease in sales on the market impacted Freestanding appliances, but sales of Built-in appliances, following some good performances in January 2010 (due to some pipeline effects) have also suffered significantly negative trends since March 2010.

Cooling and Freezers have decreased over YTD2010 and even more so in May (-21%) which was compounded by unfavorable weather. Cooking, Hobs and Hoods have also exhibited negative trends whereas Dishwashers and Washing Machines have maintained improved performances over the YTD2010, thanks to promotional activity in January. All categories declined in May 2010.