Gorenje’s Boštjan Pečnik talks Hisense alliance

Boštjan Pečnik, Executive Vice President of manufacturer Gorenje discusses the companies alliance with Hisense and the key developments of the home appliances market ahead of 2022.How has Europe’s major appliance industry fared amid the pandemic?

Following the first half of 2021, there was a positive development in all the European markets. Market demand is still strong in the second half of the year and above our expectations. We expect it to continue during the Christmas period. On the cost side, like all industries, major appliances are also facing a raw material price increase and the growth of logistics and energy costs. Consequently, this is also driving a price increase for the end users. There’s also the challenge of shortages of some materials and components like microprocessors. But I think this price increase will be done step by step and it will not immediately affect performance over the Christmas period.

Which of your recent products have been the most game changing?

In this Covid period, end consumers are searching for appliances that improve convenience. They are looking for appliances that are more environmentally friendly. Therefore, the most interesting ones are those that allow connectivity with smart functions and automation, and also energy efficiency, hygiene and function support. Supporting healthy lifestyles like steam cooking is very interesting. In general sustainability is becoming more and more interesting and important. Legislation in some areas, let’s say it is supporting the launch of sustainable products. But we are also seeing our end consumers really starting to care about sustainability in a positive way. And of course, this is good for our environment.

How have your product lines evolved during the collaboration between Hisense and Gorenje? Has the integration been easy?

We are constantly improving our product competitiveness by adding new products and new product platforms to our product range. We are of course also using product synergies inside Hisense Group, especially in the field of refrigeration and laundry appliances. In 2021 all our main product lines have been growing, which is a good sign. We are aware that good products are key to succeeding on the market and therefore we are increasing investment in R&D. The majority of our integration activities were done in 2019. On the sales side, there’s been the consolidation of sales business units on the European markets, in R&D and product management areas, the implementation of global organisation, and the responsibilities for product development. On the production side, the biggest benefit of this integration has been the integration of global sourcingSo global sourcing has been the main strength of your alliance with Hisense?

It is definitely one of our main strengths. In this time of Covid it has been even more important. In terms of branding, sourcing has been very important. R&D capability is also definitely one of our main strengths, particularly the development of electronics and connectivity. In the field of products, I would also mention our big sized refrigerators, especially for the Gorenje brand, and kitchen appliances for the Hisense brand, because they complement each other’s ranges. On a global scale, we also have new market access and the synergies that come out of that. There’s also our marketing resources and sponsorship of big sporting events like the UEFA Euro 2020 and FIFA World Cup 2022. In terms of branding, we have a clear strategy for the brand portfolio on the global market, and in the field of major domestic appliances, we will further develop Hisense, Gorenje’s brand, and in the premium segment, the ASKO brand.

Are you launching any new products in preparation for the holiday season?

Yes, we are launching a lot of new products. If I start with refrigeration, we will be launching our new wi-fi combi and a retro style combi, our flagship product. Our new laundry products with a refreshed look and improved performance are also important. The biggest novelties are a totally new plug for built-in ovens for the Hisense and Gorenje brands we call Celsius cooking. It’s a premium induction smart cooking ecosystem. That brand will also be launched during this period, and many others will follow in the first quarter of 2022.

Finally, what are your mid-to-long term goals in Europe?

We are improving our position in all product categories and we will continue to strengthen our market position. Our goal is to become one of the leading manufacturers of major appliances and solutions in the global market. And as I mentioned we will further develop our brands Hisense, Gorenje and ASKO.

For more information on Gorenje, click here. Listen to Mr Pečnik’s full IFA Tech Talk, the Official IFA Podcast interview here and also available on:

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Hisense Europe group

In 2020, Hisense Europe group generated under two billion euros in sales revenue, of which more than 97% was in the household appliances sector. One billion of the mentioned sales revenues was generated in the markets of Western Europe market, more than 800 million euros in Eastern Europe and the remaining part in the rest of the world. Production company Gorenje generated 1.19 billion euro in sales revenue last year, which is a 42.3% increase compared to 2019.

2020 was the first year of operation within the newly established Hisense Europe Group, which includes all the company production, service, sales companies and subsidiaries in Europe and geographically covers Europe and the CIS region (Central and South-Eastern Europe, the Baltic States and the countries of the former Soviet Union). The corporate structure has been simplified, which enables more efficient business management, and business results have significantly improved since the second half of 2020.
«Last year – the comapny explains -was extremely demanding for production. From March to May, when the coronavirus epidemic swept across Europe, orders fell sharply (by as much as 65%), while three to four weeks of production shutdowns at all production sites led to extremely low levels of production and capacity utilization. With timely measures in response to the outbreak of the pandemic and the adjustment of sales strategies, we managed to create new opportunities and quickly increase sales and business volume. We were in close contact with our customers at all times and kept them informed on a daily basis about the state of supply chains in Europe and China».

«Moreover – the company goes on – Slovenia becomes Hisense’s global R&D center for kitchen appliances. Last year, Hisense Europe group invested 42 million euro in research and development activities, of which almost 12 million euro in new product development. By investing in R&D, we are improving the competitiveness of our products to support growth and structural improvement in sales. We increased the number of R&D employees to close to 400. In June 2020, we established Hisense’s global R&D center for the development of kitchen appliances in Velenje, which we are still staffing and employing engineers, graduate engineers and masters in mechanical engineering, electrical engineering, mechatronics and computer science

HI-NANO: Hisense’s new technology inactivates COVID-19 with a rate up to 93.54%

Hisense’s HI-NANO technology is certified effective on inducing the novel coronavirus (SARS-CoV-2) with an inhibition rate of 93.54% by Texcell, a global contract research organization. The test was performed at Texcell’s laboratory in Paris in February 2021. Also, verified by the world’s leading testing group SGS’s, HI-NANO can effectively remove over 99.37% of the H1N1 influenza virus in 2 hours in a 30 m3 chamber. As a responsible tech company, Hisense (000921.SZ) aims to create healthy and clean air for consumers worldwide.

Texcell has verified the inhibitory effect on the novel coronavirus (SARS-CoV-2) of Hisense’s HI-NANO technology.
Hisense Fresh Master air conditioner equipped with HI-NANO technology is to go on sale in multiple European markets in May 2021.
Hisense is committed to creating a better living environment for everyone around the globe.

Hisense HI-NANO technology inactivates viruses and bacteria

HI-NANO ion generator is a technology independently developed by Hisense, which has been applied in many Hisense air conditioning product series, including Fresh Master, Silentium Pro, Energy Pro, New Energy, Easy Smart, Wingsand etc.

It generates efficient high-concentration dual ions up to 1 million/ cm3. Bacteria and viruses lose their activity after being absorbed by dual ions, resulting in an inhibitory effect.

Strengths of HI-NANO:

  • High efficiency: HI-NANO releases twice to three times the number of ions when compared to ordinary ion generators. A viral clearance performance of 90% removal rate in one hour and 99% in two hours has been verified.
  • Security and harmless: it only produces half of ozone (0.007mg/m3) in comparison with ordinary ion generators, which causes little harm to the environment.
  • Durable: The generator is able to remain high-quality performance for 20 years.

Hisense Fresh Master air conditioner equipped with HI-NANO technology will be available in Italy, Germany, Spain, Portugal, the Netherlands, Serbia, Ukraine, Russia, Romania, Poland, and Denmark soon in May 2021.

As an innovation-driven tech company, Hisense innovates its air conditioner series with high-tech features such as viral clearance, air refreshing, noise reduction and sleep aid which has met individual demands. Hisense reaches 5.15 million units of global air conditioning sales in 2020, ranking in 7th. It has been one of the best-selling air conditioner brands around the world.

Green technologies applied to reduce greenhouse gas emissions

Hisense spares no efforts to provide its customers with cutting-edge air cleaning products, but also focuses on reducing greenhouse gas emissions for a better atmospheric environment.

Hisense’s green technology development in air conditioner products:

  • The improvement of 3D full DC inverter technology can reduce energy consumption by more than 30%.
  • With low-carbon R32 and R290 refrigerants applied on products, global carbon dioxide emissions can effectively reduce up to 1.16 million tons.

Hisense believes that technology can make a significant impact on protecting the air we share and keeping it healthy and clean for all. Hisense is committed to creating a better living environment for everyone around the globe. 

SOURCE Hisense

Hisense introduces Advanced and Essential , two new lines of washing machines and dryers

Hisense introduces Advanced and Essential , two new lines of washing machines and dryers able to combine design, quality materials, performance and a strong technological component.

The Advanced lineit consists of two washing machine models (WFGA80141VM and WFGA90141VM) with 8 and 9 kg load capacities and a 9 kg dryer (DHGA901NL). Advanced appliances represent Hisense’s winning proposal in the world of washing, starting from the design, designed to improve the ergonomics of the product, up to the choice of robust materials that guarantee reliability and stability. The range can count on a large loading mouth and an Inverter motor. Characteristics of the line are the Wave Plus basket, which with a reduced number of holes guarantees at the same time kindness and performance, Steam Mix technology, which thanks to the use of steam makes the garments softer, sanitizes them and removes odors, and the automatic program adjusts temperature and duration according to the weight and type of clothing.

The DHGA901NL dryer of the Advanced line, with 9 kg and energy class A ++, offers similar features, including the Wave Plus basket and the wide loading mouth, but adds the Twin Flow bidirectional airflow that reduces times and guarantees homogeneous drying, and the Ion Refresh technology, which thanks to the negative ions acts on bad smells and reduces the electrostatic charge.

The new Essential range consists of five washing machines and a dryer model. The washing machines differ in load capacity (7, 8 and 9 kg), energy efficiency and, above all, in size, being two of the five models (WFGE70141VM / S and WFGE80141VM / S) based on a slim design with a depth of 46, 5 cm which is perfect for those who have to optimize space. There is no shortage of excellent technical features: the large loading mouth, Steam Mix, Inverter motor and Wave Plus basket. The DHGE901 dryer of the Essential range, with a load capacity of 9 kg and in class A ++, offers Twin Flow airflow , a large loading mouth and the Easy Clean filter, placed on the door and very easy to clean.

Hisense Plans To Open Washing Machine Factory in Africa

Hisense has made public its plans to open a washing machine manufacturing plant in South Africa by February 2021.

This will be the company’s second manufacturing plant in the continent, following the opening of a KES 2.2 Billion plant back in 2013 that is used to produce TVs and fridges. In 2019, Hisense added an additional production line that saw it start assembling smartphones in the Atlantis factory.

“Since launching washing machines in the country three years ago, Hisense has achieved a 12% market share in that segment,” the group said.

The new factory, which will also be in Atlantis, north of Cape Town in South Africa, will add an additional 200 jobs into the country’s economy. Hisense says that they currently employ more than 800 people and reach over 3000 people through their outreach programmes that train and uplift the wellbeing of people in communities around South Africa.

In 2019, Hisense managed to put out more than 530,000 TVs and 331,000 fridges from their factory in the country. “In 2019, one in four TVs or fridges sold in South Africa was a Hisense,” said the company.

Hisense has also made significant inroads in Africa, with products also being exported to 13 other African countries, including Kenya, South Africa, Namibia, Mozambique, Zimbabwe, Malawi, Zambia, Botswana and Lesotho.

Hisense has appointed actress Gong Li as its new global brand ambassador

Hisense has appointed famous Chinese-born Singaporean actress Gong Li as its new global brand ambassador.

“The cooperation between Gong Li and Hisense, which has promoted Chinese brands to the world, brings out the best in each other,” the company said in a statement.

According to Hisense, the reason behind the appointment is that Gong Li’s spirit coincides with the brand’s focus and benefits its overseas marketing activitie

Hisense and Gorenje committed to protect their staff from the virus

Hisense Europe Group (HEG) management and representatives of trade unions at the plants in Slovenia (Velenje), Serbia (Valjevo) and the Czech Republic (Mariánské údolí) are united and committed to their intention to protect the health of all employees across Europe during the coronavirus pandemic. HEG management and representatives of trade unions at plants in Slovenia, Serbia and the Czech Republic have urged their employees to strictly abide by the preventive measures against spreading of COVID-19 that were imposed to benefit each individual employee as well as the entire company. HEG continues to work closely with healthcare authorities in all countries it operates in, strictly following all the measures imposed by local authorities.

«Our common response to the current pandemic – reads the statement signed by the HEG management and trade unions in all three countries – is the zero-tolerance approach to the violation of prescribed measures. Behaving responsibly is the only way that can help us maintain our health during the pandemic, which is a major challenge the entire world is facing. We have been investing all our efforts in making sure our employees are well-educated about the importance of strict implementation of all measures, both in the plants and outside them. Together, we urge all employees to practice discipline, physical and social distancing even outside the plants, and thus help contain the spreading of the virus.»
The Group ensures that “HEG plants, as well as all other organizational units throughout Europe, have been following strict preventive measures since day one of the pandemic: physical distancing, mandatory use of disinfection barriers, regular disinfecting of hands and work areas, measuring body temperature at the entrance, and wearing protective masks provided by the company. Protective barriers have been installed in all our plants; they prevent physical contact wherever possible, premises are regularly disinfected, and meetings are held online or with mandatory proper physical distancing.”