Samsung and LG get serious about home appliance subscription services overseas (Korea)

Starting in December 2024, Samsung Electronics will be offering the "AI (Artificial Intelligence) Subscription Club" service, which allows users to purchase the company's products after using them in a subscription format.
Subscription services are becoming more common in the home appliance sector, due in part to shorter delivery times and the desire of consumers to try out a variety of new products at low cost.
The company also offers a smartphone subscription-based service in India.
Meanwhile, LG Electronics will develop a home appliance subscription service in Southeast Asia, including Malaysia and Thailand. The company plans to expand into other Asian countries, including India, in the future.
The company is also considering expanding into India. CEO Cho Ju-wan said, "In India, the penetration rate of air conditioners is less than 10%. 70 to 80% of households live without refrigerators or washing machines.
"We want to spread this to these households," he said. The subscription model is aimed at areas where people do not have enough income to buy expensive home appliances all at once, and then rent out the appliances for a fixed monthly fee before purchasing them.
Shim Woo-jung, a researcher at the Korea Institute for Industrial Economics and Trade, said of home appliance subscription services, "The home appliance market is
"This will be a way to secure market share in the market."