The initial phase of the government's digital handout scheme is expected to benefit Thailand's home appliance market, according to Samsung, South Korea's largest company by market cap.
Roengboon Klongkumnuankarn, director of home appliances business at Thai Samsung Electronics Co, said the company expects the 10,000-baht cash handout scheme to help boost consumer purchasing power.
Among the company's range of products, refrigerators and washing machines would most likely benefit from the scheme, he said.
Even though the gloomy economy would affect the market this year, the company believes it will rebound in the fourth quarter as people start spending towards the end of the year.
The washing machine market in Thailand is estimated to be worth 14.7 billion baht in 2024, with an estimated annual growth rate of 4%, according to Thai Samsung.
While sales of twin-tub top-load washing machines are declining as consumers are opting for a more convenient experience and greater energy efficiency, sales of front-load washing machines continue to grow, he noted.
"We see room for growth in the front load washing machine segment, with an estimate of 10% growth this year."
At present, front-load washing machines account for 30% of overall unit sales.
Furthermore, the company predicts sales of wash-and-dry washing machines could grow by more than 27% this year.
Thai Samsung launched the Bespoke AI Laundry Combo wash-and-dry machine, aiming to target the premium segment of up to 5.6 million consumers.
The segment consists of eco-friendly users, innovation adopters and couples with infants.
The company is closely monitoring the severe floods in the North and Northeast of the country and will evaluate the damage caused to its sub-dealers once the situation improves.
"People will buy new home appliances to replace damaged ones if they are confident there won't be more floods, and refrigerators are likely to be the first thing on their list," Mr Roengboon said.