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Ariston Romania reported EUR 44 M turnover last year; annual sales of heaters 20 times higher in the past 20 years

Marking 20 years on the local market, Ariston announced on Thursday the latest reports on the business in Romania. According to country manager Ariston Thermo Romania, Catalin Draguleanu, the world leader company in thermal comfort reported a turnover of EUR 44 million in Romania last year, which represents an increase by 30 percent compared to the previous year. Overall, the annual sales of heaters have been up by 20 times on the local market in the past two decades, while the total brand awareness mounted to 90%.

The number of heaters sold in Romania has increased from about 15,000 units in 1998, to 170,000 in 2008, reaching 270,000 in 2018.

Ariston officials say that the increase is due to the growing requests for disconnections from the centralized heating system, to the new constructions market and to the growing number of the heater replacements.

Disconnections from the centralized heating system in favor of an independent and more efficient solution, by installing a heater, have mainly sustained the rise of the market. But, if in the past, most of the sales were for the houses disconnected from the centralized heating system, at present the share of the replacements segment has considerably increased, mounting to a level of roughly 50% of the total sales. As for the upcoming period, the market will continue to rise in numbers, but mainly in value, as it is sustained by the constructions of new houses, as well be the more and more frequent replacements of the older heating devices, which are not equipped with new technologies and increased efficiency as the current range of products,” said Catalin Draguleanu in a press conference on Thursday.

If 2.48 million households were still connected to the centralized heating system in 2002, the number has dropped to 1.23 M last year.

At present, 13 counties in Romania are fully disconnected from the centralized heating system (Alba, Mures, Maramures, Bistrita Nasaud, Satu Mare, Ialomita, Ilfov, Braila, Caras Severin, Neamt, Dambovita, Olt, Salaj). Bucharest is on the opposite side, with over 60% households still depending on the centralized system.

He also said that Ariston is a market leader on the thermal heating sector, with 25% for heaters and 60% for boilers (water heaters), with the latter mostly prevailing in the countryside.

As for the heaters installed in Romania, the company says the figure has reached around 2.4 million units. Draguleanu added that 2.6 million families in Romania have Ariston products.

Catalin Draguleanu Country Manager Ariston Thermo Romania

Since the company has entered Romania, the challenge is to adjust to the local market’s demands (…) The heater replacements segment currently represents the engine of the market, which, according to our forecast, will reach about 80% of the demand in the coming five years. Over 2.6 million families have chosen the Ariston comfort,” the country manager pointed out.

However, Romanians are posting a lower trend when it comes to replace their heaters, once in 12 to 14 years, compared to the residents in Western Europe, who are replacing their heaters once in 8-10 years.

One of the business development strategies on short term will be the investments in training the partners (300 distributors and 250 service centers). 600 stores are selling Ariston products at present.

According to a survey conducted by Ariston on what is the Romanians’ vision on comfort, most respondents are identifying comfort with peace, harmony (21.8%) and heat (28.8%).

Asked to describe the comfort, most of the Romanians think comfort feels like an all-inclusive vacation (31.3%), like a hot coffee in a cold morning (20.8%), a good book read in bed on a Saturday (17%) or like a hot shower at home (16.5%).

The most comfortable room in the house for Romanians is the living room, while the ideal temperature at their place should be 20-22C.

About Alina Grigoras Butu