Gree Challenge Vietnam's Air Conditioning Industry: Who Dares To Challenge The 10-Year Warranty?

Gree Challenge Vietnam's Air Conditioning Industry: Who Dares To Challenge The 10-Year Warranty?

Date:Apr 13, 2020

[China Refrigeration Network] Gree openly "challenged" the air-conditioning industry in Vietnam, which has attracted great attention from Vietnam's home appliance industry.

Recently, Gree held an online new product conference in Vietnam with the theme "Gree is your future".  Among them, one of the biggest highlights is Gree Air Conditioning's 10-year warranty.  Ten years of warranty rarely occurs in Vietnam's air-conditioning industry. Gree Air-conditioning, adhering to Dong Mingzhu's bold personality, dares to break industry conventions and highlights its ambition to take who is better than me.

The main character of this new product conference is Gree's three new generation Gree air conditioners equipped with durable and corrosion-resistant sea salt technology. The biggest selling points are three:

First, Gree air-conditioning products have a 5-year warranty and compressors have a 10-year warranty.  Second, it is resistant to sea salt corrosion and super durable.  Third, use R32 environmental protection technology.

Blue Technology learned that one of the biggest highlights of the three Gree air conditioners is the product warranty of 5 years and the compressor warranty of 10 years.  A media source in Vietnam's home appliance industry said Gree Air Conditioning has a long warranty period, breaking the current warranty ceiling in Vietnam's air conditioning industry.  This is a big selling point.  Gree Air Conditioner took the lead with the slogan of 10-year warranty. It is not clear who can meet the challenge or follow suit.  However, due to the impact of the epidemic, Vietnam's air conditioning industry has suffered obvious damage this year. Whether Gree's 10-year warranty concept can help to rapidly increase sales depends on the attitude of consumers.

At least conceptually, Gree Air Conditioning attracts more attention for four main reasons:

First, the "sea salt anti-corrosion" technology solves the user's pain point.  Vietnam has a coastline of more than 3,260 kilometers, but it is easy to cause sea breeze with high salt content to have a significant impact on outdoor metal equipment, especially on outdoor opportunities for air conditioning.  In order to reduce the impact on users, Gree has introduced "sea salt corrosion prevention" technology.

This technology is called having three layers of "armor" and is characterized in that: the machine is made of 100% copper;  The radiator (including outdoor unit and indoor unit) is plated with 1 layer of Golden Fin advanced anti-corrosion gold;  The structural frame of the radiator is made of advanced corrosion resistant materials.


Gree "Challenge" Vietnam's Air Conditioning Industry: Who Dares to Challenge the 10-Year Warranty?

Gree Air Conditioner, which can prevent sea salt and corrosion, successfully solves the user's pain. Gree Air Conditioner can also operate continuously under extreme weather conditions to prevent corrosion, thus prolonging the service life of the product.

Secondly, energy conservation and environmental protection.  By enhancing the evaporation process, optimizing the cooling and blowing systems, and combining with the high-performance fan motor system, the compressor can operate at extremely low frequencies, thus having the ability to save energy.  Compared with traditional air conditioning, it can save up to 60% of energy.

Third, it can effectively remove bacteria.  Gree Air Conditioner, which is on sale in Vietnam, has innovative G-Clean technology that not only helps eliminate all dirt on indoor units, but also prevents mold and bacteria from breeding.  Gree air conditioner is equipped with filters with higher density than traditional filters, which can effectively prevent fine particles and pollen in the air, thus creating a clean atmosphere.

For example, Gree Air Conditioner is equipped with activated carbon filter, which can effectively absorb cigarette smoke, pet odor and other unpleasant odors.  Catechin filter extracted from 100% green tea can eliminate 95% carcinogens, such as staphylococcus, streptococcus and salmonella.

Fourth, Gree Air Conditioning uses a new refrigerant GasR32 in Vietnam.  Compared with traditional gases, Gas R32 is not only helpful for rapid cooling and cryogenic steam, but also helps to save electricity.  In addition, the gas R32 does not contain ozone-depleting substances, thus helping to protect the environment and reducing the possibility of global warming by 70%.

Vietnam's home appliance market is currently in a rapid development stage. Take air conditioning as an example, the penetration rate in Vietnam's market will be 45% in 2018. With the increase of Vietnam's economic income, the home appliance market will expand in the future.  Gree Air Conditioner has taken the lead with anti-corrosion and anti-sea salt technology, but it is not clear how the market will respond under the epidemic situation.

In the Vietnamese market, Daikin, Panasonic, Samsung and LG have the highest approval ratings for air conditioners. However, under the banner of Gree's 10-year warranty, there is no sign yet of how Japanese, Korean and other brands will respond to Gree.  It can be expected that with the increasingly fierce competition in Vietnam's home appliance market, the degree of competition in the air conditioning industry is far less than that in China.

Perhaps Gree's entry will speed up the price war in Vietnam.

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