An exception has emerged in the premium market in Korea, often referred to as the 'graveyard of foreign appliances.' The star is a robot vacuum cleaner, which consumers are willing to purchase despite its high price exceeding 2 million won. Samsung Electronics and LG Electronics, the leaders of the domestic premium appliance market, have ceded the throne to Chinese brands when it comes to robot vacuums. Industry estimates suggest that Chinese-made robot vacuum cleaners, such as Roborock, Dreame, and Ecovacs, control about 70% of the domestic market.
Recently, Dreame has entered the Korean market with its newly launched Mobado, and even Xiaomi has opened a flagship store, intensifying the aggressive push of Chinese robot vacuums. There are two main reasons for this increased focus on Korea. First, there is still growth potential. According to market research firm Grand View Research, the domestic robot vacuum market, valued at 440 billion won last year, is expected to grow at an annual average of over 24% until 2030. Additionally, due to the discerning consumer trends, Korea has established itself as the optimal testing ground for Chinese robot vacuum companies to gauge the success potential of new products.
◇ 'The smell of wet mops' led to a missed golden opportunity for Samsung and LG
The fact that domestic corporations handed over their home turf to Chinese brands during the initial market formation phase was largely due to a misjudgment regarding the wet mop function. Korean consumers wanted not only powerful dust suction but also floor mopping capabilities, which domestic corporations overlooked. Citing odor and hygiene issues, they stuck to a strategy of separating dust suction and mopping models. This left a gap in the market that Chinese companies quickly filled. Roborock and Ecovacs changed the market standard by launching 'all-in-one' products in 2022 that simultaneously addressed dust suction and wet mopping.
An official in the appliance industry noted, "Releasing an integrated model hastily while the odor issue with wet mops remained unresolved posed a significant risk to our brand strategy, so we focused on technological improvements, which ultimately turned out to be a misstep." Another official mentioned, "Internally at Samsung, there were self-deprecating comments suggesting that since the executives do not clean themselves, they failed to recognize the necessity of a wet mop."
The 'data' that has emerged as a core competitive edge for robot vacuums is also a factor contributing to the widening gap with Chinese products. The sophistication of a robot vacuum's artificial intelligence (AI) algorithms, especially in space recognition, path optimization, and obstacle avoidance, hinges on how much user data it has learned. Chinese companies have explosively accumulated data based on their large domestic market and global sales, and they have rapidly advanced their algorithms. An industry official stated, "AI algorithms evolve by learning hundreds of thousands of data points daily," adding, "If data accumulation lags, it becomes difficult to catch up with the technological gap in the early market stages."
◇ Korean corporations prepare for a counterattack, while China is already moving to the next stage
Samsung Electronics and LG Electronics, which launched their first integrated robot vacuum cleaners last year, have yet to release new models this year. Samsung Electronics is maintaining its policy of developing its own all-in-one robot vacuum cleaners and is preparing a follow-up model, while LG Electronics is reported to be releasing new products this year through joint development and manufacturing (JDM) with a new Chinese company, similar to last year. Both companies are said to be working to maximize quality until the end. They are expected to unveil new models at the International Funkausstellung Berlin (IFA) 2025, but it remains to be seen whether they can turn the market tide.
Chinese companies are also expanding the functionality of their robot vacuums. They are introducing next-generation cleaners equipped with robotic arms that can tidy up items strewn on the floor, as well as underwater cleaning robots and outdoor autonomous cleaning robots.
Robot vacuums may just be the beginning. Chinese brands are leveraging their entry with robot vacuums to expand their presence in the domestic market across the entire lineup of home appliances, including food waste processors and washing machines. They aim to build brand recognition by dispelling stereotypes about 'cheap Chinese products' through user experiences and ultimately to dominate the Internet of Things (IoT)-based smart home ecosystem.
It is true that Samsung Electronics and LG Electronics still rank as the top appliance manufacturers globally in terms of brand stature, but the urgency to feel a sense of crisis arises due to the ambitious strategies of Chinese brands. The difficulty in regaining a market once ceded is well exemplified by the robot vacuum sector. A critical moment has come for Korean corporations to take this as a lesson and enhance their competitiveness.