Average household appliances are now hi-tech

More than 60 years after its debut, one of the world's oldest consumer electronics fairs is venturing into new territory this week by making room to showcase washers, dryers, stoves and other household appliances.

At the IFA fair in Berlin — where former German Chancellor Willy Brandt turned on the world's first color TV in 1967 — television sets remain a major attraction but they may come built into a refrigerator.

Organizers of the fair say they are moving with the times as retail chains selling electronics replace specialist retailers and companies such as Philips, Samsung and LG no longer limit their products to electronic entertainment.

"By integrating the electrical home appliances industry, we expect consumer lifestyle products from both industries to become more popular, and international trade visitors...to express even keener interest," said Rainer Hecker, chairman of the GFU group that organizes the IFA.

World demand for major households appliances — so-called white goods — is set to grow 3.1 percent annually through 2011, according to a study by U.S. market research firm The Freedonia Group.

Demand will be driven by consumers looking to replace broken appliances and trade up for newer models like more energy efficient types, the study said.

But developers are also trying to use technology to make domestic appliances even more useful, such as a dryer that includes an ironing function or a washing machine that can be turned on via the Internet.

"Among the 10 most important electrical devices for everyday use, five belong to consumer electronics and the other five belong to domestic appliances," said Christian Goeke, chief operating officer of Berlin Fair.

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Popular among German consumers are hot beverage makers such as espresso machines which have seen double-digit growth in the first half of 2008, as did curling irons and styling wands, market research group GfK said.

The Euro 2008 soccer championships drove up second-quarter sales in Germany of LCD TVs to 2.3 billion euros and GfK predicts the upward trend will continue.

Global revenue for LCD TVs will grow nearly 28 percent this year, resulting in more than 100 million units sold worldwide, GfK said.

Worldwide revenue for consumer electronics is expected to grow nearly 10 percent this year, hitting the $700 billion mark by 2009, according to data from the Consumer Electronics Association (CEA) and the GfK Group.

IFA opens to the public on August 29 and runs until Sept 3.