HAIER AMERICA

WHO WE ARE & WHAT WE STAND FOR

2014

THE BASICS
Founded in Qingdao China in 1984, Haier
has experienced rapid growth from a
simple refrigerator factory into a leading
multinational consumer electronics and
home appliances company.
At Haier, weve fashioned ourselves into a
global company that maintains a solid
focus on local management and
production.
Offices in all major areas of operation,
including regional headquarters in Paris,
New York, and Qingdao, keep our
operations streamlined yet tailored to the
demands of the local market.

#1 APPLIANCE BRAND
For the fifth year in a row, Haier ranked #1 in
Euromonitor Internationals Global Major
Appliances Brands ranking by brand share (by
global brand name). Euromonitor is the global
leader in consumer market strategy research.
In addition to the overall ranking, Haier was
awarded the top spot in four separate product
categories:
* Fifth consecutive year awarded top spot

Wine Cellars*

Home Laundry*

Refrigeration Appliances*

Freezers**

** First year awarded top spot

****with 9.7% retail volume share in 2013. Source
Euromonitor International Limited; retail volume
sales in units based on 2013 data.

NOTABLE MILESTONES
1984

Founded in Qingdao, China, with a focus on commitment to quality.

1990

Achieved the U.S. UL Certification, giving a jumpstart to Haiers global strategy.

1999

Invested in America with the opening of a factory in South Carolina.

2000

Launched 1st Room Air Conditioner.

2001

The South Carolina government renamed a road Haier Boulevard in

appreciation of the companys contribution to the local economy.

2002

Transformed the iconic Greenwich Savings Bank building into its North
American Headquarters.

2003

First full size refrigerator rolled off the line in Camden, SC.

2005

Achieved #1 market share in compact refrigerators.

NOTABLE MILESTONES

2008

Recognized for key achievements and contributions to reducing the

environmental impact of the 2008 Olympic Games in Beijing.

2009

Euromonitor International recognized Haier as the #1 major appliance brand

in the world (by global brand name).

2010

Launched full Energy Star qualified stainless steel tub Dishwasher line.

2011

Haier Volunteers program launched with Food Bank for New York City.

2011

Smarter Life Better Planet corporate social responsibility program launched.

2012

Haier acquired Fisher & Paykel. Haier acquired SANYO Electrics

refrigerator, washing machine and other consumer electric appliances
business in Japan, Indonesia, Malaysia, the Philippines and Vietnam.

2013

Established a Research & Development Center in Camden, South Carolina,

reinforcing its commitment to offering home solutions specifically tailored to
the North and South American market.

A NEW TEAM!
In 2013 Haier underwent a substantial transformation
changing their organization structure and approach to doing
business in America.
A new regime of All-Stars has been put in place to win!

Adrian Micu joined Haier America as President and CEO in February of 2014 and
is responsible for overseeing the companys businesses in North and South
America. Mr. Micu has over twenty-five years of experience with executive-level
engineering, technology and product development within the appliance industry.
Most recently, he held the position of Vice President of Engineering with the
Whirlpool Corporation where he led the engineering organization for entire
company.
Rian Cain joined Haier America in May of 2013 as the Senior Vice President of
Sales and Marketing, Home Appliances and Home Comfort and leads all product
marketing, sales and branding initiatives for both divisions.

A NEW HISTORY IN AMERICA

For the first 12 years Haier has gone to market as a
joint venture between a private group and Haier. The
agreement ended in August of 2013 and a NEW
Haier regime has begun in America.

New Head Quarters in NJ

1.
2.
3.
4.
5.
6.

Interactive Customer Evaluation Room

Future Technology Show Room
H/O Efficiency Lighting
Product Analysis Area
General Assembly Conference Room
Photo Studio

US MANUFACTURING
Haier America USA Factory , Camden SC.
Currently building Highly rated Top Mount Refrigeration

NOW, LETS GET TO

THE GOOD STUFF
So theres a little background about our
trajectory as a company.
But what we really want to talk about today what we love
sharing is our company culture, our sense of purpose,
and what makes us different.

POWER & POTENTIAL

At Haier, were living proof that great leadership

makes extraordinary things possible.

But dont take it from us.
Fortune magazine profiled our CEO, Zhang Ruimin, in their
Worlds 50 Greatest Leaders issue, and heres what they wrote.
His radical management innovations have transformed Haier from
a small, failing state-owned refrigerator maker into the worlds
largest appliance brand.
He groups employees into small, self-managing teams that choose
their own managers, compete for internal talent, and can earn big
bonusesunusual in the West and unheard of in China.

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POWER & POTENTIAL

Radical. Innovations. Transformed.

Choose. Compete. Earn. Unusual.
Unheard of. Worlds largest brand.

Sounds exciting, doesnt it?
It is.

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POWER & POTENTIAL

There is incredible power and

potential in refusal.

At Haier, we adamantly refuse to lean on the
way its always been done in the past.
Because you cant generate groundbreaking
ideas without breaking current thought patterns.
And you cant have a breakthrough
without breaking down old assumptions.

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OUR STORY

This is from Time Magazines article Zhang

Ruimins Haier Power, which everyone
involved in any business should read:
Enshrined in the cavernous showroom of Haier Groups
headquarters is a simple sledgehammer. It might seem
to have no reason to be there
But the blunt instrument was once wielded by Haiers
long-serving CEO Zhang Ruimin, 65, to make a point.

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OUR STORY
Thirty years ago, the city government of Qingdao
placed Zhang in charge of a dysfunctional, near
bankrupt refrigerator manufacturer.
The communist-era dinosaur was a managers nightmare. Workers
were sluggish, careless and so undisciplined that Zhang had to stop
them from urinating on the factory floor.
When a disgruntled customer returned a faulty fridge to the plant one
day in 1985, Zhang inspected the factorys inventory and discovered
that many of those were broken too. Frustrated, he lined up 76 flawed
appliances on the shop floor and handed the workers
sledgehammers.
Destroy them! he commanded.

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OUR STORY
Soon the factory was littered with
fragments of plastic and metal.
Zhang grabbed a sledgehammerone of which is
now displayed in the showroomand smashed it into
a fridge to make his message clear: workers must
shatter their old ways.

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OUR STORY
The point is, you cant build something
great without first breaking ground.
We got to #1 by pioneering an imaginative,
innovative mix of building and breaking.
And we highly recommend it.

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OUR PHILOSOPHY
At Haier, we always put customers first. And to us,
customers first is much more than a catchy tagline.
Its absolutely everything.
We believe deeply in the radical notion that truly great customer
experiences happen when we take our cues directly from customer
feedback.
We listen. We problem-solve. We invent. We listen more.
That responsiveness, plus the extensive range and scope of Haier
products, lets us do what only a handful of companies can we
innovate and execute in fresh, unexpected ways creating
complete home solutions.

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OUR PHILOSOPHY
To put it another way, heres another anecdote from
Time Magazine:
In 1996, for example, a farmer complained that his washing
machine kept backing up. When the repairman reported the device
was being used to scrub sweet potatoes as well as clothes

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OUR PHILOSOPHY CONTINUED

Zhang ordered engineers to design special machines
with buffers in the drain to protect vegetables and
wilder drain pipes that wouldnt clog with dirt.
By 2013, nearly one out of every 3 major household appliances
bought by a Chinese consumer was a Haier.
Obviously, at Haier, we dont do business as usual.

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WHAT WE STAND FOR

Meaningful Innovation
Relationships
& Ideals

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WHAT WE STAND FOR

Meaningful Innovation
We believeas demonstratedthat meaningful innovation
stems directly from responding to customers needs.
Company-wide, our culture is proudly focused on practical,
actionable solutions, executed beautifully. Offering an
astonishingly wide selection of productsconstantly
updated for increasingly greater convenience and
efficiencythats what Haier stands for in the market.

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WHAT WE STAND FOR

Relationships
We bring smart solutions to the marketplace and to
consumers, but we cant do it alone. Our approach to
partnerships is based on fluid communication and smart
lateral thinking. We dont care where the next great idea
comes fromas long as it makes life better, smarter and
easier for our customer.

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THE VALUE OF
360 THINKING
Haier focuses on understanding consumer drivers, decisions and uses
of products and services through their entire life-cycle, rather than just
at the point-of sale. We see the world as the interconnected whole that
it is, where value increasingly comes from integrated solutions, rather
than individual products or services.
This is why weve worked to establish ourselves as sincerely consumerfocused, taking a stand for smarter spending, and offering a wide array
of options that work together to meet evolving consumer needs.

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$29.5 BILLION IN
WORLDWIDE SALES 2013
Haier has enjoyed consistent growth over the last two decades. But we dont
declare victory and coast from here on out.
We are continually re-examining our business models to ensure that we
sustain this trend and leverage our position as a leading global presence.
Since our entrance into the global market, Haier has been committed to
providing our customers with products that empower them to live a modern,
affordable, and sustainable lifestyle.

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GLOBAL LEADERS,
LOCAL PARTNERS
A key ingredient in our formula for success
has been winning big, by thinking small.
Because nobody knows the unique needs and conditions
of a region better than the people who live there.
Because they alone have the direct experience and
deeper, personal understanding we rely onexpertise that
lets us offer the best service and products optimally suited
to each particular environment.
Because we know it works, we place a great deal of trust
and invest in our local managers and salespeople.

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GLOBAL LEADERS,
LOCAL PARTNERS
By nurturing local talent and cultivating a knowledgeable,
local sales force for our exceptionally wide and inclusive
product assortment, weve built a network 133,000 retailers
strong in 100 countries across the world.
And, of course, we have the means and exciting, ambitious
plans for serving customers everywhere else, too.

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FOSTERING DIALOGUE,
CREATING CHANGE
According to Forbes Magazine:
80% of consumers think it's important for companies to
make them aware of their efforts to address societal
issues.
71% would help a brand promote their products if there's a
good cause behind them.
And 62% say they use social media to address or engage
with companies around Corporate Social Responsibility.

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FOSTERING DIALOGUE,
CREATING CHANGE
Because nothing is more important than demonstrating to
our customers that we listen, we support, and we respect
their opinions, we never miss an opportunity to align
ourselves with the cause of Corporate Social Responsibility.
Haier lavishes a great deal of attention on giving back,
because we believe its imperative that consumers
understand where we stand on issues that affect people,
planet and product.

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FOSTERING DIALOGUE,
CREATING CHANGE
Food Bank for NYC
This volunteer program was designed to provide
employees with the chance to dedicate part of the workday
to lending a hand at a volunteer-driven organization that is
having an undeniably positive impact. Employees
embraced the opportunity to get closer to the local
community as well as strengthen ties among colleagues.
Haier looks forward to continuing and expanding this
relationship in the coming year.

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FOSTERING DIALOGUE,
CREATING CHANGE
SmarterLifeBetterPlanet.com
Through the umbrella program of Smarter Life, Better Planet, Haier
addresses many initiatives as they relate to corporate social responsibility
and sustainability.
SmarterLifeBetterPlanet.com is the campaigns online home, providing
regular content on topics ranging from sustainability to work/life balance,
and cultivating a virtual community that tracks and supports the Inspiring
visionaries, organizations, and ideas paving the way for the world of
tomorrow. Along with associated social media pages, the site provides a
hub where people interested in making things happen in their communities
can connect with other like-minded individuals.

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FOSTERING DIALOGUE,
CREATING CHANGE
NPCA
Haier is a proud sponsor of the National Parks Conservation Association,
the leading voice of Americas national parks since 1919. NPCA represents
more than 500,000 members and supporters whose help is critical to
protecting some of the most prized sites of natural beauty and
environmental resources in North America.

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SO, WHATS NEXT

FOR HAIER AMERICA?
Were intensifying our focus on the U.S.
market in 2014-15 and beyond.
Our Vision:
To be a leading provider of innovative Home Solutions
for consumers in North America.

Our Mission:
Partnering with our customers to create every option
they need and want, for every appliance and electronics
product that touches their life, at every stage.

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STAGES OF LIFE
Creating a brand that can serve and support
our customers through every stage of life.
That idea is what unites everything we do with a sense of
purpose thats greater (and more permanent) than any
individual product.
From dorm refrigerators and compact laundry products for
starter apartments, all the way up to our deluxe built-in
refrigerators and large flat panel televisions, Haier provides
for all the unique challenges and rewards of modern life.
And more than that, we dont dictate. We listen.

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STAGES OF LIFE
Because each living space has its own character
and its own limitations. Because every customer
has individual needs and desires that are always
evolving. We offer more than the basics.
Solutions that make life better and easier is our
brand promise, and this means something
different for every single customer.

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STAGES OF LIFE
Customer-focused design means going beyond
profilingwe strive to offer maximum potential for
every consumer to customize their own
experience. Our goal is a perfect fit for everyone.
This could mean the extra storage and practicality
of a deep chest freezer. The convenience of a
beverage center. Or the space-saving design of
an under-counter drawer refrigerator.
Our products connect with peoples lives so many
times a day. In so many ways. We care deeply
about giving them a reason to believe at every
touch-point.

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APRIL 2014 HAIER IN THE MEDIA

April 14, 2014
Zhang Ruimin, chairman and CEO of
Chinese appliance giant Haier, was named
by Fortune magazine as one of The Worlds
50 Greatest Leaders.

Zhang ranks No. 22 in the list of leading

figures from business, politics, and society,
who the magazine credits with energizing
their followers and making the world better.
Fortune credited Zhang Ruimins radical
management innovations with transforming
Haier into a global appliance giant. It pointed
out that the company
groups employees into small, selfmanaging teams that choose their own
managers, compete for internal talent, and
can earn big bonuses.
Under Zhang Ruimins leadership Haier
created a management system that puts
customer needs at the heart of the product
development process. Haier encourages
staff to track evolving market trends and
form autonomous project teams to address
emerging opportunities. Each new project or
market opportunity leads to the formation of
a dedicated small team functioning as an
independent company. The system is
designed to foster internal entrepreneurship
and innovation, and to make Haier more
efficient and nimble.

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CONSUMER
SEGMENTS

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A NEW GO TO MARKET FOCUS

Haier Dorm Living: Showing a compact refrigerator, beer Keg

dispenser, Counter top microwave and 21 LCD TV

Haier Starter Home: 21 CF Top mount refrigerator, combinaHon

washer/Dryer wine unit, SS Microwave, ss dishwasher and 42 TV

Haier First Apartment: Displaying 18 Cf top mount, non-branded

microwave entry level dishwasher and compact laundry

Haier Step Up Home: 36 counter depth SS RFrench Door, SS

Dishwasher, 24 under counter refrigerator, 24 Beverage Center,
Microwave and cooktop(

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MULTIPLE SEGMENT
OPPORTUNITIES
Haier Products

18-23:

22-30:

28-35:

35-55:

College or apartment

Apartment

First Home/condo

Step Up Home

Space a premium

Single or married

Single or married

It IS about me

Cold and cool

Space a premium

Basic entertaining

Entertaining

Adding a bit more style

cool to comfortable

Design/Needs/Finish

Quick and easy

Starting to be about me

Size up OR size down

Haier Segment Specific Brand Messages

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MULTIPLE BRANDING / SELLING

OPPORTUNITIES PRODUCTS
Compact fridge

Apartment size fridge

Window AC

Step up compact

Countertop MWO

Countertop Wine

Keg unit

Window OR Portable AC
OTR or CT MWO
Dishwasher
Portable laundry

All Full Size Kitchen

Products

Full size UPGRADE

appliances

Step up Wine units

The BEST laundry for ME

Dehumidifiers

Must be family look

Step up Portable AC

Wine storage for the

enthusiast

Stack or top load laundry

Must be family look

18-23:

22-30:

28-35:

35-55:

College or apartment

Apartment

First Home/condo

Step Up Home

Space a premium

Single or married

Single or married

It IS about me

Cold and cool

Space a premium

Basic entertaining

Entertaining

Adding a bit more style

cool to comfortable

Design/Needs/Finish

Quick and easy

Starting to be about me

Size up OR size down

Each segment needs a great customer experience to build a lifelong brand relationship and spill over into
the NEXT customer segment. I know that Brand I like that Brand I WANT that Brand.

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MULTIPLE BRANDING / SELLING OPPORTUNITIES

TARGET MARKETING / MESSAGING
Target Mom buying for
BTS

Smarter life Better Planet

blog forum

Deal sites, blogs and

matte releases

Apartment Therapy and

BH&G

Satellite Media Tours

Small space living forums

(Huffington Post)

Oncampus.com
Social Media campaigns
thru Haier channels
(Youtube, Facebook,
Twitter, etc)

Email marketing programs

targeting past purchasers
Social Media Campaigns

PR and Media outreach

Home Reporters for daily
and national newspapers
On line This Old House
Classics, Do it yourself
Network, about.com, Caf
Mom
Paid search campaigns
Targeted email campaign
highlighting expanded
Haier line

Social Media campaigns

including Pinterest,
Youtube, Facebook and
Twitter
Smarter Life Better Planet
Forum
PR and Media Outreach
Targeting marketing for
past purchasers

18-23:

22-30:

28-35:

35-55:

College or apartment

Apartment

First Home/condo

Step Up Home

Space a premium

Single or married

Single or married

It IS about me

Cold and cool

Space a premium

Basic entertaining

Entertaining

Adding a bit more style

cool to comfortable

Design/Needs/Finish

Quick and easy

Starting to be about me

Size up OR size down

Each segment needs a great customer experience to build a lifelong brand relationship and spill over into
the NEXT customer segment. I know that Brand I like that Brand I WANT that Brand.

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POSITIONING
Being perceived as a great value provider
within select segments is key.
Haier America is competitive with the core of the Mass
segment here in the US: GE, Whirlpool and Frigidaire.
Popular price points, good value for the money and features
consumers need. Solid fit and finish, and good styling.
Kitchen products coordinated in style and finish.
Haier Mass Premium, or Hero Products, compete with
brands like Samsung, LG, KitchenAid, Frigidaire Gallery and
GE Profile. Higher price points, innovative new features with
value-added benefits, and beautiful, updated styling define
our products for this segment.

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POSITIONING
Premium represents a smaller share of the market, but
stronger profitability. And more importantly, this segment
delivers a great experience and great value to the
consumer. New, aspirational Haier branding is underway
for this segment.
Moving forward, our strategy is to reduce our need for
Opening Price Point products. We seek to fade out Haiers
association with these products and offerings to
strengthen our Mass and Mass Premium positioning,
and to compete in 75-85% of the US Appliance Market by
price point/positioning.

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Refrigeration Appliances

Freezers

Haier is the number one brand of Refrigeration

Appliances in the world with 16.8% retail volume

Haier is the number one brand of Freezers in the

world with 19.9% retail volume share in 2013, up 1.3

share in 2013, up 2 points from 2012.

points from 2012.

Haier is the number one manufacturer of Refrigeration

Appliances in the world with 19.8% retail volume
share in 2013, up 3.2 points from 2012.

Haier is the number one manufacturer of Freezers in

the world with 20.5% retail volume share in 2013, up
1.7 points from 2012.

Electrical Wine Cooler/Chiller

Home Laundry Appliances

Haier is the number one brand, as well as the number

one manufacturer of Electrical Wine Cooler/Chiller in

Haier is the number one brand of Home Laundry in the

world with 13.3% retail volume share in 2013, up 1.5

the world with 15.5% retail volume share in 2013.

points from 2012.

Haier is the number one manufacturer of Home Laundry
in the world with 16.1% retail volume share in 2013.

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CURRENT PRODUCT

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CUSTOMER ENGAGEMENT
Part of our responsibility to consumers is providing
engaging, interactive tools to drive them toward the
right product for their needs.
Were always developing useful content like product demos,
selection guides, and installation videos full of valuable information.
Consumers, most of whom use the internet to research products,
rely heavily on these sources to make informed decisions, and
weve found that our investment in these media really pays off.
When it comes to online browsing and shopping, the richer the
shopping experience, the more satisfied the customer.

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CUSTOMER ENGAGEMENT
Product Selectors
The specially designed Haier Air Conditioner Product Selectorour
largest initiative in this area to datewalks the consumer step-bystep through the process to choosing the Haier air conditioner best
suited to their needs.

Product Demos
Interactive demos for a variety of products clearly explain key
features and benefits to the consumer, along with installation tips
and instructions where applicable.

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CUSTOMER ENGAGEMENT
Social Media, aka Great Ideas Worth Sharing
Haier America has made swift progress this year in our social
media engagement, and we continue to target growth in that
area. To create a social media voice thats consistent with
our evolving branding and advertising, we create and share
content that focuses on people, planet and product to create
and deepen personal brand relationships.

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CUSTOMER ENGAGEMENT
Brand Ambassadors
Haier Brand Ambassadors find meaning and inspiration in
the same things we dosustainability, community,
innovation, and sharing practical solutions that make
everyones lives better.
Our Ambassador Programs mission is to deepen the
connection between our brand and the people we serve.
Together with our Brand Ambassadors, well use this platform
to exchange ideas, to share opportunities, and to recognize
and celebrate our most passionate advocates.

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OUR SERVICE TEAM

Call Center
Haiers customer communications center is staffed with highly
qualified call representatives that possess a willingness to think on
their feet and provide a good experience for the customer. We work
to ensure smooth communication between customer service and our
engineering and technical teams in our efforts to best serve
consumers who are experiencing service issues.

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OUR SERVICE TEAM

Replacement Parts
Haier partners with leading suppliers of original replacement parts.
We choose partners who have a reputation for commitment and who
understand the challenges of todays service environment. We strive
to build a well-connected network for the timely delivery of
replacement parts to our customers.

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OUR SERVICE TEAM

Field Service
Haier maintains a portal through which all of our independent
service networks are managed. We seek to ensure best in-class
service dispatch to help us assist customers all across a region
while working to continually optimize our service networks to suit
changing needs.

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ENGINEERING A
BETTER FUTURE
With our grand tradition of breaking down tired old
structures and innovating the way we work, design and
engineering are also key elements in our plans for
Haier Americas future.
Weve been busy restructuring our design and production process to
remove any barriers to innovation. And weve been fostering a unique
company cultureespecially rare for a corporation of our scale that
analyzes customer comments and acts on them without hesitation.

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ENGINEERING A
BETTER FUTURE
As our CEO explained, In the past, employees would
listen to their supervisors, but today they are responsible
directly to their customers. We want our employees to take
initiative and create value.
While other companies have experimented with their own versions of our
high-incentive, self-managed teams and non-hierarchical management
style, no one has tried to do it on the scale we are.
And according to our veteran engineer Lei Yongfeng, whose AC design set
a one-day sales record in China, We have become more and more
entrepreneurial. We grab every opportunity, just like it is our own business.

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THANK YOU

www.Haier.com
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