Michael Marriott, CEO of Waterline, on why big-name brands aren't always the answer and retailers must take back control when it comes to selling appliances.
There’s been a lot of discussion in the trade press recently about how hard it’s becoming to sell appliances. Independent retailers are voicing their frustrations – free display demands, pricing pressures from online retailers and the constant battle to protect margin. It’s a story that keeps doing the rounds.
But maybe it’s time we stop skimming the surface and talk about the real issue. One that makes some people shift in their seats a bit. Because if we’re being honest, isn’t it time to ask: what actually is a brand these days?
In reality, a surprising number of the big appliance names don’t even make all their own products anymore. They’re made in the same factories as lesser-known labels, with many of the same components and, often, remarkably similar performance. The logo is simply added before it leaves the factory. What you’re buying – and selling – is essentially the logo, the lifestyle marketing around it, and maybe an added smart feature that sounds clever but will rarely get used.
That’s fine if that marketing helps a retailer make a sale and a healthy margin at the same time. However, many brands are beginning to prioritise online sales at the expense of brick and mortar retailers. This, in turn, puts pressure on the margins a retailer can achieve selling those appliances.
So if all of that branding doesn’t result in any meaningful margin for the independent retailer doing all the legwork, then it’s no wonder people are tiring of it. The emotional pull of the brand is still there for some customers, but the business case behind it is starting to fall apart. And independents are starting to clock it.
It begs the question – if you’re doing the heavy lifting of sales, customer experience, aftercare and service, but there’s little-to-no margin in it for you, who’s the brand really working for?
Think about other areas of the home. Living room furniture. Lighting. Accessories. Luxury brands are everywhere – but logos aren’t. No one insists their sofa needs to have a visible badge on the front of it. So why are we still so attached to logos on kitchen appliances?
We think it’s time for a change and for retailers to take back control.
At Waterline, we’ve been having this conversation for a while. Our Essentials range isn’t just about price or even about spec – it’s about rethinking what customers really value, and how retailers can benefit by shifting their perspective.
Essentials isn’t sold online. It’s not featured across big-budget advertising campaigns. It’s not trying to be something it’s not. It’s a no-fuss, quality-assured range of appliances that simply work. Ovens that heat up. Hobs that cook. Washing machines that wash. In other words, exactly what most customers need.
We often joke that a 60cm oven is basically a black box that gets hot. And it’s true. Most customers aren’t that interested in a brand’s AI-powered technology or app integration – they’re much more interested in your recommendation, your reassurance and what happens if something goes wrong.
And that’s where Essentials wins. It comes with a 5-year parts and 2-year labour warranty. That’s not just reassurance for the end customer – it’s power in your hands as the retailer. Because in the absence of a well-known badge, you become the brand. Your trust. Your showroom. Your experience.
It’s already working. Essentials is being sold – confidently – from some of the most prestigious kitchen retailers in the UK, including on London’s Wigmore Street. If they can trust this product, you can too. In fact, it proves something even more important: customers are buying you, not the logo.
Now, let’s address the thorny topic of displays. No, we don’t give them away for free. Not because we’re mean – but because we’ve found that freebies don’t guarantee buy-in. Displays that are given, not chosen, rarely result in real commitment. But here’s what we do offer: if a retailer puts an Essentials model on display and goes on to sell five products from the range, we rip up the invoice. No cash sunk into displays, instead a performance-based model that respects the business partnership.
We’re not saying Essentials is the only answer, Waterline works with many brands who go to great lengths to protect retailers’ margin. Brands whose marketing spend actually helps retailers make the sale without having to compete against online retailers. So the answer to the question of whether independents can still make money from appliances is simple, they can. However, the days of guaranteed 40% margins on big-name brands are done.
If you are not feeling supported by the brands you currently work with, there are many brands out there who would be happy to. Retailers should not be just squeezing appliance margins into the overall kitchen price anymore either – as valid as that tactic still is. This is a step beyond that. This is about retailers choosing to work with products that are designed to serve you just as much as your customer. Where you’re not just breaking even or throwing in appliances as part of the deal to win the kitchen – you’re actually making money.
Retail is tough right now. Margins are tight. Competition is fierce. So perhaps now’s the perfect time to turn down the noise, question the assumptions and back the products – and the suppliers – that are backing you.
After all, in this new era, the most important name in the showroom isn’t stuck on the front of the oven. It’s yours.
