ˇăKim Ssang-soo (right), president and CEO of the Digital Appliance Company at LG Electronics, introduces a new lineup of drum-type washing machines, named "TROMM," along with top-notch models Byeon Jung-soo (center) and her sister Byeon Jung-eun at a demonstration room of the LG factory in Changwon, South Gyeongsang Province, on July 27.

LG is currently leading the fast-growing drum-type washer market in Korea with its "TROMM" lineup. Drum washers are widely used in Europe, with its core washing unit horizontally placed for more efficient water usage and other benefits.

Drum washers have continued to increase their share in the domestic electronics market as more and more consumers adopt Western housing styles and favor built-in electronics.

The drum washer market in Korea, estimated at 25,000 units last year, is expected to grow to 180,000 units by the end of this year.

"Local consumers are now favoring built-in electronics products and drum washers fit in well with the new interior trend. Additionally, the changing lifestyle is fueling the demand for various functions like hot-water washers and dryers," said Kim Ssang-soo, President and CEO of the Digital Appliance Company at LG Electronics, in a press conference held in Changwon, South Gyeongsang Province, on July 27.

The company said two washing machine-only models (WD-K110D and WD-K150D), along with upgraded models that can double as dryers (WD-K110RD and WD-K115RD), will hit the market in August.

It said LG's four new drum washer models offer a 10kg capacity, up from its current 7.5kg, meeting the user's needs.

"Korean users want to wash bedding at home, which means 7.5kg washers are not powerful enough to do the job properly. Today's mainstream washers here are definitely 10kg capacity or higher," Kim said.

But the combination of bigger size and improved drum washer technology has resulted in a higher price tag of 1.6-1.7 million won.

"Some people worry about the prices of TROMM washers, but our flagship refrigerators, DIOS, while they are not cheap, they have consumers continuing to buy them largely because they recognize the value. The same is true of TROMM washers," Kim said.

He said about 40 engineers had joined the 9-billion-won development of European washers over the past three years, producing 127 patent items at home and abroad.

LG officials also claim their new washers boast the world's largest actual capacity, compared with other models by Whirlpool, Maytag and Frigidaire. The 10kg-capacity washers are roughly the same size, but LG's core washing unit inside the machine is about 20 percent larger than those of competitors.

As with the company's previous drum washer models, the 10kg products are also based on LG's proprietary DDS (direct drive system), a mechanism that has eliminated a noise-prone belt in favor of an intelligent motor linked to the washing unit.

LG said new TROMM washers have reduced the water consumption level by as much as 50 percent and detergent by 65 percent, compared with conventional models.

Earlier this year, LG launched its drum washer lineup with five 7.5kg models. Its market share in the segment is about 70 percent, outsmarting Samsung Electronics which is joining forces with Toshiba in rolling out drum-type washers.

LG is also set to launch its drum washers in overseas markets where environmental regulations are likely to be tightened.

In North America where the annual washing machine market is estimated at around 7.5 million units, agitator-type washers accounted for 90 percent. But the regulations that strengthen standards for energy consumption and noise prevention are expected to raise the market share of drum washers to about 20 percent in 2003.

LG said it will focus on 7.5kg models to make inroads into the European market where about 14 million drum washers are sold each year. In Europe, the general trend is shifting from 5kg-class models to 6-7kg drum washers.

As for the domestic market, LG pins its hopes on the drying function of drum washers. Double-income households, newly-weds and residents in smaller apartments tend to favor drum washers that can dry clothes with built-in features.

"Although drum washers are good for all user segments, our primary marketing strategy is high-end positioning," said Yoon Hong-shik, Vice President of Washing Machine Division at LG Electronics.

Yoon said the electronics sector has long been mired in slow growth and shrinking margins, but the company's high-end positioning has begun to pay off.

"We are putting in some great features such as the Internet connectivity to washers, which has jacked up revenue and profits. As TROMM washing machines are basically high-end products, they will offer fresh momentum to the company's upscale electronics lineup," Yoon said.