Dreame Aims to Replicate Vacuum Cleaner Success in Broader Home Appliances Market

Dreame, a Chinese technology company that entered the Israeli market in 2019, has captured over 30% of the Israeli vacuum cleaner market, according to market estimates. Ronen Salem, who took over Dreame's operations in Israel in late 2023, noted that initially, only one or two out of ten Israelis recognized the brand. Salem, previously a marketing executive at Samsung and sales director at Nespresso, was tasked with expanding Dreame's presence beyond its limited initial reach, particularly in private stores and the ultra-Orthodox sector.

Dreame launched an aggressive marketing campaign for its L20 Ultra vacuum cleaner shortly after the October 7th attacks, capitalizing on increased television viewership and people spending more time at home. This was followed by a significant push in April 2024 with the launch of the X40 Ultra, featuring extensive advertising across television, radio, digital platforms, influencers, and billboards, with investments in the millions.

The company, part of the Crystalino group co-owned by the Elbaz family and the Rakevet investment fund, sees the vacuum cleaner market evolving similarly to the mobile phone sector, with consumers seeking the latest technology and models. The growing competition, including the entry of Harel Wiesel with Dyson products, is seen by Salem as a positive challenge that drives innovation and market interest.

Dreame is now expanding its product line beyond vacuum cleaners, aiming to build a comprehensive home ecosystem. This includes plans to enter the beauty sector for both men and women in 2026, with products like shavers and LED masks, and is also introducing laundry appliances, coffee machines, mixers, and air fryers. The company is also developing its retail presence, with five standalone stores and plans for more by 2027, alongside a showroom in Tel Aviv.

Despite the success in vacuum cleaners, Salem acknowledges the challenge of consumers adopting new product categories from the same brand. Dreame is also working to address price concerns, having lowered prices on some flagship models and expanded its offerings to include more affordable options, absorbing VAT increases and passing on currency exchange benefits to consumers. The company emphasizes its strong customer service infrastructure, including a team of technicians and service representatives, to differentiate itself from parallel imports.