08.05.2017

A slow start for total consumer electronics sales in 2017 but 4K and Audio HIFI are still positive

There is still considerable consternation among many in the consumer electronics industry that Brexit will have a negative effect on market volume sales and turnover in 2017 and beyond. The first three months of the year were characterized by a sluggish start, as manufacturers, retailers and consumers alike adjusted to the price increases that became inevitable as sterling declined against other currencies in the fallout from the referendum.

In any case, expectations are modest in a year when there is no major sporting tournament, and it is difficult to see how TV turnover, already down in the first three months, will pick up later in the year. This is despite still significant growth for 4K/UHD products which cannot fully make up declines elsewhere in the television market. Sales of 4K Blu-ray products are also gaining momentum.

Declines for Vision products notwithstanding, the Audio HIFI market has continued to grow in 2017, confirming as in the second half of 2016 that it is thus far seemingly unaffected by the market conditions mentioned above. Although there is much publicity for market “newcomers” in the Wireless Speakers market, it is Smart Audio multiroom Systems that are responsible for most of the HIFI market turnover.

Although the Radio Devices market does not enjoy similarly spectacular growth, it has also been noted that listening to Digital radio is fast approaching the 50% threshold that would allow for an analogue to digital switchover to be set in motion. Lastly, highest sales for more than twenty years further underlined the renaissance of the Turntables market