Consumer Electronics Market Size is set to surpass USD 1,500 billion by 2027, according to a new research report by Global Market Insights Inc.
The positive market outlook can be accredited to rising disposable incomes and increasing spending capacity on discretionary products across the globe. According to the report published by the Bureau of Economic Analysis (BEA), in December 2020, personal disposable income increased by 0.6% in December 2020 as opposed to the preceding month.
The rising trend of smart homes and shifting preferences of consumers toward smart electronics integrated with Artificial Intelligence and the Internet of Things are driving the market growth. In addition, a high inclination of millennials toward purchasing technologically advanced consumer electronics is further contributing to the market expansion.
One of the major factors challenging the consumer electronics market progression is the dynamically changing technological landscape. Old consumer electronics are becoming obsolete owing to the emergence of advanced gadgets incorporated with new disruptive technologies. Proliferation of smartphones with multiple cameras and the adoption of tablets are posing threats to digital cameras and laptops. The capital-intensive nature of the industry poses a major threat to the entry of new manufacturers.
The COVID-19 pandemic created various industry challenges, such as supply chain & logistics disruptions and shortage of labor & raw materials, during the first half of 2020. The lockdown imposed by government authorities in several countries hampered international trade and led to delays in new product launches. Growing financial constraints due to economic recession has led to reduced demand for discretionary products, such as consumer electronics, and increased spending on essential commodities. Industry forecasts predict that the market will witness steady growth credited to economic recovery and a rise in disposable income.
Browse key industry insights spread across 350 pages with 221 market data tables & 62 figures & charts from the report, “Consumer Electronics Market Size, By Product (Audio & Video Equipment [Personal, Professional], Major Household Appliance, Small Household Appliance, Digital Photo Equipment [Personal, Professional]), By Application (Personal, Professional), COVID-19 Impact Analysis, Regional Outlook, Growth Potential, Price Trends, Competitive Market Share & Forecast, 2021 – 2027” in detail along with the table of contents:
The proliferation of major household appliances over the forecast timeline
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The major household appliances segment in the consumer electronics market accounted for USD 250 billion in 2020. Rapid urbanization coupled with increasing consumer expenditure is creating a high demand for major household consumer electronics such as washing machines, air conditioners, refrigerators, microwave ovens, dishwashers, and induction cookers.
Integration of disruptive technologies, such as AI, IoT-based sensors, and voice-assistant enabled controls, into household consumer electronics is fueling the industry growth. The rising demand for smart appliances is encouraging market leaders to introduce new household consumer electronic appliances, in turn, increasing their market value.
Growing demand for professional appliances in the hospitality segment
The consumer electronics market for professional application segment is anticipated to register 5% growth rate by 2027 impelled by its various applications in the industrial and commercial sectors. The hospitality industry will observe a high demand for consumer electronic appliances such as water purifiers, dishwashers, air conditioners, microwave ovens, air conditioners, and refrigerators. The rapidly growing media & entertainment sector is creating a high demand and market opportunities for professional video recording equipment and professional cameras.
Rising consumer inclination toward innovative devices and technology in Europe will augment the market revenues
Europe consumer electronics market is poised to expand at a CAGR of more than 8% through 2027 led by a high inclination toward innovative devices and the presence of a technology-driven population. The presence of several established market players including Siemens AG, Robert Bosch GmbH, and Koninklijke Philips N.V. is propelling the regional growth. Robust investments in R&D by these industry leaders for the development of smart consumer electronics will stimulate the industry expansion.
Major participants operating in the market include Bose Corporation, Whirlpool Corporation, AB Electrolux, LG Electronics, Sony Corporation, Samsung Electronics Co., Ltd., Canon, Apple Inc., Xiaomi, Microsoft Corporation, Robert Bosch GmbH, Siemens AG, and Koninklijke Philips N.V. Companies are emphasizing on expanding their industry share by developing new consumer electronics.