If any of us had to take a count of the consumer electronics products that we own, we may be embarrassed to admit just how many we come up with or we may realize just how many of them need to be replaced. As these items continue to improve and more options become available, we as consumers continue to support this industry.

 

In fact, according to a study completed by the Consumer Electronics Association (CEA), the average household owns 25 consumer electronics products and the average adult spends $1,200 annually on these items. The 9^th Annual Household and Teen CE Ownership and Market Potential Study also tracks the most owned CE products and the growth rates of popular product categories.

 

The top five sectors experiencing the greatest amount of growth include digital video recorders (DVRs), network routers or hubs, MP3 players, cable modems and digital cameras. An eight percent growth was experienced by both the DVR and home network/routers segments. Cable modem ownership also grew six percentage points, while digital camera ownership rose to 62 percent of all U.S. households.

 

“It’s interesting to note here that two of the fastest movers and shakers in the CE industry are devices that enable home networking,” said CEA Senior Research Analyst Elena Caudle, in a Friday statement. “The other three products enable consumers to create, shift or transport digital content. As consumers continue to embrace digital technology, this new convergence will continue to change the way Americans live, work and play.”

 

The HDTV category also saw significant growth with penetration reaching a quarter of U.S. homes. More than 75 percent of homes in the U.S. have at least one cell phone and CEA estimates 178.5 million wireless phones are in use. DVD players are used in 84 percent of households, surpassing VCRs, due in part to the availability of portable DVD players.

 

The study also reveals that the five most owned products include televisions at 92 percent, DVD players or recorders at 82 percent, cordless phones also at 82 percent and the cellular phone at 76 percent.

 

“Many of the top owned products have enjoyed mass market saturation for years and will likely see growth based on upgrade and replacement sales. Some of the more intriguing categories are those that still occupy niche markets, such as mobile CE devices like GPS systems and satellite radio, which have seen healthy growth in the past few years,” Caudle added.

 

In addition to studying the spending habits of adult consumers, this research also revealed that teens spend $350 each year, which represents about half of their total annual discretionary income. Adults with children and teens spend up to $500 more on CE purchases than the national average.

 

The spending habits of teens reveal a generational shift as teens today not only have more discretionary income than generations past, they also own more electronic products than ever before. The market has done well to create a large demand out of the desire for a particular image instead of basic need. This trend is not likely to change the consumer electronics industry will continue to profit as a result.

 

 

Susan J. Campbell is a contributing editor for TMC (News - Alert) and has also written for eastbiz.com. To see more of her articles, please visit Susan J. Campbell’s columnist page.