U.S. Spending on Consumer Electronics Dips
Smartphones and HDTVs are the top consumer electronics products U.S. households plan to purchase over the next 12 months, according to a new study by the Consumer Electronics Association (News - Alert) (CEA). Tablets, however, have the highest growth rate.
But households also seem to be spending less on consumer electronics. The typical household spent $961 on consumer electronics in 2011, down more than $200 from 2010. The average U.S. adult individually reports spending $552 on consumer electronics in 2011, down $100 from 2010.
“Consumers continue to purchase electronics, but we see a decrease in overall spending as they are buying at a bargain, seeking deals and discounts on the devices they desire, and taking advantage of declining price points for certain product categories,” said Chris Ely, CEA manager of industry analysis.
Globally, spending has rebounded from a dip during the Great Recession of 2008, but growth has shifted. Increases are fastest in Latin America, the Middle East and Africa and Asia-Pacific regions, while growth in North America and Western Europe is slower than in 2010.
Of the 37 types of devices tracked by CEA, the average U.S. household owned 24 at the end of 2011 – the same number as in 2010.
About 22 percent of U.S. households say they plan to purchase the device in the next 12 months.
HDTVs (17 percent) and digital cameras (15 percent) are next on the list.
Both tablet computers and notebook or laptop computers are expected to be purchased by 14 percent of U.S. households.
Blu-Ray and digital media players also saw double digit growth in household penetration.
As has been the case for some years, though, mobile devices are the leading category. “Consistent with past research and trends we are seeing, tablets and smartphones will continue their dominance in the marketplace over the coming year,” said Ely.
As ownership rates for connected devices increases, more households are subscribing to video rental and streaming services. Nearly 31 million U.S. households (26 percent) will watch content streamed online and growth will continue this year as nine percent of new households are expected to subscribe to a video rental and streaming service in 2012.
Televisions remain the most commonly owned CE device, with 99 percent of U.S. households owning at least one TV. The average U.S. household owns 2.9 televisions. Nearly seven in ten (68 percent) U.S. households report owning at least one HDTV. In addition, half (54 percent) of U.S. households report they own at least one LCD TV and approximately one-third (32 percent) report they own at least one plasma TV.
Edited by Braden Becker