Consumer Electronics sector in key SEA markets reaches over USD 1.25 billion
The Consumer Electronics (CE) sector in five Southeast Asia countries of Singapore, Malaysia, Thailand, Indonesia and Vietnam registered a slight volume growth of two percent in the first quarter of 2012 over the same period last year. Overall growth in the sector was driven mainly by heightened sales in LED TVs which fuelled increase in overall TV sales volume by 39 percent, as well as the proliferation of Blu-ray technology across all markets.
While other types of video players such as DVD players and recorders are experiencing negative growth, GfK findings for Southeast Asia registered a thriving Blu-ray market which expanded at a healthy rate of 51 percent in volume and 8 percent in value in the first three months of 2012.
“Blu-ray technology is starting to pick up everywhere in this region, evident from our reports which revealed that Blu-ray players’ contribution to the overall DVD player and recorder segment have grown consistently in all the markets,” observed Mr. Gerard Tan, Account Director for Digital Technology at GfK Asia.
Indonesia’s robust growth of 117 percent in volume and 89 percent in value makes it the fastest growing market for Blu-ray technology across all the markets tracked, while in Singapore and Malaysia, it has the largest sales contribution within the DVD player and recorder category in each market.
“Higher volume versus value growth indicates price erosion—a common trend currently seen in all the countries and across many consumer electronic products,” explained Mr. Tan. “The declining prices of Blu-ray players is fueling the surge in sales, which is also boosted correspondingly along with the rise of HDTV adoption since high definition video players are necessary to achieve the complete viewing experience.”
Major manufacturers of video players are also jumping on the band wagon to take advantage of the widespread popularity of Blu-ray technology. There are more than 20 local and international manufacturers to date, offering a total of 118 models of Blu-ray players, many of which come equipped with new and innovative features.
“Currently the talk of the town with escalating volume and value sales reaching 304 and 181 percent growth is the smart Blu-rays players which allow consumers to view Internet content directly on normal TVs,” highlighted Mr. Tan. “With some of the latest development in the market such as application hubs, Blu-ray recorders with hard disk and wider availability of 3D Blu-ray disk titles, the industry is geared up for long term growth as manufacturers continue to refresh the market by enhancing their offerings to sustain the interest of consumers,” concluded Mr. Tan.