Independent 5-year Consumer Electronics Industry Forecasts for Australia

Australia’s consumer electronics devices market, defined as including computing devices, mobile handsets and AV products, is projected to be worth around US$16.1bn in 2011. Vendors will continue to look to new products and technologies to support growth, after new products such as tablet notebooks, 3D TV sets and Android-based smartphones enjoyed strong growth in the second half of 2010. In 2011, demand for consumer electronics is expected to grow by around 4%, slower than 2010, when sales were boosted by an explosion in demand for smartphones. This year a rise in interest rates is expected, which, along with weaker economic growth, could hit spending on high-cost consumer durables such as flat-screen TV sets.

Consumer electronics spending is forecast to grow at a compound annual growth rate (CAGR) of 4% to US$19.0bn by 2015. Drivers will include demand for premium TV sets, notebook computers, digital cameras and other key products, as well as rising incomes, product innovation and government programmes for information and communication technology (ICT).

Computers

Computer hardware accounted for about 58% of Australia’s consumer electronics spending in 2010 and will continue to dominate spending. Analysts forecast Australian PC sales (including notebooks and accessories) will reach about US$7.5bn in 2011, with the market receiving a boost from phase two of the Computers for Schools programme. Computer hardware CAGR for the 2011-2015 period is forecast at about 4%, driven by sales of notebooks and netbooks.

AV Devices

AV spending is projected at US$2.0bn in 2011. AV spending growth is expected to grow at a CAGR of 3% to US$2.4bn by 2015. In 2010, sales of LED back-lit TV sets were up while 3D TV sets also surpassed most vendor expectations in the Australian market. Drivers will include demand for premium TV sets and larger screen sizes as well as internet-enabled TV sets.

Mobile Handsets

Mobile handset sales accounted for about 29% of Australian consumer electronics spending in 2010. Australian market handset sales are expected to grow at a CAGR of 5% to about US$5.7bn in 2015, as smartphones account for more than 60% of handset sales. Sales will be dominated by the replacement market, with growing demand for smartphones, and 3G handsets.

TABLE OF CONTENTS

Executive Summary  

SWOT Analysis  
Australia Consumer Electronics Market SWOT  
Australia Political SWOT
Australia Economic SWOT
Australia Business Environment SWOT  

Asia Business Environment Ratings

Consumer Electronics Market  
Computers
Table: Computer Sales  
AV
Table: AV Sales  
Mobile Handsets
Table: Mobile Communications Sales

Consumer Electronics Industry Overview

Industry Forecast Scenario
Consumer Electronics Market  
Table: Consumer Electronics Overview, 2007-2015

Industry Developments
Table: Computers For Schools Programme, Phase Two – Planned Spending By State

Macroeconomic Forecast
Table: Australia – Economic Activity, 2006-2015  

Competitive Landscape  
Computer  
Handsets
AV

Company Profile
HP Australia