Bahrain is susceptible to falling oil prices, with the government and private businesses expected to rein in spending if the low prices persists for a considerable period. This would weigh on demand for consumer electronics products, particularly those in the mass market segment as we expect low- to mid-income consumers to be hardest hit by spending cuts.
Headline Expenditure Projections
Computer Sales: The market will increase from USD205mn in 2014 to USD212mn in 2015. We expect that tablets and notebook hybrids will dominate the consumer market in 2015, although tablet growth will slow from recent years due to saturation.
AV Sales: The market will contract from USD245mn in 2014 to USD239mn in 2015. The market is expected to contract after TV set demand was brought forward to 2014 by strong demand ahead of the FIFA World Cup in Brazil.
Handset Sales: We forecast a rise from USD255mn in 2014 to USD262mn in 2015. Strong smartphone sales have benefitted Samsung but price erosion is a threat as the market becomes saturated.
The PC market in Bahrain does not offer robust growth prospects in regional perspective as a consequence of high household PC penetration, estimated at 93% at the end of 2013. This means a diminished pool of first-time buyers - however with an average of 9 residents per household in Bahrain there is significant growth potential in the personal devices market. Tablets have already proven popular with Bahraini consumers, with ownership of Apple's iPad widespread among the most affluent in society. Looking ahead, BMI believes low-cost Android tablets could gain traction among the middle and low-earning segments, which have significantly lower disposable incomes in a high inequality market such as Bahrain. There is also an opportunity for Microsoft partner vendors to target the market with low-cost conventional notebooks and to challenge Apple at the high-end with hybrid notebooks offering...
TABLE OF CONTENTS
Consumer Electronics Market
Table: Consumer Electronics Overview (Bahrain 2012-2018)
Table: Economic Activity (Bahrain 2009-2018)
Industry Risk Reward Ratings
Table: MENA Consumer Electronics RRI
Table: PC Sales (Bahrain 2012-2018)
Table: AV Sales (Bahrain 2012-2018)
Table: Mobile Communications (Bahrain 2012-2018)
Table: Samsung Electronics
Industry Trends And Developments
Table: Bahrain Distributors For Leading Brands
Table: Population Headline Indicators (Bahrain 1990-2025)
Table: Key Population Ratios (Bahrain 1990-2025)
Table: Urban/Rural Population & Life Expectancy (Bahrain 1990-2025)
Table: Population By Age Group (Bahrain 1990-2025)
Table: Population By Age Group % (Bahrain 1990-2025)
Industry Forecast Methodology
Risk/Reward Index Methodology
Table: Consumer Electronics Risk/Reward Index Indicators
Table: Weighting Of Indicators