Consumer Electronics : An Industry That Keeps on Growing

An ever booming market of consumer electronics is a result of our constant need to improve our lifestyle. We can hardly imagine getting our daily work done without these devices because of how easily we get our task done. It makes our life productive by allowing us to continue our work in every situation. It has given rise to a more productive work system by allowing companies to install work from home, which has benefited their company’s overall growth rate.         

The popular consumer electronic devices are mobile phones, laptops & desktop computers, smart watches or smart wristbands, gaming  consoles &  smart home devices, TV streaming devices, smart speakers, tablets and other smart devices.

Using consumer electronics offers several benefits like:

1.Convenience : One of the most popular causes of the rise in Consumer electronics is because of the amount of convenience they offer in our day to day life, making our task easier by 99%, giving us more time to do other work which too is completed easily because of these electronic gadgets .

2. Connectivity :Consumer Electronics facilitates communication and increases connectivity with others around the world, and the communication is made much easier through platforms like social media and other messaging apps.

3. Entertainment : Another reason behind consumer electronics being a huge hit is because it offers easy access to various entertainment options. 

4. Information Access : Access to detailed information is also made easier because of consumer electronics.

5. Productivity : Devices like smartphones, tablets, laptops etc offer a system where you can work remotely and be productive throughout the day. It helps you stay more focused and less tired which also results in a better outcome of the work done. 

6. Education : The strongest impact of consumer electronics on the youth can be witnessed especially in times when education was being compromised due to certain circumstances and if it hadn’t been for these devices, it’s unimaginable how the world would be functioning as well as it does today.

7. Health and Fitness : Nowadays, people are better off taking health and fitness advice through softwares online, because of how convenient it has proved itself to be. It’s easier to fix appointments with your doctors or your dieticians or nutritionists and you don’t miss out on your health updates because your connectivity isn’t affected by any means.

8. Safety And Security : Consumer Electronics devices like CCTV cameras, doorbell cameras, security locks etc have acquired a large space of the consumer electronics market as people prioritize their safety and they trust these devices.

9. Environmental Impact : Consumer electronics like energy-efficient appliances and smart thermostats contribute to reducing energy consumption and environmental impact, which promotes sustainability. 

10. Innovation : The great thing about consumer electronics is that it never stops growing and protecting itself according to the needs  and convenience of their customers.

The Unstoppable Market

India is set to become a major player among the world’s top 3 economic superpowers.

India’s economic rise is attributed to factors such as a consumer boom, demographic dividend, policy reforms, and its growing technological capabilities. 

• The Consumer Electronics market in India is experiencing significant growth. It was valued at USD 73.73 billion in 2022 and is expected to grow at a compound annual growth rate (CAGR) of 6.8% from 2023 to 2030, reaching a value of USD 124.94 billion by 2030
• Smartphones dominated the market with a 30% share in 2022, driven by increasing per capita income and the burgeoning middle class
•  The market is highly fragmented, with the presence of major players such as Samsung, Sony, Whirlpool, and Xiaomi
•  The industry segments include smartphones, PCs, laptops, tablets, televisions, air conditioners, refrigerators and washing machines, with the smartphone segment holding the largest share of 52.38% in 2021
•  The market’s growth is attributed to factors such as rising income levels, urbanization rates, enhanced product affordability, innovation, the introduction of new product variants, and consumer-friendly financing options
•  Additionally, India’s domestic production of electronics is valued at $101 billion, accounting for 65% of the market, and is expected to reach $120 billion by FY26
• The market’s growth is driven by factors such as rising disposable incomes, increased demand from households, and the availability of flexible financing options

 If we look at the global market stats we’d find out that the global consumer electronics market is experiencing significant growth. It was valued at US$723 billion in 2022 and is expected to reach US$1,264.52 billion by 2032, with a projected compound annual growth rate (CAGR) of 5.80% during the forecast period 2023-2032 The market is highly fragmented, with the presence of numerous top companies. 

• Smartphones dominated the market with a 58% share in 2022, driven by technological advancements and the proliferation of 3G and 4G technologies The market is projected to grow by 9.50% from 2024 to 2028, resulting in a market volume of US$957.90 billion in 2028
• The Asia Pacific region, particularly countries like China, India, Taiwan, and South Korea, is becoming a global manufacturing hub for consumer electronics
• The rising disposable income of consumers, the presence of a huge youth population, and improving standards of living are expected to drive the market’s growth.

The most popular consumer electronics include:

1. Mobile Phones: According to recent data, mobile phones are the most popular electronics worldwide, with 97.6% of consumers owning a mobile phone3.
2. Smartphones: Smartphones are the most popular type of mobile phone, owned by 97.4% of global consumers.
3. Smart Watches or Smart Wristbands: These are the second most popular electronics, owned by 30.1% of global consumers.
4. Gaming  Consoles and Smart Home Devices: These are the fifth- and sixth-most popular electronics worldwide, owned by 19.3% and 16.7% of global consumers, respectively.
5. TV Streaming Devices: Owned by 16.3% of people, these devices also rank among the most popular electronics worldwide.
6. Laptops, Tablets, and Smart Speakers: These are also popular devices used by consumers today.

In the U.S., 95% of respondents in a 2023 survey cited “Smartphone” as the most used consumer electronic

Conclusion

Ranging from smartphones, laptops, televisions, and digital cameras, these consumer electronics help in simplifying tasks, offering entertainment, and connecting us globally.