The W. European CE market registers a "significant deterioration" as it declines by -11.3% Y-o-Y in H1 2011, according to GfK Retail and Technology.
The analyst attributes the decline to a lack of stimulus from major sporting events, analog TV shutdown pushing purchases forward, and the economic crisis within the Eurozone unsettling customers.
TV sales in W. Europe decline by -14% Y-o-Y, as innovations such as HDTV, 3DTV and IPTV fail to stimulate customer spending-- even if customers appear to be "prepared to dig a little deeper in their pockets" for such products.
LED TVs prove to be popular-- taking over 56% of the LCD TV segment in H2 2011, while 32" remains the most popular category with 28% market share.
GfK forecasts W. European TV unit sales to total 39M for 2011-- with 6.4M 3DTV unit sales.
DVD and Blu-ray player sales remain in decline, falling by over -40% in some countries (including Spain).
However the Blu-ray player segment sees a 20% Y-o-Y increase, reaching 1.5M units, with 3D-capable Blu-ray players making around 34% of the segment.
The camcorder market declines by -12% Y-o-Y in H1 2011, with unit sales totaling 1.7M. Revenues are also down, falling by -21% Y-o-Y to around €400M.
The only European country registering an increase in camcorder sales is the UK (with 8% Y-o-Y growth), even if revenues are still down by -20% due to lower average prices.
Hifi and home theatre products only see growth in German, with sales increasing by 4.6% Y-o-Y-- with negative performances in the rest of Europe.
Meanwhile GfK describes fully equipped audio systems as a growth segment-- including those with integrated MP3 player docks, internet radio and surround sound products.
The loudspeaker segment declines by -8% in terms of sales value, while sound bar sales increase by 25% Y-o-Y.
Portable audio devices appear to be in competition with smartphones and mobile phones-- with spending falling by -17%.
The in-car electronics segment (covering both navigation devices and in-car radios) also deteriorates-- with sales declining by -14% in W. Europe. However, in-car radio sales might get a boost with DAB+ and internet radio-capable devices.
Navigation devices with 5" screens achieve "dynamic growth" according to GfK, while internet-capable devices also show promise.
GfK concludes by forecasting a "perceptible recovery" for the rest of the year, thanks to the mentioned potential growth segments-- HDTV, IPTV, 3DTV, Blu-ray players, audio home systems (with MP3 player docks) and internet-capable portable navigation devices.
Go Challenging Climate for CE (GfK)