Home Audio and Cinema in Ukraine

2021 DEVELOPMENTS

Home audio and cinema continue to be negatively impacted by prioritising of expenditure and high-quality sound offered by alternative consumer electronics

Home audio and cinema is predicted to continue on its declining trajectory witnessed over the review period. Not only is this performance in line with a general trend witnessed amongst local consumers in terms of a switch towards digitalisation and multifunctionality of other consumer electronics, but the pandemic has also reduced demand for perceived non-essential purchases due to increasing price sensitivity.

Wireless speakers offer increasing competition to static models

Demand for larger or static speakers is also continuing to decline in line with their diminishing place in the home due to limited space or demand for greater portability. The offering of a much larger variety of low-end wireless speakers is therefore continuing to have a negative impact on both speakers and digital media player docks.

Yamaha retains convincing leadership due to good quality/price ratio

Yamaha Corp is set to retain its convincing leadership of home audio and cinema due to its strength in home cinema and speaker systems. The company is recognised for its product quality, wide availability and affordability.

PROSPECTS AND OPPORTUNITIES

Slower declines for category driven by home cinema and speaker systems

While home audio and cinema is predicted to see further declines over the forecast period the rate of decline is expected to slower when compared to its review period performance. This is likely to be related to the stronger performance by the largest category of home cinema and speaker systems and will be connected to the launch of new models offering better sound quality which is expected to drive up the average unit price and support slower declines in value terms (at constant 2021 prices).

Strongest declines for hi-fi systems due to specialist nature

Hi-fi systems is predicted to record the highest retail volume growth over the forecast period, as these are relatively complex to set up and require considerable space and planning as they are bulky and require wiring. Although these products are known for producing high-quality sound and thus appeal to connoisseurs, they also carry high prices, especially as products have to be bought separately for each specific function.

Further competition from wireless speakers in terms of attracting younger audience

Wireless speakers are also likely to offer further competition to the category, as they address key consumer demands. These products offer convenience and portability, are easy to use and set-up, have good sound quality and require no extra space.