Imaging Devices in Ukraine

2021 DEVELOPMENTS

Increasing penetration of smartphones with more advanced camera functionality continues to negatively impact demand for imaging devices

Demand for imaging devices was already declining in Ukraine prior to the pandemic as increasing penetration of smartphones in the country with more advanced camera functionality continued to attract consumers wanting to take photographs or videos to share on social media platforms. This trend is being particularly driven by younger consumers who do not see the need to purchase specialist equipment for general image-taking purposes.

Demand for more dynamic sports action camcorders subdued due to limited movement outside of homes

The larger volume category of digital camcorders is also set to see stronger declines in demand during 2021, not only due to a greater preference amongst consumers to use their smartphones to take videos, many of which now offer 4K video features, but also because movement outside of the home, which might normally encourage the sharing of activities whilst on holiday or participating in sports, has been significantly reduced as a result of the pandemic. Nevertheless, more specialised sports digital camcorders such as GoPro offer potential for growth once the threat of the virus wanes and Ukrainians start to spend longer periods of time outside of the home including to travel.

Leading players start to move away from SLR models and towards compact systems

The competitive landscape of imaging devices in Ukraine remains fairly consolidated amongst the four leading players Sony, Canon, Nikon and Xiaomi. Following retail volume share gain the previous year, Sony is set to lose some ground in 2021 as the company has stopped producing SLR cameras to focus exclusively on the mass market, therefore limiting its professional camera assortment while also continuing to manufacture compact system cameras which appeal more to some consumers due to their quality of image, functionality and compactness.

PROSPECTS AND OPPORTUNITIES

Further declines for imaging devices as consumers continue to value multifunctionally of smartphones

Imaging devices is predicted to experience further declines in retail volume terms over the forecast period, with digital cameras particularly impacted by the further switch towards smartphones as the latter will continue to see heavy investment in camera functionality and quality. The increasing reliance amongst Ukrainians on smartphones which offer multifunctionality and therefore affordability in terms of not having to purchase separate electronics for various purposes, will appeal to consumers who require convenience, particularly when wanting to quickly upload digital content to social media platforms.

Action models offer potential for digital camcorders once restrictions relax

Digital camcorders is also expected to continue to lose ground over the forecast period due to the further penetration of smartphones, most of which include 4K video features, enabling consumers to quickly share video content online. The only area of digital camcorders that is likely to experience some growth is sports digital camcorders such as GoPro once restrictions ease and Ukrainians start to travel or engage in exciting sporting activities which they want to share with friends or followers.

Further price increases likely

The average unit price of imaging devices, particularly for digital camcorders, is predicted to continue to increase over the forecast period. This will be mainly driven by demand for premium professional use imaging devices which are able to offer higher quality than smartphones.