Socio-Economic Trends Drive Consumer Electronics Spending in Asia Pacific

Urbanisation of societies in emerging markets continues

Urbanisation is likely to continue in all emerging markets, but population migration to the largest cities in these markets will slow compared to the review period, as these large urban centres have grown too rapidly, straining infrastructure and limiting employment opportunities for migrants.

Economic development is concentrated in the largest metropolitan areas

While urban population expansion is likely to be the fastest in smaller cities, large metropolitan areas will be in the best position to take advantage of economic development, resulting in faster income growth rates compared to smaller cities and rural areas.

Household in emerging markets are becoming smaller, with fewer children

Urbanisation and wealth migration, combined with other factors, like rising female employment, will reshape social and household structures in emerging markets in Asia to resemble those of developed Western markets. This means more but smaller households, with fewer children born to older parents.

Spending priorities are shifting towards individual products

With these shifts, spending priorities will continue to shift away from products designed to be used by a group to products geared towards individual use, like smartphones and portable computers, demand for which is expected to grow dynamically over the forecast period.

Impact on in-home electronics varies by country