Where Consumers Shop for Consumer Electronics

Delivery

This report comes in PPT.

Key Findings

Consumer electronics slumped after Coronavirus (COVID-19) outbreak

Global consumer electronics sales fell by 6% in volume in 2020. The biggest decline was in in-car entertainment, owing in part to reduced mobility, although sales were already falling before COVID-19. The second biggest decline was seen in portable electronics. Computers and peripherals performed relatively well, as the shift to the home office supported demand.

Specialist retailers still lead

58% of all sales were made through store-based retailers in 2020, led by specialist retailers. Sales in physical outlets saw a sharp decline in 2020. Consumers still appreciate going to a store to try out new products, but such outlets were negatively affected by the COVID-19 outbreak.

Consumer and industry players prepare for e-commerce

E-commerce dominates non-store retailing, and continues to grow. The rising penetration of smartphones and growth in mobile payments will contribute to further dynamic growth.

COVID-19 outbreak accelerated channel shift

The COVID-19 outbreak has been a major short-term contributor to the shift to e-commerce. Traditional specialist retailers not only had to close during the lockdown phase in almost all regions, they also had to put specific new social distancing measures in place when they were able to open. Consumers are still unsettled when it comes to visiting stores in general.

Store-based retailers reinvent and adjust

Traditional retailing companies, such as Ceconomy and Best Buy, are attempting to adjust to the new environment with new marketing solutions, both offline and online. In general, in the consumer electronics environment, everything steers towards an omnichannel approach, which typically consists of a seamless blend of e-commerce with physical showrooms and smaller stores.