Consumer electronics are analog or digital electronic devices intended for everyday use by people, typically in their homes. They include electronic and digital devices used privately for communication (telephones, smartphones, etc.), entertainment (television sets, radios, smart speakers, etc.), or home office activities (printers, copiers, etc.).
6 trends of the consumer electronics industry
Consumer Electronics Show (CES) 2021, one of the most influential events for the global tech industry, was held virtually this year. By dissecting the narratives that emerged from each participant and the event’s announcements and highlights, we have come up with the top consumer electronics trends to watch out for this year and beyond.
Health and wellbeing have been at the forefront of consumer concerns ever since the COVID-19 pandemic began. Devices that will assist in the fight against COVID-19 and other potential pandemics will be one of this year’s focuses.
The pandemic also pushed consumer electronics companies to develop high-performing and more convenient-to-use devices. For example, in 2020, Samsung released its new smart tablet Galaxy Tab Active3.
Working and learning from Home
Millions of office workers and students shifted to working and learning remotely in 2020. This change had consumers scramble to get a hold of phones, computers, monitors, microphones, keyboards, mice, cameras, and even gadgets such as smart coffee makers and digital massagers.
Many consumer electronics companies have benefited from the work-from-home trend, which led to an increased demand for computing devices and peripherals. For instance, according to the Q2 2020 results of LG Electronics, the share of monitors in its total revenue increased to 23% in Q2 2020 from 17% in Q1 2020, and the share of notebooks and tablets increased to 29% in Q2 2020 from 20% in Q1 20203.
With lockdowns still in place, the best option after a long day of working and learning from home is probably relaxing and playing. Consumers are spending more money on flashy toys, and watch, listen, or play indoors. Products like TVs, Hi-Fi speakers, and gaming PCs, and consoles will keep consumers entertained in the comfort of their homes.
Nowadays, most of our electronic gadgets require data and connectivity to power them. 5G is here enabling faster and more reliable speeds than any previous network. Major smartphone makers including Apple and Huawei are promoting new 5G-enabled phones with a clear shift towards budget models. Other 5G-enabled devices such as laptops, mobile hotspots, and routers are on their way into the market as 5G technology continues to mature and be available to all.
User-friendly smart devices
The rising trend of having connected homes is increasing the demand for smart home appliances globally. For instance, as per Grabyo’s Value of Video Report 2020, about 58% of surveyed streaming customers and about 53% of surveyed pay-TV customers watch videos regularly on Smart TVs3.
Devices that come with voice assistance, and Bluetooth or Wi-Fi connectivity are being adopted due to higher usage convenience. Device makers are making efforts to include multiple features in their devices to attract consumers. For example, Samsung released its Premium Soundbar Line-up with two wireless rear up-firing speakers in July 2020.
The offline segment holds a major market share as specialty electronic shops allow buyers to more clearly understand the features of the devices in person.
However, a greater convenience offered by e-commerce platforms is accelerating market growth. The COVID-19 lockdowns have further promoted the use of e-commerce websites due to the closures of retail stores. For instance, in June 2020, Samsung launched a new line of TVs in India on e-commerce sites including Flipkart, Amazon, with the Frame 2020TVs and 10 models of Smart TVs.