BMI View: We adopted a less bullish outlook for consumer electronics device sales growth in t he Philippine s throughout the medium term in the Q4 update. Th is change relies on two factors: a more negative outlook for tablet sales in the face of competition from smartphone - particularly phablets ; and the value squeeze in the handset segment where vendor competition has resulted in steep declines in average selling prices. Despite the downward revision we still have a broadly positive outlook for device sales as incomes rise and forecast value growth at a CAGR of 3.1% throughout 2016-2020.
Latest Updates & Industry Developments
Computer Sales: USD2.1bn in 2016 to USD2.4bn in 2020, a CAGR of +3.8% in US dollar terms. Rising incomes in a low penetration rate market means there is scope for volume growth, but affordable and increasingly powerful smartphones are a growing threat as Filipinos could simply by-pass the PC era.
AV Sales: USD997mn in 2016 to USD1.1bn in 2020, CAGR of +3.2%. Digital migration and rising incomes will drive TV set upgrade demand while stabilisation of the digital camera market will allow the growth rate to move higher over the medium term.
Handset Sales: USD2.7bn in 2016 to USD3.1bn in 2020, a CAGR of +2.6%. In the short term smartphone boom will continue, but a combination of saturation and price erosion will act as a brake on growth over the medium term.
|Steady Growth Envisaged As Incomes Rise|
|Consumer Electronics Forecast By Segment, 2014-2020|
|f = BMI forecast. Source: BMI|
The Philippines Consumer Electronics Report has been researched at source and features latest-available data covering both the manufacture and sale of consumer electronics products, critically analysing - and forecasting - the market dynamics affecting each sub-sector, including audio-visual, computers, mobile handsets, gaming and automotives electronics. Furthermore, the report analyses the domestic and global economic trends driving device demand and provides company rankings and competitive landscapes covering leading multinational and national consumer electronics companies and analysis of latest industry news and trends in Philippines.
BMI Research's Philippines Consumer Electronics Report provides industry professionals and strategists, sector analysts, business investors, trade associations and regulatory bodies with independent forecasts and competitive intelligence on the consumer electronics industry in Philippines.
- Benchmark BMI's independent consumer electronics industry forecasts for Philippines to test other views - a key input for successful budgeting and strategic business planning in the Philippine consumer electronics market.
- Target business opportunities and risks in Philippines through our reviews of latest industry trends and major deals, projects and investments.
- Exploit the latest competitive intelligence with company SWOT analyses.
BMI Industry View
Summary of BMI's key industry forecasts, views and trend analysis covering consumer electronics, major investments and projects.
Consumer Electronics Market
Analysis of the size of the domestic market for electronics products, with in-depth assessment and data covering the dynamics driving each sub-sector; audio-visual, computers, mobile phone handsets and gaming devices, as well as demand for automotives electronics.
Analysis and data of the domestic electronics manufacturing sector. We assess the regulatory and business operational issues facing manufacturers - including openness to foreign investment, infrastructure, IP issues and the global demand context - and their impact on the production of electronics goods, which is again broken down via market sub-sectors.
Industry Forecast Scenario
Historic data series and forecasts to end-2018 for all key industry and economic indicators (see list below), supported by explicit assumptions, plus analysis of key risks to the main forecast, covering computers, communications and gaming devices. Indicators include:
Industry value (US$bn); population (mn); nominal GDP (US$bn); real GDP growth (%), GDP per capita, industrial production Index (% y-o-y ave.) unemployment % of labour force.
Business Environment Rankings
BMI's Consumer Electronics Business Environment Rankings provide a country-comparative Risk-Reward Rankings index aimed at investors and participants in the regional consumer electronics market. The rankings methodology makes sophisticated use of over 40 industry, economic and demographic data points.