Holiday consumer electronics spend to reach $34 billion
Arlington, Va. - The 2014 holiday season will see the highest levels of consumer spending on consumer electronics (CE) since 1994. According to the Consumer Electronics Association (CEA) holiday outlook, total tech spending during the holidays will increase 2.5% to reach a record $33.76 billion during the 2014 holiday season.
According to CEA’s 21st Annual CE Holiday Purchase Patterns Study, the five CE gifts U.S. adults most want to receive are also the top five products driving the majority (51%) of total revenue for the CE industry in 2014. Combined, these products are expected to generate $108.8 billion in revenue in 2014.
The tech products that consumers most want to receive as gifts this holiday season are tablets, notebook/laptop computers, TVs, smartphones, and videogame consoles. While consumers want to receive consumer electronics as gifts this holiday season, 63% of U.S. adults plan to give the gift of technology this year. CEA expects headphones and earbuds (27 and 26%, respectively) to be the most popular CE devices consumers give during the 2014 holiday season. Tablets (26%) also will be popular this year, followed by notebook/laptop computers (25%), TVs (24%) and smartphones (23%).
Emerging product categories are products that one in five consumers (19%) are likely to purchase as a gift. One in 10 consumers are likely to purchase a fitness device (10%), a smart device for the home (9%) or a smartwatch (8%) as a holiday gift this year.
More than half (54%) of consumers are likely to purchase CE products online this year, increasing from 45% in 2013. Further, 26% of consumers indicate they are likely to purchase more CE products online this year, compared to last year. However, traditional retail channels remain vital for tech gift purchases with 77% of consumers likely to purchase from a brick-and-mortar location.
Meanwhile, two-thirds (67%) of consumers who plan to spend money on CE are likely to use a mobile device, such as a smartphone or tablet, to help them shop. Interestingly, those likely to use mobile devices to help them shop for CE plan to spend more money on CE this holiday season.
More consumers plan to shop early this year, but most will still wait to finish their shopping later in the season, when they feel the best deals are available. While most consumers (61%) plan to wait until November or December to start their holiday shopping, one-third (31%) indicate they anticipate shopping before November, up from 25% of consumers who planned to shop early last year. There also is a corresponding decline (seven percentage points from 2013) of consumers who start in December.