Prices are expected to continue declining as input costs fall
Los Angeles, CA (PRWEB) October 11, 2014
Interactive whiteboards have a buyer power score of 4.1 out of 5, which reflects favorable market conditions for buyers. According to IBISWorld procurement analyst Michelle Hovanetz, "primary factors increasing buyer power include recent and forecast declining prices, a very wide variety of substitutes and little product specialization.” Due to these factors, the market is in prime condition for buyers looking to negotiate low prices on interactive whiteboards.
Competition within this market is extremely high. Products are fairly standardized, which drives competition as products across most brands are similar and switches costs to move between suppliers are typically low. Buyers can purchase interactive whiteboards directly from manufacturers or through local or regional resellers. Competition is primarily prompted, however, by the wide variety of substitutes available to buyers. “Consistent pressure from substitutes has fragmented the multimedia technology market,” says Hovanetz. There is a variety of multimedia equipment designed to enhance the learning and presentation experience. Traditional whiteboard and projector use, multimedia software, laptop computers and especially tablet PCs in recent years have all contributed to declining demand for interactive whiteboards. These additional product options boost buyer negotiating power and contribute to falling prices.
Declining prices have benefited buyers in the past three years as suppliers compete to gain market share and recapture buyers lost to substitutes. Continued price declines are expected during the next three years, which will further boost buyer power by allowing buyers to spend time evaluating options with little risk of rising prices. The primary detractor of buyer power is the high degree of market share concentration in the interactive whiteboard market, which results in very few companies that generate the vast majority of interactive whiteboard sales in the United States. This factor limits product options for buyers. In addition, suppliers tend to have a fairly high level of financial risk, which negatively impacts buyers due to the risk of discontinuation of parts or service, especially among smaller specialized vendors. The top two vendors in the market are Smart Technologies and Promethean.
For more information, visit IBISWorld’s Interactive Whiteboards procurement category market research report page.
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IBISWorld Procurement Report Key Topics
This report is intended to assist buyers of interactive whiteboards. These whiteboards feature interactive displays that allow the user to write on and control the board using a pen, stylus, finger or another device. A computer connected to a projector typically controls and displays the interactive image. Units can be fixed or mobile. Interactive whiteboards are most commonly used for teaching, training and presentation purposes. They are most prevalent in educational institutions, but are also used in business environments. This report does not include the projectors sometimes sold in conjunction with interactive whiteboards.
Recent Price Trend
Product Life Cycle
Total Cost of Ownership
Supply Chain & Vendors
Supply Chain Dynamics
Supply Chain Risk
Market Share Concentration
Buying Lead Time
Key RFP Elements
Buyer Power Factors
About IBISWorld Inc.
IBISWorld is one of the world's leading publishers of business intelligence, specializing in Industry research and Procurement research. Since 1971, IBISWorld has provided thoroughly researched, accurate and current business information. With an extensive online portfolio, valued for its depth and scope, IBISWorld’s procurement research reports equip clients with the insight necessary to make better purchasing decisions, faster. Headquartered in Los Angeles, IBISWorld Procurement serves a range of business, professional service and government organizations through more than 10 locations worldwide. For more information, visit http://www.ibisworld.com or call 1-800-330-3772.