To maintain positive revenue, the market has combated decreasing prices with higher sales
Los Angeles, CA (PRWEB) January 13, 2013
The Retail Market for Laptop Computers has experienced aggressive growth over the last five years, encouraged by a number of factors. Demand for laptops has been encouraged by overall growth in the computer market, with about 76.5% of US households expected to own a computer in 2012, up from 69.0% in 2007. Rapid technological advancements, combined with efficient production methods have caused retail prices to drop dramatically over the past decade, making computers more affordable than ever before. Laptops, in particular, have seen their price plummet over the last five years, which has resulted in a rising number of consumers opting for these versatile and portable computers versus their clunky desktop counterparts.
“Nevertheless, and especially in recent years, the laptop market has had to contend with increasing competition from tablet computers that offer similar functionality to laptops in a unique touch screen form,” says IBISWorld industry analyst Nima Samadi. The laptop retail market has also been forced to balance decreasing average sales prices with rising sales volumes to ensure market-wide growth. The laptop market also had to battle falling disposable income rates though the recession, though it was able to boldly navigate though it and continue its strong growth. Over the five years to 2012, revenue is forecast to grow 17.9% per year to $78.6 billion, with expected growth of 13.6% in 2012.
The greatest threat to the future prospects of the laptop retail market is increasing popularity and proliferation of tablet computers. Tablets fulfill much of the same functionality as laptops, but also offer a touch-screen interface that has won over a number of users. Already, in the nearly three years since the introduction of the iPad, a number of consumers have opted to purchase a tablet and either delay their purchase of a laptop of purchase a tablet in lieu of a laptop. According to Samadi, because of this, the laptop market is still growing, but at a slower rate than in the past. Over the five years to 2017, laptop market revenue is forecast to grow strongly. Over the next five years, the laptop market will also benefit from the growing popularity of subnotebooks (also popularly referred to as ultrabooks). Subnotebooks are designed to feature reduced size and weight, and extended battery life without compromising performance. These sleek and distinctive subnotebooks will attempt to entice consumers to upgrade from their older, larger laptops.
The Retail Market for Laptop Computers is fragmented. The top four laptop retailers make up less than 21.6% of industry revenue. Many outlets sell laptops, ranging from large electronics stores like Best Buy, to supercenters like Walmart, to online-only retailers like Amazon. While there are many well-known stores that sell laptops, the majority of the market is characterized by smaller players. The industry will maintain a low level of market share concentration over the next five years. For more information, visit IBISWorld’s The Retail Market for Laptop Computers in the US industry report page.
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IBISWorld industry Report Key Topics
This retail market for laptops includes laptop sales made through traditional brick-and-mortar outlets, online websites and by mail order. Laptops are considered personal computers for mobile use but do not include tablet devices or smartphones.
Key External Drivers
Industry Life Cycle
Products & Markets
Products & Services
Globalization & Trade
Market Share Concentration
Key Success Factors
Cost Structure Benchmarks
Barriers to Entry
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