For the first time in a decade, the consumer electronics industry is looking at double-digit growth, so says the Consumer Electronics Association as it announced factory sales of consumer electronics products for 2004 and made predictions about this year as CES begins in Las Vegas.
As 2004 came to a close, shipment revenues were poised to hit $113.5 billion, representing an 11% rise over 2003 at $102.6 billion, according to the Consumer Electronics Association. CEA predicts the CE industry will reap approximately $125.7 billion this year.
Aftermarket auto products are a big product for CE manufacturers and retailers. CEA says satellite radio and vehicle navigation systems are two product categories to watch in 2005.
CEA credits satellite radio for helping to push autosound revenues up 10% in 2004.
Aftermarket autosound revenues were estimated at $2,210 million in 2004 and projected to be about $2,224 million in 2005.
Factory installed autosound product sales were estimated at $3,569 million in 2004 and projected to be $3, 855 million in 2005.
Portable MP3 players more than doubled unit volumes to just under 7 million and nearly tripling revenues to $1.2 billion in 2004.The association said this translates to an overall rise in the average wholesale price point as the market shifts to hard drive based players. Forecasts suggest lower overall percent growth for 2005 as the industry hits its stride, even as units rise to nearly 10 million and revenues push closer to $2 billion.
Audio cassettes sales continue to decline at $66 million in sales for 2004, down from $77 million the previous year. CEA projects cassette sales to drop to $50 million in 2005.
CEA: Look for Satellite Radio to Push Autosound Revenues in 2005
CEA: Look for Satellite Radio to Push Autosound Revenues in 2005
