GfK - Digital World

Digital world

Latest research from WRC’s Market Insight partner GfK Retail and Technology has revealed that Western Europe (19% of global total) will surpass North America (18%) as the region with the largest volume share of technical consumer goods (TCG) in 2009.  Sales of the three main categories of the electronics market (Mobile phones, TVs and PC) in Western Europe will rise by 2% over 2008 to reach US$131 billion whereas North America will experience a substantial decline of 12%.

The findings are based on real, POS sales data from over 400,000 retailers worldwide through GfK's recently launched ‘Digital World’ forecasting service.  Working with the CEA, the US industry authority, this brand new comprehensive global database allows all retailers with an interest in the IT, Telco and CE markets to compare, contrast and forecast their portfolios in detail for the first time. 

Other highlights include:-

• The global TCG market is valued at US$681 billion for 2009, falling by 2% over 2008
• Japan saw the most impressive climb (+19%) although no region accelerated their rate compared to 2008. 
• The Eastern Europe market declined most dramatically – falling by 36% in 2009 over 2008.
• In terms of products, sales of LCD TVs have risen much higher than expected, to reach a global total of 145 million sets sold in 2009, compared to 108 million in 2008. 

Through this new service, manufacturers and distributors are now able to understand worldwide demand for electronic goods, analyse competitor performance and gain insight into the consumer behaviour of countries and regions for the first time. 

For further information contact:

Lynne Henry
International Communications Manager
lynne.henry@gfk.com
+44 (0)870 603 8119
 www.gfkrt.com

After years of steady growth, the market for Major Domestic Appliances (MDA) experienced a sudden hit when in autumn 2008 the collapsing housing market in the US and the following credit crunch sent its shock waves around the globe. At the beginning of 2009, the outlook for the rest of the year looked rather gloomy as the world was just about to enter the fiercest recession since 1945.

With the global macroeconomic environment deteriorating drastically the economy in general and in particular the home appliance market faced enormous challenges. During the second half of 2009, the world economy showed first signs of recovery. When looking at the picture today, it becomes evident that the MDA market suffered severely in some countries, whereas others performed astonishingly well despite the recession.

For the total year 2009, GfK Retail and Technology estimates a decrease in global turnover of around 8%. In the US[1]the downturn led to a strong reduction of MDA sales of around 12%, mainly due to the ailing housing market and weak consumer spendings.

When looking at the regional picture, developments varied greatly; ranging from -27% in the Ukraine to +30% in Brazil. Regions currently suffering the most are Eastern Europe (especially the Ukraine and Russia), the Middle East, South Africa, the US and in Western Europe the UK, Ireland and Spain.

These markets increased strongly before the crisis started, however as this market growth was driven to a large extent by the housing boom and by consumers borrowing money from the banks in order to buy their kitchen or home appliance, consumer spending was reduced drastically after the crisis and the resulting credit crunch. This scenario was witnessed in the US, UK, Ireland, Spain, Ukraine and the Baltic States. Furthermore, countries such as Russia, Saudi Arabia, Dubai, Iran and South Africa suffered from the falling prices of crude oil and commodities.

Did you know?

Worldwide sales of mobile phones and smartphones in 2009 reached approximately 1.15 billion. If the sales were to be taken length to length, they would reach around the world three times.
Source: GfK RT 2009, Retail Panel Data and Etilize Product Catalogue

Taking the average height and width of a washing machine, 2009 Western European sales (M 12.2 units) would have been enough to build the Berlin Wall 11 times over.
(The whole wall was 155 km long and 3.6m high)
Source: GfK RT 2009, Retail Panel Data, Etilize Product Catalogue

On average almost 12 cents per euro is spent on Technical Consumer Goods in Western Europe today with a mouse click.
Source: GfK RT 2009, Internet Sales in Europe

96 million mobile computers were sold in 2009 globally; if piled on top of each other the total length would stretch 4000km, covering the entire Route 66.
Source: GfK RT 2009, Retail Panel Data

276 LCD-TVs, 247 DSC cameras, 232 portable media players and 78 satellite navigation systems were sold on average per minute globally in 2009.
Source: GfK RT 2009, Retail Panel Data

Italy is the second largest European market for watches in 2009 worth an estimated 1.4 billion euros, behind Germany (1.5bn) and ahead of France (1.2bn). Pro rata the population, the average Italian consumer spends 25% more than all of the other European markets.
Source: GfK RT 2009, European Watches Panel Data

GfK at 2010 World Retail Congress

GfK Breakfast Briefing: Retailing in 2010, Challenges and Opportunities in the Fashion Markets

Date: Thursday 22nd April 2010
Time: 7.45am - 8.45am
Speakers:

Pascal Bollon
GfK Retail and Technology
Global Director Fashion

Marion Knoche
GfK Retail and Technology
W. Europe Director Fashion

Eberhard Stegner
GfK GeoMarketing
Managing Director

Like so many other sectors, fashion retailing was badly shaken by the global economic downturn. How should fashion retailers adapt to the new realities of today's market? What are the new opportunities and how should retailers respond to them? To help provide the most up-to-date information on current market trends and developments, global research group, GfK will present our exclusive research to show:

• The macro trends in fashion retail
• Specific fashion trends and how to respond to them
• Market insight
• The role of the Internet in fashion
For further information on GfK’s participation at MWC 2010 visit GfK at World Retail Congress
Or contact:

Lynne Henry
International Communications Manager
+44 870 603 8119
Email: lynne.henry@gfk.com

Ami Brooks
Communications Officer
+44 870 603 8247
Email: ami.brooks@gfk.com

Website: www.gfkrt.com
 
GfK Retail and Technology - sales research and market expertise

GfK Retail and Technology is the world's leading market research company for tracking point-of-sale data in consumer technology markets.

We co-operate with retailers and resellers in more than 70 countries who provide us with data at model level. The GfK data platform, StarTrack, ensures manufacturers and industry leaders receive comparable information at international level.

Our market experts offer fact-based consultancy on brand share and channel performance at both country and international level.