Markets for consumer electronics

Growth patterns, technology innovations, trends, forecasts and challenges for global consumer electronics’ markets for manufacturers come under the spotlight in this article.

Consumer electronics refers to a broad category of electronic devices and gadgets that are designed and manufactured for personal use by consumers. Analyst Research and Markets categorises these as products such as smartphones; computers; televisions; audio systems; gaming consoles; wearable devices and home appliances. Many of them cater to communication, entertainment, productivity and convenience needs. They incorporate advanced technologies such as wireless connectivity, touchscreens and artificial intelligence.

In recent years, said the analyst, the demand for consumer electronics has been growing, driven by the emergence of 5G networks and rise in the Internet of Things. Some manufacturers are choosing to implement sustainable practices in their businesses to meet consumer expectations.

“The growing trend towards a connected and intelligent home has led to the introduction of new smart devices to the market and continues to drive market growth. Although the consumer electronics market has already matured, it is anticipated that the adoption of new technologies would support volume growth,” added the analyst.

Global market movements

The global consumer electronics market is projected to grow at a CAGR of 7.37% during the forecast period of 2024-2029, according to an October 2024 report on the market by analyst Research and Markets. It estimates that market value in 2023 stood at US $1.03 trillion and is likely to reach US$1.57 trillion by 2029.

According to the report, the growth of the market is driven by several factors including technological advances in TV resolution, the rising popularity of OTT content in smart TVs and the growing prominence of online sales. The rise of streaming services such as Netflix, Amazon Prime Video, Hulu and Disney+ is fuelling the demand for streaming devices. Therefore, the analyst expects the market for TV peripheral devices to see “immense growth in the forthcoming years.”

“Based on product, the global consumer electronics market can be segmented into five segments: telephony, computing, TV, radio and multimedia, TV peripheral devices and drones. In 2023, the telephony segment dominated the consumer electronics market owing to the adoption of various technologies and services. Additionally, the deployment of 5G networks promises to revolutionise telephony by offering faster data speeds, reduced latency and improved call quality, especially for mobile communication. During the forecasted period of 2024-2029, TV peripheral devices is the fastest growing segment,” confirmed the report.

Regional segmentation

Manufacturers are adopting strategic steps (such as mergers, acquisitions, partnerships and collaborations) to meet growing consumer demand and consolidate their positions in the market. The market is dynamic and multifaceted: it is shaped by innovation, brand reputation and consumer preferences.

“The consumer electronics market is staying fragmented, with many small to medium-sized producers. The presence of many small to medium-sized producers prevents even large manufacturers from monopolising, keeping the industry competitive despite rising market share,” commented market analyst, IBIS World.

“North Asia is an electronics manufacturing powerhouse. The region's strong infrastructure and skilled workforce attract global giants like Sony and Samsung, bolstering its status as a leading hub for consumer electronics,” it added.

To read the rest of this article in ISMR’s April 2025 issue, see https://joom.ag/b6jd/p22