Venezuela Consumer Electronics Report Q3 2014 is a new market research publication announced by Reportstack. The push by the government to implement the 'fair price' law in H114, which restricts vendor margins to 30%, has worsened an already weak short-term outlook for the Venezuelan consumer electronics market. The law adds to a hostile business environment and exacerbated existing challenges from currency weakness, and economic, political and security risks that are weighing on purchasing power and consumer confidence. Taking these factors into consideration, it forecasts a contraction in the consumer electronics market in 2014, with all three market segments affected, albeit to different degrees. As the economy is stabilised we believe there is considerable potential in the Venezuelan market, with vendors having opportunities as a result of low device penetration in key categories such as smartphones, tablets and flat-screen TVs.
Headline Expenditure Projections
- Computer Hardware Sales: USD890mn in 2013 to USD756mn in 2014, -15% in US dollar terms. Forecast downgraded last quarter in the wake of the devaluation of the bolivar and domestic economic and security risks, exacerbating a decline in desktop and notebook sales.
- AV Sales: USD1.10bn in 2013 to USD1.0bn in 2014, -8.4% in US dollar terms. Forecast in US dollar terms unchanged, with demand for flat-panel TV sets hit by currency weakness.
- AV Sales: USD1.10bn in 2013 to USD1.0bn in 2014, -8.4% in US dollar terms. Forecast in US dollar terms unchanged, with demand for flat-panel TV sets hit by currency weakness.
To view the table of contents and know more details please visit Venezuela Consumer Electronics Report Q3 2014.
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