VIDEO: Electronics manufacturers, retailers remain buoyant over UAE market
Electronics manufacturers and retailers remain optimistic about the UAE market even as a recent survey showed that consumer spending on electronics fell by 16.5 per cent from last year.
Plug Ins, the electronics and IT retail arm of Al Futtaim, in its “UAE Consumer Electronics” survey released two weeks ago showed that average spending on electronics stood at AED4,000 compared to AED4,793 in September 2014.
Niranjan Gidwani, Deputy CEO, Eros Group, the leading electronics distributor in the country, acknowledged that the market was growing at a slow pace this year compared to the same period in 2014.
But he said it was limited to personal computer [PC] segment chiefly with smartphones and wearables seeing highly positive growth.
“We have not seen this kind of drop in brands that we are managing. In the period from January till August this year our growth has been marginally higher than the same period last year by more than 3 per cent and we anticipate this to continue till end of this year,” adds Gidwani.
Emmanuel Fromont, the President for EMAE operation at Acer, the world’s fifth-largest PC maker, said the sales of PCs have been flat this year.
According to research firm Gartner, PC shipments during the second quarter of 2015 across the world dropped 9.5 per cent, to 68.4 million units in the steepest fall since the third quarter of 2013.
Fromont quoting research firm IDC’s shipment data said that the shipment declined mostly because of the re-export to the countries around really slowed because of many challenges including the oil price crisis and currency devaluation. However, he said, the slowdown was for a short term and it is expected to bounce back in next few months.
Fromont also said there is a huge demand for PCs in the MEA region particularly in Saudi Arabia and the UAE.
The PC maker is poised to make a comeback after suffering a huge blow from the sharp decline in the computer sales. The company diversified its business with new launches across the smartphone, phablet, 2 in 1 and wearables.