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Digital CE Was 'Recession-Proof' In Dec.

Staff -- TWICE, 1/21/2002

Digital products for the home and car were the industry's retail sales stars in the final pre-Christmas selling week last year, though price declines held the improvement in dollar volume well below the unit sales growth, according to a report released yesterday by NPDTechworld.

According to the market research firm's Early Indicator Panel, the key group of digital products "proved recession resistant at a time when the economy was at its weakest."

At the same time some of the best sellers of Christmas 2000 lost favor last year. But, notes NPDTechworld consumer electronics analyst Tom Edwards, some of the decline only reflects the replacement of one technology with a better one, rather than a lack of consumer buying interest. "Categories such as radio/cassette players are being replaced by CD Boomboxes" while DVD decks are taking over home CD players "at entry level priced points." Below are sales results for some of the industry's best-selling product categories, as well as the also-rans.

CE Category Sales In December
Category % Chg. Units % Chg. $ Sales % Chg. Avg. Price
Mobile Multimedia +140.4 +84.9 -23.1
Home Theater Audio System +98.1 + 87.0 -5.6
Digital Cameras +70.2 +50.9 -11.3
DVD Players +59.4 +23.7 -22.5
Personal Video Recorders +39.4 +29.7 -6.9
Radio/Cassette Players -52.2 -56.8 -9.7
Home CD Players -34.1 -33.8 -0.4
Still Film Cameras -33.0 -13.2 -29.5
Video Cassette Players -23.2 -29.6 -8.4
PC Cameras -26.9 - 37.0 -13.7
Source: NPD Techworld, Port Washington, N.Y. ©TWICE 2002

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