CES Sets Records, Predicts Milestone Sales

By Steve Smith -- TWICE, 1/23/2012

LAS VEGAS — International 2012 set attendance records and its owner/producer the Consumer Electronics Association (CEA) is predicting a record-setting year in factory sales in the U.S. and worldwide.

Those are but two of many major developments that occurred during the show which was held Jan. 10-13, here.

The later-than-normal dates and Tuesday-to-Friday format did not hurt and may have even helped make the 2012 CES the largest in its 44-year history with a record number of attendees (153,000), exhibitors (31,000) and show floor space (1.861 million net square feet of exhibit space).

CEA reports that verified attendance figures will be available, as usual, this spring which should include more than 34,000 international visitors.

More than 20,000 new products were launched at CES this year. Top executives participating in keynote sessions included Qualcomm, Mercedes, Wal-Mart, Intel, Ford, Verizon, Unilver, Ford, eBay, GE, Google and Facebook, CEA noted.

In addition, the 2013 International CES is already generating significant interest as space selection for next year’s show has already begun. The International CES will return to Las Vegas from Jan. 8-11, 2013.

For example, 95,000 square feet of exhibit space in the 2013 CES iLounge Pavilion has already sold, and Mazda and BMW have committed to 2013 CES exhibit space, along with Ford, Kia, Audi and Hyundai, creating an even larger Apple-related product and automotive presence at the 2013 CES.

“The 2012 CES was the most phenomenal show in our history, generating more energy and excitement across every major industry touching technology than ever before,” said Gary Shapiro, president/CEO of CEA, in a statement. “CES is the change agent, the catalyst, that brings executives from a wide range of industries together and helps them create better ways of doing business together.” And he added that global CE sales will reach $1 trillion in 2012.

Speaking of sales, Shapiro reported in his opening day keynote that CEA estimates that 2012 will mark the first year that factory sales of consumer electronics will exceed $200 billion annually, a projected $202.4 billion, up 3.7 percent over 2011’s estimated $195.2 billion, which represents a 7.9 percent gain over 2010.

Steve Koenig, CEA industry analysis director, discussed with TWICE some of the product trends that should take CE factory sales over the $200 billion.

In a trend that began in 2011, Koenig said, “There will be strong opportunities for mobile products – tablets and smartphones.” For instance, tablet factory sales should be $18.3 billion this year, in the “home information technologies and securities” category of the chart at right. Smartphones will generate $33.7 billion in factory sales in the “portable communication” category.

Factory sales of TV sets and displays should reach $17.2 billion in 2012, down 6.5 percent, even though unit sales should increase. The introduction of Apple TV, more than likely in the larger screen sizes sometime later this year, will have a “serious impact on incumbent suppliers,” Koenig said.

Another category worth watching in 2012 will be invehicle technologies, which should grow by a projected 8.7 percent, he noted.