By Lisa Johnston
New products on display at the American International Toy Fair, held in N
Retail-level sales of personal navigation devices (PNDs) continued to climb at a rapid pace during the first five months of the year despite the slow-growth economy and rising energy prices, but the market's percentage growth rate slipped by about three-fifths in units and dollars, according to The NPD Group.
Dollar sales though May this year were up by 53 percent on unit-sales growth of 136 percent and a decline in average selling prices of 35 percent, NPD's statistics show. The figures were down considerably from the growth rates in the January 2007 to May 2007 period, NPD found. During the first five months of 2007, dollar sales grew 150 percent on unit-sales growth of 313 percent.
Average selling prices declined slightly less in the January 2008 to May 2008 period to 35 percent from the year-ago period's 39 percent.
"It hardly seems that economic concerns have hurt the category," said Ross Rubin, NPD industry analysis director. "It's still a strong growing category, and as prices continue to drop, it becomes more accessible to less affluent consumers. I'd say it's doing well."
In May 2008, sales increased 45 percent in dollars and 117 percent in units compared to the year-ago period. Average selling prices for the month fell 33 percent.
In general, the market typically enters a quiet period at this time of year, after Dads and Grads and Fourth of July sales are over, and then the market begins to heat up again in late October, industry members said.PND Sell-Through
|Jan.-May 2007||Jan.-May 2008|
|Average Sell Prices||-39%||-35%|
|Source: The NPD Group © TWICE 2008|
This TWICE webinar, hosted by senior editor Alan Wolf, will take a look at what may be the hottest CE products at retail that will be sold during the all-important fourth quarter. Top technologies, market strategies and industry trends will be discussed with industry analysts and executives.