South Africa Consumer Electronics Report

March 1, 2015 – Navi Mumbai, India: Marketreportsonsouthafrica.com presents a report on “South Africa Consumer Electronics Report.” Even with the revision, our outlook for medium-term consumer electronics spending growth remains on track.

Summary

In the Q2 2015 update we undertook a major revision of the historical data for South Africa's consumer electronics market, scaling down our estimate for PC market value, as well as extending the forecast period to 2019. Even with the revision, our outlook for medium-term consumer electronics spending growth remains on track. Relatively weak economic growth, and particularly our in-house Country Risk team's forecast for rand depreciation against the US dollar 2015-2019, weigh on the growth outlook. The erosion of South African household purchasing power in global markets will to some extent be offset by an increasing supply of low-cost smart phones and tablets as mobile operators encourage greater data usage through launching own-brand low-price devices.

The popularity of smart phones launched by MTN and Vodacom highlight the potential for low-priced devices although we believe there will be a steady demand for PCs and notebooks in the longer term as economic growth returns and large enterprise and government spending return to stronger levels. Headline Expenditure Projections

PC sales: USD2.215bn in 2014 to USD2.208bn in 2015. Forecast in US dollar terms reflects the impact of rand depreciation and price pressures in the PC market as competition from low-cost tablets intensifies.

Table of Contents

Industry View

SWOT

Consumer Electronics SWOT

Political

Economic

Operational Risk

Industry Forecast

Table: Consumer Electronics Overview (South Africa 2013-2019)

Macroeconomic Forecasts

Economic Analysis

Table: Economic Activity (South Africa 2010-2019)

Industry Risk Reward Ratings

Industry Risk/Reward Index

Table: MENA Consumer Electronics Risk/Reward Index, Q215

Market Overview

Computers

Table: PC...