Home entertainment devices market to reach almost €500bn globally by 2031
A rise in digitalisation of electronic goods, innovations in existing products, and reduced prices of entertainment products are all driving the growth of the global home entertainment devices market.
The new report by Allied Market Research, is titled, “Home Entertainment Devices Market by Type (Audio Equipment, Video Devices, and Gaming Consoles), Mode of Connectivity Type (Wired Devices and Wireless Devices), and Distribution Channel (Offline and Online): Global Opportunity Analysis and Industry Forecast, 2022–2031.”
According to the report, the global home entertainment devices industry generated $264.65 billion in 2020, and is estimated to reach US$545.14bn (approx. €496bn) by 2031, with a CAGR of 6.2% from 2022 to 2031.
Drivers, Restraints, and Opportunities
A shift toward mobile platforms and consumer worries regarding adverse effects on health from audio equipment and wireless devices may restrain market growth. On the other hand, a surge in the tech-savvy urban population in developing countries should create new opportunities in the coming years.
- During the Covid-19 pandemic, the governments of many countries implemented lockdown measures. This led to a surge in demand for home entertainment devices such as projectors, streaming devices, gaming consoles, and headphones. However, transportation restrictions created a supply-demand gap.
- The distribution activities were affected due to lockdown restrictions. Offline stores were closed; however, delivery activities for orders placed through online channels were stopped during the initial stages of the lockdown. Distribution activities will get back on track post-lockdown.
The video devices segment to continue its lead position during the forecast period
Based on type, the video devices segment accounted for the highest share in 2020, contributing to more than four-fifths of the global home entertainment devices market, and is estimated to continue its lead position during the forecast period.
Moreover, this segment is estimated to manifest the largest CAGR – of 6.4% from 2022 to 2031. This is due to a rise in consumer demand for a “high-performance home theatre experience” and increased household disposable income. The research also analyses the segments including audio equipment and gaming consoles.
The offline segment to continue its lead position throughout the forecast period
Based on distribution channel, the offline segment accounted for the largest share in 2020, holding more than half of the global home entertainment devices market, and it is projected to continue its lead position throughout the forecast period. However, the online segment is expected to portray the highest CAGR of 7.0% from 2022 to 2031, owing to a large selection of products and simpler return policies.
Asia-Pacific, followed by North America, to maintain its dominance in terms of revenue by 2031
Based on region, Asia-Pacific, followed by North America, held the highest market share in 2020, accounting for around one-third of the global home entertainment devices market, and is projected to maintain its dominance in terms of revenue by 2031. Moreover, this region is projected to manifest the fastest CAGR of 6.8% during the forecast period, owing to high population density, rise in household income, and rapidly growing middle-class population that prefers home entertainment devices.
Leading Market Players
- Sony Corporation
- Apple Inc.
- Panasonic Corporation
- LG Electronics Inc.
- Bose Corporation
- Sennheiser Electronic GmbH & Co. KG
- Koninklijke Philips N.V.
- Mitsubishi Electric Corporation
Meanwhile, another recently released report – this one by ResearchAndMarkets.com predicts the global home entertainment devices market to grow with a CAGR of 6.43% over the forecast period from 2021-2027. Entitled “Home Entertainment Devices Market: Global Industry Analysis, Trends, Market Size, and Forecasts up to 2027”, the study on the home entertainment devices market covers the analysis of the leading geographies such as North America, Europe, Asia-Pacific, and RoW for the period of 2019 to 2027.
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