Brits swap gigs for gigabytes as spend habits are hit
The market for technology sales will top £50bn by the end of 2010, as UK consumers forego expensive nights-out and leisure activities in favour of gadgets, advanced home entertainment, and home IT.
According to research by market analyst Mintel, between 2004 and 2008, sales of technology rose almost £6.2 bn (13 per cent) to reach £49bn in 2008, driven by the increase levels of innovation, and the desire of consumers in the boom time to invest their cash in the latest gadgetry.
Now, despite the continuing recession, the market for technology is holding-up well in the face of increased economic uncertainty, with tech sales forecast to grow to £60bn by the end of 2014.
The research indictaes that growth is being driven on continued fixation with new technology: as many as 38 per cent of us would be willing to give up on a night out in order to buy an electronic device such as an Apple ipod or a high-defintion TV or ‘netbook’ PC.
“In many ways, and encouraged consumers to consider the latest, converged devices coming to the market in a quest for greater value. The likes of the Apple iPhone, for example, does away with the need for a digital camera, video camera, MP3 player, PDA, and web browser – avoiding upfront costs of buying the device through a manageable monthly subscription.”
“The recession has had a positive effect for the technology market,” avers Mintel senior technology analyst Jim Clark. “As many as 41 per cent of adult Internet users are going out less during the week than a year ago. This will impact on demand for home technology, as consumers look to the living room for their entertainment needs.”
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