Friday, May 18, 2012

"More Computers Than Cushions" in Livingrooms

A boom in spending on consumer electronics will continue, with most living rooms having more computers than cushions," says Giles Warner, a partner in Deloitte's UK Customer Management practice. 


Warner says people increasingly see spending on consumer electronics as essential rather than discretionary, and also as good value.


"We're predicting consumers will prioritize spending on technology," he said. Deloitte believes  "there'll be an explosion in the number of devices people use," as a result. 


In part, that is because digital appliances have assumed greater importance in consumer lives, but also in part because digital appliances are more affordable. The average US household spent only $1,200 on consumer technology in 2011, or less than 2.5 percent of median income. Consumer tech purchases start at the low tens of dollars for basic mobile phones, and rise to hundreds of dollars for high-end smart phones, tablets, laptop computers and televisions.



While a decade ago the average PC or big screen TV typically cost more than $1,000. Three decades back, the average television cost an inflation-adjusted $1,800. Today that $1,800 could
get you two large flat screen televisions, two tablets, two netbooks, three smartphones, and still leave change to take the family out for dinner, Deloitte argues

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