São Paulo – The consumer electronics market of Dubai should grow 4.7% on average in the next four years until it reaches a level of USD 3 billion in 2020, according to a forecast conducted by the Dubai Chamber of Commerce and Industry ahead of Gitex, the technology fair taking place this week in the emirate.
According to the data made available by the chamber of commerce, the category of mobile devices will remain at the top of the electronics market, and is set to reach USD 1.27 billion in 2020. The market for computers and peripherals will generate USD 937 million, with household appliances close behind at USD 900 million.
Household appliances will post the steepest growth rate, according to the forecasts, followed by mobile devices. Computers and peripherals sales will increase, but only modestly.
Automotive entertainment is not expected to climb much, with estimates for a market worth USD 23 million.
The survey highlights that retail sales in Dubai continue to grow despite the fall of oil’s international prices and uncertainties surrounding the global economy. The chamber of commerce believes that what is driving the growth is the increase in population and income in the emirate and the constant flow of tourists.
However, the growth of the electronics market until 2020 should happen at a slower pace than what was the norm in the last few years. According to the Dubai Chamber, the average growth from 2010 to 2015 was 8.9%. The sector was worth USD 2.4 billion last year.
The survey revealed a greater demand for compact, multifunctional and connected devices, with a solid growth in sales of tablets and smartphones, which have been gaining market share over items such as digital cameras, mp3 players, DVD players, laptops and desktops.
A young population always searching for the latest releases is the factor driving this market.
Certain audio and video household devices such as “smart TVs” have also seen an increasing demand, with sales climbing 16% last year, whereas the sales of traditional TVs fell 28%.
Traditional retail continues to be electronics’ main sales channel in Dubai.
*Translated by Sérgio Kakitani
