BMI View: BMI projects Mexican consumer electronics spending was US$13.8bn in 2013. Despite a mixed economic outlook, consumers are expected to continue to spend on flat-panel TV sets, tablet PCs and smartphones. President Enrique Peña Nieto's announcement in November 2013 of the country's National Digital Strategy should improve the level of digital inclusion in Mexico, helping spur growth in the consumer electronics sector.
While we remain optimistic toward Mexico's growth story over the medium term, private consumption weakened in H212 due to a weaker manufacturing sector and high inflation and we expect this trend will persist in 2014. The US economy is sluggish and credit growth is expected to tighten. However, we expect continued demand for flat-screen TV sets, tablets, notebooks and smartphones to be driven by product innovation, such as smart TV sets and growing affordability, particularly for smartphones.
Headline Expenditure Projections
Computer hardware sales: US$7.5bn in 2013 to US$8.1bn in 2014. Should be boosted by growing popularity of by tablets, and further migrations to Windows 8.
AV Sales : US$2.2bn in 2013 to US$2.3bn in 2014. TV sets expected to provide the most dynamic development.
Handset Sales: US$4.2bn in 2013 to US$4.5bn in 2014. 3G and 4G smartphones are likely to be the main revenue growth driver.
Key Trends And Developments
A significant growth opportunity exists in provincial areas and second-tier cities, where multinational vendors are trying to strengthen distribution. Mexico's under-penetrated south east region is expected to offer growth opportunities over BMI's five-year forecast period to 2018, particularly in the public sector.
Digital TV sets will account for of the majority of TV sales by 2018 and TV revenue will account for a similarly high portion of total AV demand. Mexico has one of the region's highest TV household penetration rates, but continued growth should be driven by increased demand for...
The Mexico Consumer Electronics Report has been researched at source and features latest-available data covering both the manufacture and sale of consumer electronics products, critically analysing - and forecasting - the market dynamics affecting each sub-sector, including audio-visual, computers, mobile handsets, gaming and automotives electronics. Furthermore, the report analyses the domestic and global economic trends driving device demand and provides company rankings and competitive landscapes covering leading multinational and national consumer electronics companies and analysis of latest industry news and trends in Mexico.
Business Monitor International (BMI)'s Mexico Consumer Electronics Report provides industry professionals and strategists, sector analysts, business investors, trade associations and regulatory bodies with independent forecasts and competitive intelligence on the consumer electronics industry in Mexico.
- Benchmark BMI's independent consumer electronics industry forecasts for Mexico to test other views - a key input for successful budgeting and strategic business planning in the Mexican consumer electronics market.
- Target business opportunities and risks in Mexico through our reviews of latest industry trends and major deals, projects and investments.
- Exploit the latest competitive intelligence with company SWOT analyses.
BMI Industry View
Summary of BMI's key industry forecasts, views and trend analysis covering consumer electronics, major investments and projects.
Consumer Electronics Market
Analysis of the size of the domestic market for electronics products, with in-depth assessment and data covering the dynamics driving each sub-sector; audio-visual, computers, mobile phone handsets and gaming devices, as well as demand for automotives electronics.
Analysis and data of the domestic electronics manufacturing sector. We assess the regulatory and business operational issues facing manufacturers - including openness to foreign investment, infrastructure, IP issues and the global demand context - and their impact on the production of electronics goods, which is again broken down via market sub-sectors.
Industry Forecast Scenario
Historic data series and forecasts to end-2018 for all key industry and economic indicators (see list below), supported by explicit assumptions, plus analysis of key risks to the main forecast, covering computers, communications and gaming devices. Indicators include:
Industry value (US$bn); population (mn); nominal GDP (US$bn); real GDP growth (%), GDP per capita, industrial production Index (% y-o-y ave.) unemployment % of labour force.
Business Environment Ratings
BMI's Consumer Electronics Business Environment Ratings provide a country-comparative Risk-Reward Ratings index aimed at investors and participants in the regional consumer electronics market. The ratings methodology makes sophisticated use of over 40 industry, economic and demographic data points.