Industry Analysis & Industry Trends
Aggressive price discounting and the rapid ascent of online purchases for computer and software products have negatively affected the Computer and Software Retailing industry. As a result, industry revenue is forecast to decline by an annualised 1.9% in the five years through 2013-14. Intense trading conditions have caused price to remain the key basis of competition due to minimal product differentiation between operators. The resulting downward price pressures have eroded profit margins and led to the exit of some industry players.
In 2013-14, industry revenue is forecast to rise by 1.5% to reach $4.6 billion. Growth in disposable income and an increase in the number of households with at least one computer will underpin a modest recovery... purchase to read more
Industry Report - Industry Locations Chapter
The geographic spread of computer and software retailers is primarily driven by the population trends across each Australian state and territory. This explains the high concentration of industry players located in the key eastern seaboard states of New South Wales, Queensland and Victoria. Population plays a pivotal role in influencing the location of industry stores, as it enables operators to gauge the likely success rate of opening a new store based on competitors and the estimated level of consumer demand. Demand for industry stores is also influenced by the number of households with computer or internet access. This trend has been fuelled by the growing dependence on email and social media as a convenient and acceptable form of communication. .. purchase to read more