Industry Analysis & Industry Trends
The rapidly increasing popularity of online sales of computer and software products has led to aggressive price discounting over the past five years, negatively affecting the Computer and Software Retailing industry. As a result, industry revenue is forecast to decline by an annualised 2.6% in the five years through 2014-15. Intense trading conditions have kept price as the key basis of competition, due to minimal product differentiation between operators. The resulting downward pressure on prices has eroded profit margins and have forced the exit of some industry players. In 2014-15, industry revenue is forecast to rise by 0.9% to reach $5.1 billion, aided by growth in discretionary income and an increase in the number of households with at least one computer... purchase to read more
Industry Report - Industry Analysis Chapter
The Computer and Software Retailing industry has been adversely affected by volatile consumer sentiment for much of the past five years, while the emergence of pure online retailers and constant price pressures have eroded profit margins. The subdued retail economy that followed the collapse of global financial markets and the resulting uncertainty surrounding the domestic economy also created challenging trading conditions. As a result, industry revenue is expected to contract by an annualised 2.6% in the five years through 2014-15.
In 2014-15, the dynamic nature of digital technology, coupled with continued growth in discretionary income, has been underpinning a modest recovery in the industry... purchase to read more