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New C&M analysis: Consumer Electronics (Sweden) Elgiganten AB Company Profile
Elgiganten AB in Consumer Electronics (Sweden) - a new company profile report on 2014-03-18 19:15:01
Elgiganten is an electrical retailer located in Finland, Denmark, Norway and Sweden. The stores are a brandname of Elkjøp owned by the British Dixons Retail plc. Consumer electronics in Sweden recorded a volume decrease in 2012, a decline consistent with 2011. Volume growth in 2012 was significantly slower than the CAGR recorded over the review period suggesting the current unease in the macroeconomic environment is having a negative influence. The unease in the macroeconomic environment lead to consumers showing more caution in their consumer electronics purchasing patterns, demonstrating strong price sensitivity and a keen willingness to shop around for the best prices.

The ongoing price war between leading electronics and appliance specialist retailers claimed a new victim in 2012. The Expert chain filed for bankruptcy during 2012 which resulted in the closure of 136 outlets. The market withdrawal of Expert follows the demise of the OnOff chain in 2011. OnOff was also a chain with a comprehensive outlet network on a national scale. The cases on Expert and OnOff highlight the intense price competition at retail level with trade observers noting the practice of electronics and appliance specialist retailer chains operating at losses to build market share.

Consumer demand for convenient, portable and robust computing solutions were key driving forces behind the explosive volume growth posted by tablets in 2012. Other factors that drove the growth of tablets in 2012 include hardware price erosion and expansion in the availability of mobile data networks and cloud services. These factors combined resulted in tablets establishing themselves as a popular low-cost computing solution. The emergence of tablets has, however, taken sales volume from other categories of consumer electronics.

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