Consumer durables is a cataloguing of consumer goods that are not essential to be bought very often as they are fashioned in a way so as to last for an extended period of time. Profits in the consumer durables sector were most profoundly…
BMI View: The economic environment provides a solid platform for increases in consumer electronics
device spending in Egypt over the medium term. We expect rising incomes and population growth will be
strong drivers of device spending as vendors target both first-time buyers and the higher-value replacement
market, centred on Cairo. We forecast total device spending will increase at a CAGR of 5.7% over
2016-2020 to reach USD4.9bn in 2020.
Latest Updates And Industry Developments
? Computer Hardware Sales: USD935mn in 2016 to USD1.05bn in 2020, a compound annual growth
rate (CAGR) of 2.9%. Small downgrade to reflect greater threat of smartphone cannibalisation, but
population and income growth, and educational procurement will support the segment and maintain
? AV Sales: USD694mn in 2016 to USD815mn in 2020, a CAGR of 4.1%. Flat-panel upgrade potential
still exists, which, alongside increases in local production and rising incomes, is supportive of AV
? Handset Sales: USD2.30bn in 2016 to USD3.03bn in 2020, a CAGR of 7.2% in US dollar
terms. Relatively low smartphone penetration after development delayed by political crisis, which means
handset value growth from first-time upgrades should be maintained over the medium term.