Major Players
The major players in audio equipment market are:
- Philips India
- Apple
- Videocon
- Sony India
- Aiwa
- Thompson
- LG
- Mirc Electronics Philips India
- Samsung India
In India, Apple is the market leader in iPod category.
Growth Drivers
The major growth drivers in the audio equipment category are, increase in disposable income of consumers, changing aspirations, higher affordability, rapid urbanization and growth in per-capita income. Most importantly, the audio player category is strongly accepted and considered as style icon and a gizmo of self expression, entertainment, etc.
Growth Prospects
Currently there is low awareness among consumers about the audio equipments, for example, iPod is in its nascent stage. People in rural markets and smaller towns are not even aware of the product's existence. However, iPod has started gaining its momentum; two out of every four audio equipments sold are iPods.
Secondly, the market penetration is very low. The products are not available in rural areas.
Therefore, the growth prospects are good, as the companies are now focusing on untapped market. Also, according to IDC, a premier global market intelligence firm, MP3 players alone will generate revenue of $58 billion and its production figure will touch 50 million units worldwide by 2008. However, in India the sales may not be that large because of increase in personal computers, mobile phones, and internet usage.
Recent development in audio equipment sector:
Samsung is soon launching two new models in MP3 category
- Samsung K5 with slide out speaker
- T9 (a multi function digital audio player with music, photo, video game and voice recording, and a blue tooth wireless interface)
Now, iPod nano will face competition from Samsung Z5.
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