GasElectricDual Fuel
Main Content

Electronics Unit Sales Surge, But Revenue Down

PHYSICAL: NPD: Blu-ray Player Sales Up 53% Over Thanksgiving Weekend

By Susanne Ault -- Video Business, 12/9/2009

DEC. 9 | PHYSICAL: Blu-ray Disc players, computers and TVs were among surging hardware categories on Black Friday, but extreme price slashing led to an overall decline in consumer electronics revenue from last year, according to the NPD Group.

From Nov. 22 to Nov. 28, Black Friday week revenue fell 1.2% from the comparable 2008 frame to $2.7 billion. These results did mark some improvement over the 3.4% drop in consumer electronics revenue suffered in 2008 versus 2007.

On a unit basis, Blu-ray player sales rose 53%. Other retailers, including Abt Electronics, have told Video Business of doubling their business over 2008. Many stores have acknowledged that widespread price cuts did bite into their revenue gains for the category. Walmart and Best Buy were among stores leading the low-price march in offering $78 and $99 Blu-ray set-tops, respectively.

Although average pricing fell 30% from last year to under $150, said NPD, Blu-ray hardware was one of the few electronics categories to enjoy a revenue spike in the single digits. More mainstream consumers are beginning to demand the reasonably priced players, which is helping drive the category forward.

Retailers are also devoting more space to the product, as Blu-ray offers better returns then even lower priced standard DVD players, which can be had today for under $50.

Blu-ray players are doing very well," said Stephen Baker, NPDs VP of industry analysis. "In general it's a product catregoery that has seen some steady volume increases all year. And it's something that stores want to sell."

Computers and TVs were the top-performing consumer electronics categories this year, said NPD. Similarly driven by price slides, computer sales volume hiked 63%. The average price for notebooks fell by 26% to a $500 tag. With TVs, volume sales rose 15%, but heavy discounting drove down revenue by 9%. The average flat-panel TV price was $535, down 20% from 2008.

"Consumers came out this year because there were deals to be had — the same reason they have been shopping for electronics all year," said Baker. "What made Black Friday different this year is how aggressive those price cuts were. This year, retailers and manufacturers knew it wasn't going to be about increasing revenue; it needed to be about getting consumers excited to shop and moving those products out of the stores."

Elsewhere in consumer electronics, camcorder unit sales jumped 55%; computer hard drives, up 33%; and GPS units, up 15%.

Among other price drops NPD recorded, average camcorder tags fell 33%; point-and-shoot cameras, down 7%; GPS, down 14%; and stereo headphones, down 19%.

©2009 Reed Business Information, a division of Reed Elsevier Inc. All rights reserved.

What Our Customers Say About Us

Easy to order. Support if you need it. Good communication on delivery.
Barbara B. - Little Elm, TX
May 15, 2023
Great price and product came a day early.
Michelle G. - Chesterfield, MO
May 11, 2023
The ABT Team, They came, delivered, setup & remove the old unit & box and were very Proffesional, Courteous & fast. I look forward to doing more business with ABT. Thank You...
Leo D. - Chicago, IL
May 11, 2023
My experience with ABT was great! You were the only place that I contacted that had the range in stock. It was delivered a week before the expected date.
Darryl W. - Saint Clair Shores, MI
May 15, 2023
I was truly impressed with how quickly my order was filled and sent out. Great prices and fast shipping will have me coming back. Thanks!
Josh W. - Mead, WA
May 19, 2023
The young men were professional, polite and very knowledgeable. Custom fit the a/C to my unstandard windows. Absolutely rate ABT the highest service award for their teams from initial visit in store to install.
Julie F. - Chicago, IL
May 11, 2023 was easy to navigate and always our go-to when looking for appliances. Shipping and delivery was quick, efficient and awesome!
Kelly S. - Indian Wells, CA
May 16, 2023
I have shopped with ABT for years. Their website is top notch and prices with free shipping is always a big plus.
Mary W. - Hudson, FL
May 11, 2023
Item arrived on time, works great. Very pleased with the whole transaction.
Tim G. - Mccleary, WA
May 15, 2023