Accessories Take On New Definitions
If companies fail to innovate today, they're left behind tomorrow. By constantly delivering innovative technologies and products to a wide variety of consumers, the CE industry has fared better than many others over the last few years. As any retailer knows, innovative core products always drive the sales of accessories.
Despite the sputtering economic recovery, strong accessories sales have proven to be a constant. According to the Consumer Electronics Association, total accessory shipments are expected to increase 3 percent while revenues are projected to grow by 5 percent by the end of this year. In the past 12 months, more than half of consumers who shopped for accessories held off making purchases because of the economy. This is great opportunity to reach out to these consumers and show them what accessories they need in order to get the most out of their consumer electronics. Selling the "full solution" around a core product has become the retail mantra over the last year. A solution is far from full without the proper accessories.
The opportunity to sell full solutions has increased now that convergence has become a fact of life in many homes.
Single devices have more capabilities than ever before and will continue to improve. That phenomenon is creating a change in how we define accessories. Accessories have always reached across a broad range of CE products. Traditionally, they were a physical product that connected one thing to another. But today we have to include virtual accessories such as applications and service contracts. As "accessories" take on new definitions, the market segments and the industry will continue to grow. Historically, the sale of TVs and A/V drove the accessories market. Today, it's all about wireless, which touch just about any device that can connect to a network.