Dealer Data: Sudden Decline Seen in Electronics Spending
There has been a “sudden huge pullback” in consumer spending on electronics in the last month, which is expected to significantly affect major electronics retailers. That’s according to a survey released earlier this week by ChangeWave Research.
The survey, taken in mid-February of 4,427 consumers, found that only 19 percent of respondents said they would spend more on CE products in the next 90 days, compared with 33 percent who said they would spend less.
ChangeWave predicts that Best Buy, Circuit City, Amazon, The Apple Store and eBay will be especially hard hit, but that discount retailers such as Wal*Mart and Costco will remain strong. The study also found that only 7 percent of respondents would spend part of their forthcoming tax rebate check on electronics, which contradicts a recent CEA finding that put the number closer to 20 percent.