Hollywood stars would not shine as brightly were it not for the talents of a host of supporting actors enhancing their performances. The same is true for portable digital media devices like the Apple iPod and the numerous accessories that augment the experience with these products.
CEA forecasts shipment revenues for portable digital media devices to swell 20 percent this year to more than $5.6 billion. In tandem with this growth, CEA market research shows demand for accessories for these products is also rising. The manifestation of which can be summarized in a few market observations.
Accessories that feed the portable digital media device sector (and the companies marketing them) are multiplying like rabbits. For consumers this means more choice; for retailers it means better assortments. Entirely new breeds of accessories are entering the market. Witness the bevy of docking stations and portable speakers available for iPods today. Most of these products carry substantial margins, compared to other more commoditized accessories. In addition, we see sales channels for these accessories expanding—achieving almost omnipresent status. They can be found almost anywhere, from big box retailers to petite boutiques; the result is greater consumer awareness and more opportunities to sell.