CEA: Consumer Confidence on Tech Spending Hits Highest Level since 2012
Record revenues forecast
July 22, 2014
ARLINGTON, VA.– Consumer
sentiment toward technology spending reached its highest level since
December of 2012, according to the latest figures released by the
Consumer Electronics Association.
The CEA Index of Consumer Technology Expectations, which measures
consumer expectations about technology spending, increased by 4.1
points in July to reach 95.3, its highest level since the 2012 holiday
season and peak for that year. And the CEA Index of Consumer
Expectations, which measures consumer expectations about the
broader economy, increased by 0.6 points from last month to reach 171.3
in July, the highest level so far in 2014.
“As CEA’s sentiment indexes have continued to show,
consumer confidence is improving steadily following a weak first
quarter,” said Shawn DuBravac, CEA’s chief economist and senior director
of research. “The improved sentiment is helping establish a solid
foundation for stronger tech spending, especially with the growth of
emerging technologies like wearables and Ultra HDTV, to materialize in
the back half of 2014.”
Last week, CEA released its report,“U.S. Consumer Electronics Sales and Forecasts 2010-2015,”
projecting that revenues from emerging product categories will grow by
242 percent year-over-year in 2014. CEA’s consensus, which covers more
than 100 CE products serving as a benchmark for the consumer electronics industry, also predicts revenues for the entire industry are
projected to reach a record high of $211.3 billion, driven in part by
the skyrocketing sales of connected devices.
“The overall economic landscape is clearly improving,” said DuBravac.
“CEA’s sentiment is consistent with other economic data series coming in, showing the economy is firming and momentum is rolling forward.”
CEA has been tracking index data since January 2007.