South Africa Consumer Electronics Report Q4 2015

BMI Industry View

SWOT

Consumer Electronics SWOT

Political

Economic

Operational Risk

Industry Forecast

Table: Consumer Electronics Overview (South Africa 2013-2019)

Macroeconomic Forecasts

Economic Analysis

Table: Economic Activity (South Africa 2010-2019)

Industry Risk Reward Index

Table: MEA Consumer Electronics Risk/Rewards Index, Q315

Market Overview

Computers

Table: PC Sales (South Africa 2013-2019)

AV Devices

Table: AV Sales (South Africa 2013-2019)

Mobile Handsets

Table: Mobile Communications (South Africa 2013-2019)

Competitive Landscape

International Company

Table: Samsung

Local Companies

Table: Pinnacle Africa

Table: Tarsus

Industry Trends And Developments

Regulatory Development

Table: Regulatory Authority

Demographic Forecast

Demographic Outlook

Table: Population Headline Indicators (South Africa 1990-2025)

Table: Key Population Ratios (South Africa 1990-2025)

Table: Urban/Rural Population & Life Expectancy (South Africa 1990-2025)

Table: Population By Age Group (South Africa 1990-2025)

Table: Population By Age Group % (South Africa 1990-2025)

Methodology

Industry Forecast Methodology

Sector-Specific Methodology

Sources

Risk/Reward Index Methodology

Sector-Specific Methodology

Table: Consumer Electronics Risk/Reward Index Indicators

Table: Weighting Of Indicators

South Africa Consumer Electronics Report Q4 2015

BMI View: BMI's outlook for consumer electronics device spending growth in South Africa reflects aweakening economic outlook, including rand depreciation against the US dollar. The erosion of SouthAfrican household purchasing power in global markets will to some extent be offset by an increasing supplyof low-cost smartphones and tablets as mobile operators encourage greater data usage by launching ownbrandlow-price devices. The popularity of smartphones launched by MTN and Vodacom highlight thepotential for low-priced devices, although we believe there will be a steady demand for PCs and notebooksin the longer term as economic growth returns and large enterprise and government spending return tostronger levels.

Headline Expenditure Projections

PC Sales: USD2.2bn in 2014 to USD2.0bn in 2015. Forecast downgraded to reflect the weaker economicoutlook, with the impact of rand depreciation and price pressures in the PC market as competition fromlow-cost tablets intensifies particularly important factors.