12 Dec 2012 (51 Pages)
Includes 3 FREE Quarterly Updates.
Headline Expenditure Projections:
Computer hardware sales: US$220mn in 2012 to US$234mn in 2013. Forecast in US dollar terms upwardly revised due to macroeconomic factors and the release of Windows 8 should provide a boost to replacement PC purchases.
AV sales:US$349mn in 2012 to US$374mn in 2013. Forecast in US dollar terms unchanged, with the main driver being demand for flat-screen TV sets.
Handset sales:US$79mn in 2012 to US$86mn in 2013, +8% in US dollar terms. Forecast in US dollar terms downwardly revised due to analyst modification, but demand for smartphones will continue to expand.
Risk/Rewards Rating:Bahrain’s score was 51.1 out of 100.0, with a lower Country Risk score constraining its overall rating. Bahrain took 7th place in our latest RRR table, but provided that the political situation stabilises, the country should continue to be a lucrative market for consumer electronics devices over the forecast period.
Key Trends & Developments:In the consumer PC segment, increasing internet and broadband penetration remains a key driver. Bahraini telecoms operators such as Zain have launched a series of new services and promotions targeted at PC users. The packages allowed subscribers to choose from a selection of payment instalment plans. We expect Bahraini AV sales will be maintained in 2013by product innovation, with drivers including improved display quality, wider screens as well as design and features such as wireless technology. Demand for so-called ‘smart TV sets’ has grown as consumers see TV sets as more than simply entertainment devices. Many TV sets from Bahraini electronics retailers now offer features such as DNLA and Wi-Fi for easy sharing of photos, music and movies. Operators have identified smartphones as an opportunity to boost data average revenue per user. Operator discounts and promotions will continue to be important drivers of the market, particularly as Bahraini operators are now promoting an increasing number of prepaid data tariffs for smartphones. As the market expands, vendors will also target the low-and-mid-tier smartphone market with affordable devices.