The Global Home Audio Equipment Market, By Product (Home Theater in-a-Box (5.1 Channels 6.1 Channels, 7.1 Channels and 9.1 Channels), Home Audio Systems, Home Radios and Other Home Audio Accessories) and by Region (North America, Europe, Asia Pacific, ROW) - Global Forecast to 2027, is expected to be valued at US$ 28.2 billion by 2027, exhibiting a CAGR of 4.0% during the forecast period (2020-2027), as highlighted in a report published by Coherent Market Insights.
Overview
Home audio equipment refers to electronic audio devices intended for domestic use, including shelf stereos, sound receivers, home radios, etc. Home audio equipment is meant to process, reproduce, or record sound. The basic elements of the home audio system include an amplifier, source, control unit, and speakers. A full-fledged control on tablets and smartphones gives users the liberty to roam around the house with access to music at their fingertips. Most manufacturers provide control applications for free while some charge for the usage.
The global human interface machine market is estimated to account for US$ 28.2 Bn in terms of value by the end of 2027.
Market Driver
Increasing use of wireless audio devices is expected to drive growth of the global home audio equipment market during the forecast period
Majority of consumers are increasingly preferring wireless audio devices that can be connected via Bluetooth or Wi-Fi. Such devices are highly portable and can be taken anywhere for instant use. Many manufacturers are introducing such handy products, in order to capture the potential market revenue and expand their market presence. These products are compact and can be taken anywhere. For instance, in August 2019, Bose Corporation introduced a new portable smart home speaker with Google Assistant and 360-degree sound. Furthermore, in July 2020, Sony India introduced wireless speakers named SRS-XB23, XB-33, and XB-43 that support extra bass. Therefore, these factors are expected to drive growth of the global home audio equipment market during the forecast period.
Market Opportunity
Rising demand for home theaters and LCDs can provide major business opportunities in the global home audio equipment market
Home theaters have witnessed significant demand in the recent past, which is a combination of home entertainment audio-visual systems that is intended to offer a theater-like experience. Since the disposable income of consumers is increasing, they are preferring these sophisticated and advanced home audio equipment for a better experience. Moreover, this system is often complemented with LCD or LEDs, in order to provide a theater-like experience. Major companies in the market can capitalize on these opportunities by introducing novel products and gain a competitive edge in the market.
Market Restraint
Interference caused by wireless audio devices in the functioning of implanted medical devices is expected to hamper the global home audio equipment market growth over the forecast period
Many consumers have medical implants for assistants such as hearing devices and pacemakers. A loud sound or with sound with high frequencies can damage this equipment, posing major medical difficulties for consumers. As a result of this, many consumers are reluctant to adopt such devices. Therefore, these factors are expected to hamper the global home audio equipment market growth over the forecast period.
Market Trends
- North America Trends
Among regions, North America is expected to witness significant growth in the global home audio equipment market during the forecast period. This is owing to the presence of major manufacturers such as Bose Corporation and Dolby Laboratories Inc. across the region. Furthermore, growing consumer preference for innovative products and increased investment in consumer electronics is expected to boost the regional market growth over the forecast period.
- Europe Trends
Europe is expected to exhibit a robust growth rate in the global home audio equipment market over the forecast period. This is owing to increasing disposable income and rising popularity of wireless soundbars among consumers in the region. Moreover, increasing investment in consumer electronics is expected to accelerate the regional market growth in the near future.
Global Home Audio Equipment Market - Impact of Coronavirus (Covid-19) Pandemic
Due to Covid-19 pandemic, many industries witnessed significant shift in their business. There is significant impact on home audio equipment market, movie theatres are shut down, production are stalled and release dates have been postponed. Most of the people are staying at home and follow social distancing in order to contain spread of COVID-19. Due to this, for entertainment purpose, people are creating home theatres at home and enjoying movies at home. For instance, in June 2020, Motorola, American based telecommunication and Consumer Electronics Company launched first soundbar and home theatre for entertainment purpose in India. Thus, in turn, increases the demand for home audio equipment market.
Competitive Section
Major companies operating in the global home audio equipment market are Akai Electric Co. Ltd, Nakamichi Corporation, Dolby Laboratories Inc., Sanyo Electric Co. Ltd., DTS Inc., Bose Corporation, JVC KENWOOD Holdings Inc., Panasonic Corporation, Koninklijke Philips Electronics NV, and LG Electronics Inc.
Key Developments
- Major companies are focused on partnership and collaboration, in order to gain a competitive edge in the market. For instance, in January 2020, Panasonic Corporation collaborated with Klipsch to bring audiophile-quality high performance audio in car.
- Key market players are involved in product launches, in order to enhance the product portfolio. For instance, in March 2020, LG Electronics USA, a subsidiary of LG Electronics Inc., introduced 2020 Sound Bars.
Segmentation
