CONSUMER ELECTRONICS IN

THE PHILIPPINES
Euromonitor International
December 2013
CONSUMER ELECTRONICS IN THE PHILIPPINES Passport I

LIST OF CONTENTS AND TABLES

Executive Summary ..................................................................................................................... 1
Stable Industry Growth Due To Good Economic Conditions in 2012........................................ 1
Polarisation in Consumers’ Brand Choices ............................................................................... 1
Experts Endorse the Japanese Digital Broadcasting System ................................................... 1
Continuous Industry Growth Is Expected Over the Forecast Period ......................................... 1
Online Shopping Portal Lazada Becomes Available in the Philippines ..................................... 1
Key Trends and Developments .................................................................................................... 2
Economic Stability Stimulates Demand for Better Brands and Products .................................. 2
Rocket Internet GmbH Launches An Online Shopping Portal in the Philippines ...................... 3
National Telecommunications Commission Favours the Japanese System ............................. 4
the Younger Generation Becomes An Increasingly-important Consumer Group ...................... 5
Credit Cards Assist in the Improvement of Household Penetration .......................................... 5
Market Data .................................................................................................................................. 6
Table 1 Sales of Consumer Electronics by Category: Volume 2007-2012 ................ 6
Table 2 Sales of Consumer Electronics by Category: Value 2007-2012 ................... 7
Table 3 Sales of Consumer Electronics by Category: % Volume Growth 2007-
2012 ............................................................................................................. 7
Table 4 Sales of Consumer Electronics by Category: % Value Growth 2007-
2012 ............................................................................................................. 7
Table 5 NBO Company Shares of Consumer Electronics: % Volume 2008-
2012 ............................................................................................................. 7
Table 6 LBN Brand Shares of Consumer Electronics: % Volume 2009-2012 ........... 8
Table 7 Distribution of Consumer Electronics by Format: % Volume 2007-
2012 ............................................................................................................. 9
Table 8 Forecast Sales of Consumer Electronics by Category: Volume 2012-
2017 ........................................................................................................... 10
Table 9 Forecast Sales of Consumer Electronics by Category: Value 2012-
2017 ........................................................................................................... 10
Table 10 Forecast Sales of Consumer Electronics by Category: % Volume
Growth 2012-2017 ..................................................................................... 10
Table 11 Forecast Sales of Consumer Electronics by Category: % Value
Growth 2012-2017 ..................................................................................... 11
Sources ...................................................................................................................................... 11
Summary 1 Research Sources ...................................................................................... 11

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CONSUMER ELECTRONICS IN THE PHILIPPINES Passport 1

CONSUMER ELECTRONICS IN THE

PHILIPPINES
EXECUTIVE SUMMARY

Stable Industry Growth Due To Good Economic Conditions in 2012

The Philippine economy grew by 7% in 2012, surpassing market, government and financial
institutions’ expectations. This better-than-expected outcome can be attributed to high
government spending and strong performances from trade, real estate, manufacturing and
construction. With higher consumer confidence, Filipinos were more willing to spend on
consumer electronics, buying new products to upgrade or for first-time ownership. As a result, in
2012, consumer electronics posted stable volume growth and many categories recorded an
improvement in household penetration.

Polarisation in Consumers’ Brand Choices

In the Philippines, there is a broad selection of brands and product models within most
categories of consumer electronics. Despite healthy economic conditions, some Filipinos
continued to favour low-priced and lesser-known brands. Many consumers, however, opted for
well-established labels and premium product lines because of better quality and additional
features. Hence, consumer preferences varied significantly and polarisation in brand choices
became more evident in 2013, particularly within tablets, smartphones and digital TVs.

Experts Endorse the Japanese Digital Broadcasting System

The National Telecommunications Commission publicised in 2012 that it was set to
recommend the Japanese Integrated Services Digital Broadcast-Terrestrial system as the digital
broadcasting standard. The decision was based on the affordability and the built-in early-
warning system for impending disasters, which is seen to be useful as the Philippines is prone
to natural catastrophes because of its archipelagic nature. President Aquino, however, had not
given final approval on the chosen technology as at the end of the review period. Although the
type of broadcast standard had yet to be finalised, sales of both analogue and digital TVs have
been affected by the impact of the announced switchover.

Continuous Industry Growth Is Expected Over the Forecast Period

The Philippine economy is expected to maintain moderate GDP growth in 2014 and 2015 due
to strong macroeconomic fundamentals, government reform efforts, robust domestic spending
and increased investment inflow. Consumer electronics is anticipated to record a positive sales
performance in volume and constant value terms over the forecast period, benefiting from
economic stability, a shift in consumer preferences and mandatory technological upgrades.

Online Shopping Portal Lazada Becomes Available in the Philippines

In the Philippines, internet retailing was still in its infancy as at the end of the review period.
German e-commerce company Rocket Internet GmbH launched Lazada.com.ph, an online
shopping portal closely patterned after Amazon.com, in the first half of 2012. The e-retailer
offered a broad selection of consumer electronics, consumer appliances, travel and luggage,
and beauty and personal care products, among others. To an extent, improved access to

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CONSUMER ELECTRONICS IN THE PHILIPPINES Passport 2

internet services and the establishment of Lazada.com.ph stimulated usage of internet retailing,
as the convenience of buying consumer electronics at any given time and from any location, and
having different payment methods, including cash on delivery, appealed to many Filipinos.

KEY TRENDS AND DEVELOPMENTS

Economic Stability Stimulates Demand for Better Brands and Products

The Philippine economy improved by 7% in 2012, significantly higher than the recorded
increase of 4% in 2011. This GDP growth surpassed the expectation of the market, government
and financial institutions, which was in the 5% to 6% range. Trade, real estate, manufacturing,
and construction were the main growth drivers, although high government spending, strong
domestic consumption and a recovery in exports also contributed to the country’s better-than-
expected performance in 2012. Hence, from a macroeconomic perspective, growth started to
become more sustainable.

Current impact
The consumer electronics industry benefited from the nation’s relatively-strong economic
performance in 2012, as stable economic conditions brought about an improvement in
consumer confidence. With better job and financial security, Filipinos were more willing to spend
on both essential and non-essential products and services, as well as invest in higher-end
models and better-known brands.
Both Samsung Electronics Philippines Corp and Apple recorded robust volume sales
improvements in 2012. Known for their premium-priced and function-heavy smartphones and
tablets and other portable computers, more Filipinos purchased the highly-coveted brands of
Galaxy, iPhone and iPad despite the widespread availability of economy labels and more
affordable models. As a result, Samsung Electronics Philippines Corp maintained leadership
while Apple remained in second position in these two categories.

Outlook
According to the World Bank’s forecast, the Philippines’ GDP is anticipated to grow by 6% in
both 2013 and 2014. The Aquino administration’s targets, however, are slightly higher than
those of the Washington-based lender, aiming for 6% to 7% growth in 2013 and 7% to 8% in
2014. The country’s strong macroeconomic fundamentals, the government’s reform efforts, and
a forecast increase in investment inflow as a result of Fitch Ratings’ recent upgrade of the
nation’s credit rating are expected to sustain a healthy economic performance in the first two
years of the forecast period.

Future impact
Aside from the bright economic outlook of the country, some categories within consumer
electronics are expected to benefit from mandatory technological upgrades and shifts in
consumer preferences over the forecast period. For instance, volume sales of digital TVs are
expected to record robust growth at a CAGR of 20% over the forecast period because of the
digital broadcasting switchover, which is projected to be completed by 2016. Tablets and other
portable computers, and smartphones are also anticipated to register strong improvements in
retail volume sales over the forecast period, at CAGRs of 46% and 20% respectively, as a result
of Filipinos’ increasing preference for multi-functional and convenience devices.

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CONSUMER ELECTRONICS IN THE PHILIPPINES Passport 3

Rocket Internet GmbH Launches An Online Shopping Portal in the

Philippines
German e-commerce company Rocket Internet GmbH entered the Philippines in 2012,
launching an online shopping portal called Lazada. Closely patterned after Amazon.com, the
website offers a wide product assortment in categories such as consumer electronics, consumer
appliances, books and stationery, travel and luggage, beauty and personal care, and apparel,
among others. The e-retailer heavily invested in building awareness, as well as offering free
shipping, various payment methods, and highly-attractive promotions to stimulate online
purchases.

Current impact
Despite the increasing presence of online stores in the Philippines, internet retailing remained
in its infancy as at the end of the review period. Many consumers continued to make purchases
in independent and chained bricks-and-mortar outlets. The relatively-slow acceptance of online
shopping was attributable to low household penetration of internet services, low levels of
ownership of computers and financial cards, and consumers’ security concerns over online
payments. Nonetheless, the option of cash on delivery and the rising popularity of smartphones
helped improve usage of internet retailing in 2012.
The establishment of Lazada.com.ph further stimulated online shopping of consumer
electronics, although the impact of the e-retailer’s entry was not yet that significant in 2012.
Unlike chained consumer electronics and appliance specialist retailers, Lazada was aggressive
in building awareness, and offered a wide selection of products and attractive price promotions,
which appealed to many Filipinos. The convenience of being able to compare brands, models
and prices, and buy consumer electronics at any given time and from any location prompted
some consumers to trial and continue to use internet retailing in 2012.

Outlook
E-commerce is expected to take off over the forecast period, as internet service providers
begin to upgrade their infrastructures and expand their networks, and are expected to offer
more-affordable and flexible subscription plans. The anticipated increase in online shopping will
be attributable to more Filipinos with internet access at home and on their mobile phones, and
banks’ efforts to improve online payment security by offering virtual credit cards and adding one-
time pin code requests before a transaction is processed.

Future impact
More Filipinos are expected to become open to buying products online over the forecast
period. As Filipinos have busy lifestyles and heavy road traffic persists, consumers are expected
to look for more convenient options for purchasing consumer electronics. Hence, incumbent
players without websites are encouraged to expand their presence online to improve
accessibility and benefit from the expected growth of internet retailing over the forecast period.
It is recommended that e-retailers and chained electronics and appliance specialist retailers
with online stores emphasise convenience, offer exclusive promotions online, expand product
and brand ranges, provide more detailed product information for better comparison, and
establish 24/7 client support to encourage time-pressed Filipinos to use internet retailing.
Investing in research is also suggested in order to identify key product areas and possible new
services to enhance the consumer shopping experience and further stimulate online purchases
over the forecast period.

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CONSUMER ELECTRONICS IN THE PHILIPPINES Passport 4

National Telecommunications Commission Favours the Japanese

System
In 2012, the National Telecommunications Commission (NTC) announced that it was set to
recommend the Japanese Integrated Services Digital Broadcast-Terrestrial (ISDB-T) system as
the national digital broadcasting standard. A key factor in the choice of platform was the
affordability of ISDB-T compared to the European Digital Video Broadcasting-Terrestrial 2 (DVB-
T2). Another factor of consideration was the built-in early warning system for impending
disasters, as the country is prone to natural calamities due to its archipelagic composition;
however, as at the end of 2012, President Aquino had not given final approval for the Japanese
technology.

Current impact
Roughly around 90% of Filipino households rely on free-to-air TV, with limited channel
choices and often poor reception and sound, as most cannot afford to subscribe to digital cable
TV services. Upon the announcement of the mandatory shut down of analogue services, major
commercial broadcasters invested huge sums of money to upgrade their systems. In 2012,
ABS-CBN and GMA, the two main networks, continued to wait for the Aquino administration’s
final decision on the country’s broadcasting standard, as the choice will determine the type of
digital transmitter needed to air high-definition content to the public.
Although the type of broadcasting standard was yet to be finalised as at the end of the review
period, the announced switchover coupled with the widespread availability of low-priced digital
TVs resulted in a shift in consumer preferences. Volume sales of analogue TVs continued to
plummet in 2012, while demand for its digital counterpart increased at a robust pace.
Nonetheless, analogue units still generated a larger number of volume sales and remained
widely in use across the country, as many Filipinos tried to extend the lives of their existing
units.

Outlook
In the early part of the forecast period, President Aquino is anticipated to approve the
Japanese system due to its suitability for the country. Despite the delays, completion of the
compulsory switchover from analogue to digital broadcasting is expected before the end of the
Aquino administration in 2016. Major television networks and cable companies are also
expected to have fully migrated to the newer technology towards the end of the forecast period,
adhering to the mandatory shut down of analogue signals by the end of 2015.

Future impact
Both consumers and television networks are expected to benefit from the forthcoming
switchover. First, all households will receive high-definition content from free-to-air TV channels.
Second, media providers can expand their content and offer more shows because digital
broadcasting uses a smaller radio spectrum, resulting in potentially-higher profits and more
viewing choices for Filipinos. The biggest challenge, however, is to convince all consumers to
upgrade their television sets, or at least purchase a set top box – a device that enables
analogue TVs to restore signals lost due to the digital transition – to be able to continue to use
their existing units.
The change from inefficient analogue signals to digital broadcasting is expected to have a
significant impact on televisions and converters. As analogue TVs reach the end of their product
cycle, volume sales are projected to plummet, while its digital counterpart is predicted to record
double-digit growth over much of the forecast period. Upper/middle-income households are
expected to upgrade to LCD and Plasma TVs. Although digital TVs are becoming more

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affordable, low-income Filipinos are anticipated to favour set top boxes, as they are more
economical. Hence, demand for converters is expected to rise over the forecast period.

the Younger Generation Becomes An Increasingly-important Consumer

Group
Dual-income households are becoming the norm in the Philippines, as more middle-class
women are joining the workforce because of the rising cost of living, particularly in urban areas
of the country. This is resulting in parents spending less time with their children. With longer
working hours, many parents feel guilty and resort to buying their youngsters expensive gifts to
compensate for their lack of time together, or for some, their occasional absence.

Current impact
About one-third of the Philippine population is aged under 15. Many of these youngsters come
from dual-income families where both parents are working. With higher disposable incomes to
spend, parents are able to buy much more of what their children want and often spoil them to
make up for the limited quality time spent together.
At an early age, the younger generation, at least those from affluent and upper/middle-income
households, are exposed to technology because many parents hand over their old units to their
children once they have upgraded to the latest models. As a result, many youngsters become
technologically aware and request consumer electronics as presents from their parents. Hence,
to some extent, sales of products such as smartphones and tablets benefit from this consumer
group, as these products became the must-haves of those aged 10-19 in 2012.

Outlook
This trend is expected to continue over the forecast period. Younger consumers are
anticipated to gain more influence over their parents who have less time for their children
because both are working long hours. Parents will continue to feel guilty and try to compensate
for the lack of quality time together through gift giving. Although many mothers may want to cut
back on working, this is not an option for most because of the rising cost of living in the country.

Future impact
The younger generation is expected to become one of the more important consumer groups
over the forecast period. They are anticipated to have a greater influence on purchasing
decisions, as parents are expected to give in more to their children regarding purchases due to
guilt. These technologically-aware youngsters are expected to ask for their own products,
whether computers, tablets or smartphones, instead of sharing them with the whole family.
Manufacturers and distributors are, therefore, advised to target the younger generation.
Although they are not the ones making purchases, they are able to influence their parents into
buying them expensive gadgets. Hence, players competing in computers and mobile phones
are recommended to position some of their models, new or existing, as specifically designed for
this group of consumers to further stimulate demand and improve sales over the forecast period.

Credit Cards Assist in the Improvement of Household Penetration

Financial institutions heavily promoted new credit card ownership and tried to increase their
daily usage in 2012. Both card operators and issuers were aggressive with their marketing
campaigns, highlighting the benefits of using credit cards over cash. Companies gave out free
gifts that appeal to consumers to encourage applications and offered instant rewards and
discounts, and ran other promotions to stimulate credit card payments among existing
cardholders in 2012.

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CONSUMER ELECTRONICS IN THE PHILIPPINES Passport 6

Current impact
More Filipinos were able to own credit cards due to higher salaries and the increasing
availability of basic cards, such as the Bank of the Philippine Islands’ Blue MasterCard and
Metrobank’s M Free MasterCard, which have relatively-low annual income requirements and
minimal or zero annual membership fees. As a result, a broader group of consumers gained
access to consumer credit in 2012. To some extent, this assisted in stimulating demand for
computers, home audio and cinema, and digital imaging devices.
Consumer electronics and appliance specialist retailers continued to offer flexible credit card
payment alternatives, such as zero interest and buy-now-pay-later schemes. The acceptance of
this partnership with banks remained high among Filipinos because it enabled them to own
products that they otherwise might not have been able to afford, especially if full payment was
the only option. As a result, big-ticket items became more affordable, resulting in an
improvement in household penetration for many consumer electronics products, including digital
TVs, computers, and SLR digital cameras.

Outlook
Personal credit card ownership was still relatively low in the Philippines as at the end of the
review period, although it is projected to improve over the forecast period. Banks and financial
card operators are expected to play an important role in increasing ownership rates, as these
companies are anticipated to continue with their aggressive marketing and advertising
campaigns to educate Filipinos on the many benefits of owning and using a credit card.

Future impact
Personal credit card ownership among the middle class is expected to increase over the
forecast period. Many of these well-educated consumers are expected to qualify for the
minimum annual income requirement for owning a credit card due to their relatively-high
salaries. Consequently, more Filipinos are expected to have access to consumer credit, which is
beneficial for the consumer electronics industry.
Product areas with high-cost items, such as home video, home audio and cinema, computers
and digital imaging devices, are expected to improve their household penetration over the
forecast period due to increased credit card ownership in the country. Many Filipinos are
expected to be able to afford expensive consumer electronics because of the availability of
attractive instalment schemes from banks and chained retailers, which allow buyers to spread
payments between six to twelve months without incurring interest.

MARKET DATA
Table 1 Sales of Consumer Electronics by Category: Volume 2007-2012

'000 units
2007 2008 2009 2010 2011 2012

Computers and Peripherals 1,590.8 1,770.5 1,892.7 2,079.3 2,087.0 2,120.3

In-Car Entertainment 30.0 35.5 43.8 48.2 54.2 62.4
In-Home Consumer 2,813.8 2,922.3 2,993.2 3,022.7 3,050.2 3,076.7
Electronics
Portable Consumer 7,142.9 7,934.7 8,579.0 9,387.1 10,022.2 10,622.4
Electronics
Consumer Electronics 11,577.5 12,662.9 13,508.7 14,537.3 15,213.7 15,881.9

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CONSUMER ELECTRONICS IN THE PHILIPPINES Passport 7

Source: Euromonitor International from official statistics, trade associations, trade press, company research,
store checks, trade interviews, trade sources

Table 2 Sales of Consumer Electronics by Category: Value 2007-2012

Ps million
2007 2008 2009 2010 2011 2012

Computers and Peripherals 44,673.9 47,191.9 46,524.8 48,422.5 46,622.2 48,765.7

In-Car Entertainment 281.7 325.8 445.2 498.2 544.4 578.7
In-Home Consumer 27,559.7 29,370.9 30,001.6 31,621.5 33,975.2 36,479.9
Electronics
Portable Consumer 42,002.2 43,632.7 45,127.3 50,575.7 57,323.1 61,798.8
Electronics
Consumer Electronics 114,517.5 120,521.3 122,098.9 131,118.0 138,464.9 147,623.1
Source: Euromonitor International from official statistics, trade associations, trade press, company research,
store checks, trade interviews, trade sources

Table 3 Sales of Consumer Electronics by Category: % Volume Growth 2007-2012

% volume growth
2011/12 2007-12 CAGR 2007/12 Total

Computers and Peripherals 1.6 5.9 33.3

In-Car Entertainment 15.0 15.8 108.1
In-Home Consumer Electronics 0.9 1.8 9.3
Portable Consumer Electronics 6.0 8.3 48.7
Consumer Electronics 4.4 6.5 37.2
Source: Euromonitor International from official statistics, trade associations, trade press, company research,
store checks, trade interviews, trade sources

Table 4 Sales of Consumer Electronics by Category: % Value Growth 2007-2012

% current value growth

2011/12 2007-12 CAGR 2007/12 Total

Computers and Peripherals 4.6 1.8 9.2

In-Car Entertainment 6.3 15.5 105.4
In-Home Consumer Electronics 7.4 5.8 32.4
Portable Consumer Electronics 7.8 8.0 47.1
Consumer Electronics 6.6 5.2 28.9
Source: Euromonitor International from official statistics, trade associations, trade press, company research,
store checks, trade interviews, trade sources

Table 5 NBO Company Shares of Consumer Electronics: % Volume 2008-2012

% retail volume
Company 2008 2009 2010 2011 2012

Samsung Electronics 6.6 7.3 12.0 18.0 21.7

Philippines Corp
Nokia Philippines Inc 33.2 31.7 26.3 18.3 10.4
Cosmic Technologies Inc - 0.7 2.0 5.7 8.4
LG Electronics 3.0 4.0 4.3 5.8 7.7

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Philippines Inc
Apple Inc 1.6 2.4 3.2 3.9 4.8
Sony Philippines Inc 2.3 2.4 2.6 2.3 3.4
TCL Sun Inc 4.4 4.4 4.1 3.6 3.0
Canon Marketing 2.2 2.3 2.6 2.7 2.6
Philippines Inc
Acer Philippines Inc 3.2 3.2 3.2 2.8 2.4
Hewlett-Packard 2.9 2.7 2.3 2.0 1.7
Philippines Corp
Philips Electronics & 1.9 1.9 1.8 1.7 1.6
Lighting Inc
Epson Philippines Corp 1.2 1.2 1.2 1.2 1.2
Panasonic Mfg 0.7 0.8 0.8 0.9 1.0
Philippines Corp
Haier Electrical - - - - 1.0
Appliances Philippines
Inc
Nikon Corp 0.7 0.8 0.9 1.0 1.0
HTC Corp 0.2 0.4 0.8 1.0 0.9
Sharp Philippines Corp 3.3 2.6 2.1 1.5 0.9
Research in Motion Ltd 0.2 0.3 0.5 0.8 0.7
Huawei Technologies - - - 0.3 0.7
Philippines Inc
Maclin Electronics Inc 0.8 0.8 0.7 0.7 0.7
Asus Technology 0.8 0.7 0.7 0.6 0.5
Philippines Inc
Dell Inc 0.2 0.3 0.5 0.5 0.5
Olympus Optical 0.4 0.4 0.5 0.5 0.5
Technology Philippines
Inc
Lenovo Group Ltd 0.2 0.4 0.5 0.4 0.4
Neo Mfg & Services Inc 0.2 0.3 0.3 0.3 0.3
Pioneer Corp 0.6 0.5 0.4 0.3 0.3
Micro-Star 0.4 0.4 0.3 0.3 0.3
International Co Ltd
ViewSonic Corp 0.3 0.3 0.3 0.3 0.2
Toshiba Corp 0.2 0.2 0.2 0.1 0.1
Motorola Philippines Inc 2.5 1.9 1.6 0.7 0.1
Sony Ericsson 10.7 9.5 6.8 3.2 -
Philippines Inc
Sanyo (Philippines) Inc 2.7 2.3 1.9 1.4 -
Kodak Philippines Ltd 0.2 0.1 0.1 - -
Others 12.2 12.6 14.5 17.2 20.9
Total 100.0 100.0 100.0 100.0 100.0
Source: Euromonitor International from official statistics, trade associations, trade press, company research,
store checks, trade interviews, trade sources

Table 6 LBN Brand Shares of Consumer Electronics: % Volume 2009-2012

% retail volume
Brand Company 2009 2010 2011 2012

Samsung Samsung Electronics 7.3 12.0 17.9 21.2

Philippines Corp
Nokia Nokia Philippines Inc 31.7 26.3 18.3 10.4
Cherry Cosmic Technologies Inc 0.7 2.0 5.7 8.4
LG LG Electronics 4.0 4.3 5.8 7.7
Philippines Inc
Sony Sony Philippines Inc 1.9 2.0 1.9 3.2

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TCL TCL Sun Inc 4.4 4.1 3.6 3.0

iphone Apple Inc 0.9 1.5 2.1 2.8
Canon Canon Marketing 2.3 2.6 2.7 2.6
Philippines Inc
Acer Acer Philippines Inc 3.2 3.2 2.8 2.4
HP Hewlett-Packard 2.7 2.3 2.0 1.7
Philippines Corp
Philips Philips Electronics & 1.9 1.8 1.7 1.6
Lighting Inc
Epson Epson Philippines Corp 1.2 1.2 1.2 1.2
iPod Apple Inc 1.2 1.2 1.1 1.1
Panasonic Panasonic Mfg 0.8 0.8 0.9 1.0
Philippines Corp
Sanyo Haier Electrical - - - 1.0
Appliances Philippines Inc
Nikon Nikon Corp 0.8 0.9 1.0 1.0
HTC HTC Corp 0.4 0.8 1.0 0.9
Sharp Sharp Philippines Corp 2.6 2.1 1.5 0.9
Blackberry Research in Motion Ltd 0.3 0.5 0.8 0.7
Huawei Huawei Technologies - - 0.3 0.7
Philippines Inc
Promac Maclin Electronics Inc 0.8 0.7 0.7 0.7
Asus Asus Technology 0.7 0.7 0.6 0.5
Philippines Inc
Dell Dell Inc 0.3 0.5 0.5 0.5
Olympus Olympus Optical 0.4 0.5 0.5 0.5
Technology Philippines Inc
Galaxy Tab Samsung Electronics - 0.0 0.2 0.5
Philippines Corp
iPad Apple Inc - 0.1 0.2 0.4
Lenovo Lenovo Group Ltd 0.4 0.5 0.4 0.4
MacBook Apple Inc 0.2 0.3 0.3 0.4
Neo Neo Mfg & Services Inc 0.3 0.3 0.3 0.3
Pioneer Pioneer Corp 0.5 0.4 0.3 0.3
Sony Ericsson Sony Ericsson 9.5 6.8 3.2 -
Philippines Inc
Sanyo Sanyo (Philippines) Inc 2.3 1.9 1.4 -
Motorola Motorola Philippines Inc 1.9 1.6 0.7 -
Others 14.2 16.1 18.4 22.0
Total 100.0 100.0 100.0 100.0
Source: Euromonitor International from official statistics, trade associations, trade press, company research,
store checks, trade interviews, trade sources

Table 7 Distribution of Consumer Electronics by Format: % Volume 2007-2012

% retail volume
2007 2008 2009 2010 2011 2012

Store-Based Retailing 99.8 99.7 99.7 99.6 99.5 99.3

- Grocery Retailers 0.7 0.8 0.8 0.8 0.8 0.9
-- Discounters - - - - - -
-- Hypermarkets 0.7 0.8 0.8 0.8 0.8 0.9
-- Supermarkets - - - - - -
- Non-Grocery Retailers 98.8 98.7 98.6 98.5 98.4 98.1
-- Electronics and 95.5 94.6 94.3 93.6 93.4 92.9
Appliance Specialist
Retailers
-- Mixed Retailers 3.3 4.1 4.3 4.9 5.0 5.2
- Other store-based 0.3 0.3 0.3 0.3 0.3 0.4

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retailing
Non-Store Retailing 0.2 0.3 0.3 0.4 0.5 0.7
- Direct Selling - - - - - -
- Homeshopping - - - - - -
- Internet Retailing 0.2 0.3 0.3 0.4 0.5 0.7
Total 100.0 100.0 100.0 100.0 100.0 100.0
Source: Euromonitor International from official statistics, trade associations, trade press, company research,
store checks, trade interviews, trade sources

Table 8 Forecast Sales of Consumer Electronics by Category: Volume 2012-2017

'000 units
2012 2013 2014 2015 2016 2017

Computers and Peripherals 2,120.3 2,374.9 2,677.0 2,937.1 3,090.1 3,153.2

In-Car Entertainment 62.4 70.9 79.7 87.1 93.5 98.1
In-Home Consumer 3,076.7 3,101.9 3,129.9 3,163.5 3,205.2 3,259.7
Electronics
Portable Consumer 10,622.4 10,838.0 10,922.1 10,878.8 10,813.6 10,752.6
Electronics
Consumer Electronics 15,881.9 16,385.8 16,808.7 17,066.5 17,202.4 17,263.6
Source: Euromonitor International from trade associations, trade press, company research, trade interviews,
trade sources

Table 9 Forecast Sales of Consumer Electronics by Category: Value 2012-2017

Ps million
2012 2013 2014 2015 2016 2017

Computers and Peripherals 48,765.7 54,709.1 59,733.9 63,530.6 65,672.3 66,237.1

In-Car Entertainment 578.7 616.7 658.9 695.9 722.1 740.2
In-Home Consumer 36,479.9 44,084.4 50,267.2 54,323.5 56,524.4 58,291.1
Electronics
Portable Consumer 61,798.8 67,297.6 72,316.2 76,954.4 80,351.3 82,966.7
Electronics
Consumer Electronics 147,623.1 166,707.8 182,976.2 195,504.5 203,270.2 208,235.1
Source: Euromonitor International from trade associations, trade press, company research, trade interviews,
trade sources

Table 10 Forecast Sales of Consumer Electronics by Category: % Volume Growth

2012-2017

% volume growth
2016/17 2012-17 CAGR 2012/17 Total

Computers and Peripherals 2.0 8.3 48.7

In-Car Entertainment 5.0 9.5 57.3
In-Home Consumer Electronics 1.7 1.2 5.9
Portable Consumer Electronics -0.6 0.2 1.2
Consumer Electronics 0.4 1.7 8.7
Source: Euromonitor International from trade associations, trade press, company research, trade interviews,
trade sources

© Euromonitor International
CONSUMER ELECTRONICS IN THE PHILIPPINES Passport 11

Table 11 Forecast Sales of Consumer Electronics by Category: % Value Growth 2012-

2017

% constant value growth

2012-17 CAGR 2012/17 TOTAL

Computers and Peripherals 6.3 35.8

In-Car Entertainment 5.0 27.9
In-Home Consumer Electronics 9.8 59.8
Portable Consumer Electronics 6.1 34.3
Consumer Electronics 7.1 41.1
Source: Euromonitor International from trade associations, trade press, company research, trade interviews,
trade sources

SOURCES
Sources used during research include the following:

Summary 1 Research Sources

Trade Associations Computer Manufacturers Distributors &
Dealers Association of the Philippines
(COMDDAP)
Trade Press Computer World Philippines
Gadgets Magazine
PC World Philippines
SPH Magazines Pte Ltd
Techindustriya.com
Yugatech.com
Zoneitech.com
Source: Euromonitor International

© Euromonitor International