Holiday Tech Shoppers Balancing Smart Technology Choices with Price Concerns, Finds ABI Research Survey

SCOTTSDALE, Ariz.--(BUSINESS WIRE)-- How has the ever-increasing flood of new tech devices – and information about them – affected consumers in the United States? Is belt-tightening a factor in buyers’ consumer electronics purchasing decisions?

To find out, ABI Research conducted a survey of 2000 US consumers in August, 2010. Participants were asked about their technology purchasing plans in the next six months and the features they most (and least often) wanted in the devices on their wish-lists. The results are enlightening in view of the actual retail environment observed during the 2010 holiday shopping season.

In broad terms, the survey revealed that for most products (game consoles and Internet appliances excepted) price was uppermost in shoppers’ minds. (For game consoles, brand outranked price as the most important factor. Price was also less critical for Internet appliances because many products carry similar pricetags.)

According to industry analyst Michael Inouye, “Price-consciousness could easily explain how the TV manufacturers ended up with surplus stock: higher-end TVs did not fare as well as expected. It also forced many retailers and TV makers to offer incentives, either discounts or bundles. In many cases these bundles included 3D glasses, Blu-ray players or game consoles.” Nonetheless, many survey respondents said they intended to delay major purchases beyond the 6-month “window” of the survey questions.

Best Buy had a rather poor shopping season this year, with lower sales than anticipated, and some loss of market share. Inouye believes that too related to price-awareness: “Best Buy, from what we could see, just didn't discount as deeply as its competitors.”

Primary research director Janet Wise also believes that consumers are better-educated about tech products now. “In the past, consumers may have known little about what was available and instead focused on brand, or on the advice of the retailer. Now we see more savvy consumers who look for the greatest value as well as the best prices.”

ABI Research’s “Consumer Technology Barometer: The Connected Home (Q3 2010)” (http://www.abiresearch.com/research/1006390) provides insights into US consumers’ attitudes, awareness, usage patterns, purchase intentions and purchasing criteria for HDTVs, Blu-ray players, video game consoles, DVRs, digital photo frames, standard DVD players, Internet adapter boxes, Internet appliances, and media servers.

It is included in two ABI Research Services: Connected Home (http://www.abiresearch.com/products/service/Connected_Home_Devices_Research_Service) and Digital Living (http://www.abiresearch.com/products/service/Digital_Living_Research_Service).

ABI Research provides in-depth analysis and quantitative forecasting of trends in global connectivity and other emerging technologies. From offices in North America, Europe and Asia, ABI Research’s worldwide team of experts advises thousands of decision makers through 30+ research and advisory services. Est. 1990. For more information visit www.abiresearch.com, or call +1.516.624.2500.

CONTACT:

ABI Research
Christine Gallen, +1-516-624-2542
pr@abiresearch.com

KEYWORDS:   United States  Europe  Asia Pacific  North America  Arizona

INDUSTRY KEYWORDS:   Women  Catalog  Technology  Consumer Electronics  Online Retail  Hardware  Internet  Audio/Video  Photography  Office Products  Mobile/Wireless  Teens  Retail  Communications  Advertising  Marketing  Specialty  Consumer  Men

MEDIA:

Logo