Industry Analysis & Industry Trends
Mobile phones have become a must-have item of the modern world. Although solid growth in mobile connections and continuing advances in product design and technology have fuelled consumer demand, the effects of these changes have not translated well into the retail market. Instead of experiencing record sales, industry operators have faced a difficult trading environment and revenue is expected to decline at a compound annual rate of 1.5% over the five years through 2013-14. Revenue has been limited by the mounting competition between operators, which has led to declines in the average price of phones and falling product margins. Revenue has also been influenced by trends in real personal disposable income and consumer sentiment.
Revenue is expected to contract by 1.4%... purchase to read more
Industry Report - Industry SWOT Analysis Chapter
The Mobile Telephone Retailers industry is in decline, although the mobile phone product is mature. Industry value added (IVA), a measure of the industry's contribution to overall economic growth, has contracted over the past five years, compared to solid growth prior to 2008-09. Over the 10 years through 2018-19, industry value added is expected to contract at a compound annual rate of 3.1%, compared to an expected slow expansion in UK GDP of 1.3% over the same period. The decline in value added will stem from a slowdown across the industry as the market reaches saturation. Analysis of enterprise numbers across the industry also support its declining life cycle phase, with the number of operators expected to contract at a compound annual rate 9.5% over the five years through 2013-14... purchase to read more