Industry Analysis & Industry Trends
Although consumer demand has been fuelled by solid growth in the number of mobile connections and continuing advances in product design and technology, these changes have not translated well into the retail market. Instead of record sales, industry operators have faced a difficult trading environment. Revenue is expected to decline at a compound annual rate of 0.7% over the five years through 2014-15, due to mounting competition between operators leading to shrinking profit margins and declines in the average price of phones. Trends in real personal disposable income and consumer sentiment have also played their part in limiting revenue. In 2014-15 revenue is forecast to increase by 1.5% as economic conditions ease... purchase to read more
Industry Report - Industry Analysis Chapter
Competition and subdued economic conditions have negatively affected the trading landscape for mobile telephone retailers over the five years through 2014-15. Industry revenue is estimated to decline at a compound annual rate of 0.7% over that period. Subdued economic conditions resulted in disposable income and consumer confidence falling at the start of the period. However, performance has been bolstered by a trend in consumer preferences towards higher value items and the roll-out of new technology such as 4G.
Mobile telephone retailers have faced a difficult time over much of the five-year period, with industry revenue estimated to decline from £3.1 billion in 2009-10 to £3 billion by 2014-15... purchase to read more