Retail trend tracker NPD Group predicts that electronics sales will be down in Q4. From Crains:
Only 38% of the nearly 2,000 customers surveyed plan to buy electronics during the all-important fourth-quarter shopping season this year. That’s a sharp downturn from 2006, when 51% of customers surveyed bought electronics.
“The consumer, for the last two years, looked at electronics because there were new products driving business, whether it was big-screen TVs or iPods,” says Marshal Cohen, chief analyst at NPD. “This year, it’s really about upgrading what you already have, and that’s not going to drive customers into the stores.”
If NPD’s fortune-telling holds up, that’s not just bad news for gadget-makers. It’s bad news for both the music and movie businesses, both of which depend on big box retailers to sell their stuff to shoppers who’ve come in for something else. Crain’s