Consumer Electronics in Latin America

Delivery

This report comes in PPT.

Key findings

Peso devaluation adds to Argentinian woes

With inflation already stubbornly high, the new government in Argentina took the brave decision of slashing the value of the peso against the US dollar, hopefully with the short-term pain resulting in long-term gain. For consumers electronics, it meant a steep drop in sales in 2024, in spite of the fact that a big unit volume decline had already been seen in 2023.

Chinese brands making headway

Chinese brands have been gaining traction in consumer electronics in Brazil, and are expected to become more relevant over the forecast period. These brands are attracting consumers with their competitive pricing and ranges of feature-rich products, and they are present in almost all categories, especially mobile phones, home video and wearable electronics.

E-commerce continues gaining share

In spite of making big gains during the pandemic, the e-commerce channel has continued to capture more share in the post-COVID-19 period, valued for its convenience, wide range of products and competitive pricing. However, appliances and electronics specialists, which can offer in-store advice from experts and allow shoppers to interact with the latest devices and explore their features first-hand, remain the leading channel.

5G and AI set for further development

Continued deployment of 5G networks is expected in Mexico – and therefore greater adoption of devices compatible with this technology. This could spur the development of new devices and services that take advantage of the speed and low latency of 5G, particularly smartphones. AI is also expected to play an increasingly important role in consumer electronics in Mexico.