Market research specialists GfK says that the Japanese market for technical consumer goods (including telco-based products as well as eco-friendly TVs, fridges and air-conditioners) have slumped to their lowest volumes since 2008.
Quarterly sales were ranging from Yen 2.25 trillion (Q1/08) to a high point of Yen 2.73 trillion (Q4/2010) but the latest four quarters have seen miserable sales achieved despite government incentives for consumers to replace older power-hungry units in favour of more eco-friendly products.
Sales for the past four quarters have been, says GfK, 2.14, 2.14, 2.24 and 1.86 (all trillions of Yen). “The biggest factor that contributed to the decline was extraordinary demand in Q4 2010 caused by the rule change of the Eco point program (which provided subsidies for Eco-friendly TVs, refrigerators and air conditioners). In last October and November, consumers rushed out to purchase eligible products before the reduction of the subsidies,” adds GfK.
“The total revenue of the TCG market in 2011 was JPY 8.38 trillion, which is a decrease of 12.9 per cent. The implementation of the Eco-point program, and the rapid spread of flat panel TVs in preparation for the analogue shut-down, has accelerated Japanese market growth in the last three years.
“However, these positive factors are not set to continue in 2012. It is expected that the revenue of the Japanese TCG market in 2012 will be less than in 2011,” says GfK.