M.Video-Eldorado research: the computer hardware market has reached a high over the last six years

17.08.2020 12:01

17 August 2020, Moscow, Russia. M.Video-Eldorado Group (PJSC M.Video, MOEX: MVID), Russia's largest consumer electronics retailer and part of SAFMAR Group owned by Mikhail Gutseriev, reflects on the Russian retail computer hardware market in 1H 2020. Sales of laptops, PCs, monitors, desktops and printing devices totalled approximately 3.5 million devices in volume terms and RUB 90 billion in value terms, up 23% and 32% year-on-year, respectively. In volume terms, the sales in this category have grown by 15% since 2015. The demand was at its highest in March and April, driven by mass transition to remote working and e-learning during the lockdown. Every fifth device in Russia was bought from M.Video-Eldorado Group.

Laptops were the largest contributor, with their share in computer hardware sales reaching 45% in volume terms and 70% in value terms. Their sales grew by 35% in volume terms and 45% in value terms year-on-year. Every fourth laptop was bought from either M.Video or Eldorado. Domestic consumers were lapping up both standard computers for work and learning and more expensive gaming models, with the average price rising by 6% to RUB 40,500. The top 5 brands were Asus, Acer, Lenovo, HP, and Apple.

Alexey Pomozov, Head of Home Office at M.Video-Eldorado Group: The pandemic has radically changed our lives. Users are increasingly working and studying from home, with computer hardware becoming truly essential to maintain online routines. Apart from lockdown preparations in March, sales were also boosted by rouble depreciation and pent-up demand. March sales outpaced those of December 2019. The roaring demand continued into April, with online sales prevailing. The lockdown drove up sales in both devices for home offices and gaming models which feature higher performance and bright design. Laptops and PCs and accessories such as mice, keyboards, headsets and gaming chairs all enjoyed higher than the market average growth rates’.

The consumer monitor segment has been steadily growing for the fourth year in a row, up 21% in volume terms and 30% in value terms in January through June 2020. The average ticket increased by 8% to RUB 11,300. This was mainly driven by pent-up demand and greater affordability of new technologies. Consumers were replacing outdated equipment with models featuring 24-inch and larger screens, higher screen resolution and worth over RUB 15,000. The points of growth were gaming monitors with screen refresh rate of 144 Hz and higher, ultra-wide professional models with 21:9 aspect ratio and curved monitors. M.Video-Eldorado Group saw demand for monitors outpace the market average, adding nearly 34% in value terms year-on-year. Unlike laptops, HD monitors with larger screens are more comfortable for work and other daily routines and are set to be in high demand in the medium term.

Sales of consumer printing devices remained at the level of 2016 in volume terms, up 7% in volume terms and 6% in value terms year-on-year. MFDs account for two thirds of printer sales, up 6% in volume terms and 5% in value terms year-on-year, with users opting for low-energy and high-performance laser printers. Inkjet MFDs enjoyed the highest growth rate, up 12% in volume terms and 17% in value terms. Laser models also prevail in printer sales in volume terms. M.Video-Eldorado Group saw printer sales add 16% in value terms year-on-year, which is 2.5 times more than the market average.

In 1H 2020, Russian consumers’ appetite for personal computers rose by nearly 7% in volume terms but declined by 5% in value terms, with sales peaking in March. Russians tend to choose lower-priced devices worth up to RUB 25,000, as well as more expensive and powerful gaming models.