GfK Asia releases its 2005 Year End Pan Asian Consumer Electronics Data Summary today which highlights the trends in the region's consumer electronics sector for 2005 in several categories across Asia. The report includes data from 11 countries* overall, covering the following products: Televisions, conventional, LCD, plasma and rear projection; DVD and VCD recorder/players; Home audio systems, including Home theater and Micro/Mini systems; Personal head phone stereos, video camcorder, MP3 player, portable radio player and personal audio CD/MD players.


The Television category as a whole includes conventional TV, LCD, plasma and rear projection televisions. The most significant growth, both in volume and value across the region, was seen in the LCD market, which more than doubled the plasma volume but equaled plasma value over the same time period. This data highlights the continuing trend away from conventional TV and projection TV towards LCD and plasma screen.


Massive increases in LCD market volume and value were seen in Indonesia (535%/577%), China (456%/458%), Korea (417%/431%), and Malaysia (352%/376%) followed by Vietnam (260%/281%), Australia (252%/221%), and New Zealand (249%/174%). With all countries surveyed showing an overall increase over plasma televisions. This may be due to the lower power consumption requirements, quicker response time and larger screen sizes of the LCD as compared to the plasma. However, it's higher average unit price still allows a secure place in the market for price sensitive consumers who prefer the lower cost plasma.


The DVD recorder market grew significantly in all 11 Asian countries surveyed, with an average increase of 141% in volume, and a 78% increase in value. Normally a slow adopter, Australia posted surprising results with an increase in volume (188%) and a staggering increase in value (104%). This may be explained by the Australian consumer's greater desire for home recording of popular TV programming.


Vietnam showed an increase of 191% in volume and 119% in value in the Home theatre market, where other countries in the region ranged anywhere from a decrease of 19% volume to a maximum volume increase of only 14%.


A consistent decline in personal head phone stereos was seen in all 11 countries tracked. The largest decline was seen in Thailand (-67% volume), with the smallest decrease seen in Indonesia (-15% volume).


While the total MP3 market was up across the region, the most notable average increase in 2005 against 2004 was the MP3 with Hard Disk Drive over the MP3 with flash. In the five countries GfK tracked, all showed remarkable average volume growth of over 200% at year-end compared to the same time frame in 2004. Australia lead the region posting a 549% increase in volume size and an average value growth of 639% for MP3 with flash, and a 201% volume/ 171% value increase for MP3 with Hard Disk Drive, against the same period in 2004.


"Today's consumer is savvy; they are comparing every single dollar they pay per memory capacity they get and basing their purchases on best value. For instance, a 1G byte MP3 with flash has an average selling price of US$ 176 while a 5 G bytes MP3 with HDD is selling on an average of US$ 241. Our results show that consumers are willing to pay more for the greater increase in memory," commented Victor Chua, GfK Commercial Director of Consumer Electronics, Asia. "We do see a challenge to the MP3 market in South Korea where more and more mobile phone makers have integrated MP3 functions into their products. This technology will impact the demand for the MP3 players in this market."


The video camcorder results reveal the beginning of the end of the product life cycle with data showing negative to very limited average growth throughout the region.


About GfK Asia Pte Ltd


GfK Asia Pte Ltd (GfK Asia), part of the global GfK Group, is a leading research company with over 15 years experience in providing reliable Asian retail and technology market data. Our analysts track a broad range of consumer technology markets, including: consumer electronics, telecommunications, IT, household electrical appliances (large and small) as well as digital imaging. GfK Asia covers 55 product groups and over 300,000 models, collecting monthly data from over 6,000 specialist / independent shops as well as over 170 organized retailers with approximately 15,000 outlets. This disciplined methodology, together with tight field operational control in every country, allows GfK Asia to produce high quality reports containing reliable information that our clients can use with confidence.


Based in Singapore, with other offices in India and Japan, GfK Asia offers extensive coverage of the following countries: China, Singapore, Malaysia, Thailand, Indonesia, Korea, Taiwan, Hong Kong, Vietnam, and Australia. For further information please visit our website: http://www.gfkms.com .


About The GfK Group


The GfK Group is the No. 4 market research organization worldwide. Its activities cover five business divisions, Consumer Tracking, HealthCare, Retail and Technology, Media and Custom Research. In addition to 15 German subsidiaries, the company has over 120 subsidiaries and affiliates located in 57 countries. Of a current total of around 8,000 employees, approx. 1,500 are based in Germany. For further information, visit our website: http://www.gfk.com .


Notes:


* Countries surveyed for Televisions (incl. CRT flat and non-flat, LCD, Plasma and rear projection TV are China, South Korea, Taiwan, Hong Kong, Thailand, Malaysia, Vietnam, Singapore, Indonesia, New Zealand and Australia.


Survey data available upon request.


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