BDI: Home computer sales down 20% to NIS 1b in 2001

PC prices declined 10%, compared with 2000.

A survey by Business Data Israel (BDI) indicated that sales of PCs to the home market amounted to NIS 1 billion in 2001, down 20%, compared with 2000.

The figures show that 200,000 computers were sold in Israel last year, compared with 250,000 in 2000. Sales to the home market constituted half of the computer sales in Israel, while the business market accounted for the rest.

An estimated 1,000 sales points marketing PCs to the private market operate in Israel, of which 140 belong to the retail chains, while the rest are private stores. 11 major retail chains market computers to private parties, of which seven specialize in computers and accompanying equipment.

The survey also showed that in contrast with many other markets, private stores hold the largest PC market share. Private and neighborhood stores sell 70-75% of PCs sold, while 25-30% of PCs are sold in stores of the specialist chains belonging to the retail chains.

BDI's research indicates that the retail chains charge an average of 10% more for computers than private stores. The average price of a home desktop PC is NIS 5,000, 10% lower than in 2000. The average price of a portable computer was an estimated NIS 7,000-8,000, compared with NIS 10,000 in 2000.

Published by Israel's Business Arena on April 8, 2002

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