Digital Cameras Doing Billions At Retail
A picture has been worth a thousand words for years. Now it’s also worth billions of dollars in retail sales. Analysts predict the New Year was welcomed in with 43 million American homes capturing the moment with their digital cameras. By 2007, that 40% penetration could reach 70%, with the digital camera user looking more and more like the mainstream internet household.
Millions of Americans who waited patiently for the quality and convenience to leap forward and the prices to roll back are now jumping on the digital-shutterbug bandwagon.
According to the Consumer Electronic Association, the digital camera has moved from being a novelty item just four or five years ago, to being the most popular electronics gift in 2004. It even replaced the DVD player that held the number one gift spot since 2000.
Driven by cutthroat pricing competition, digital technology is transforming the $85 billion global photography industry by creating many new ways of capturing, developing and storing pictures. It wasn’t only 4 mega pixel or 5 mega pixel cameras at an affordable price pushing the digital divide. Camera phones were definitely part of the overall “picture”. The convenience of built-in camera phones helped their sales skyrocket.
Unlike five years ago, when digital cameras were owned mostly by early adopter technology enthusiasts, today’s demographics continue to shift towards representing the average Internet user. However, according to Infotrends/CATV annual survey, digital camera owners still show a greater tendency to acquire new technology than non-owners. For example, 26% of digital camera households have a wireless home network, compared to 16% of non-owners.
When the reports are in dollars, sales of digital cameras are expected to reach $4.5 billion in America for 2004, which would be a growth of 15% from total dollar sales in 2003. IDC analysts guesstimate that sales figure could jump 25% in 2005.
CNET reports the top five worldwide market leaders in digital camera sales in 2004 are, in rank order, Canon, Sony, Olympus, Eastman Kodak and Fuji Photo Film, the firm said. Those companies are expected to remain in the top five next year, although their rank may change.
Fred Harteis of Harteis International bought his cannon digital camera from Quixtar.com and says its the best
