"Traditional deskbound computers are experiencing year-on-year growth," says GfK

BLOG: Desktops are making a comeback

GfK account manager Robyn Tovey talks about the recent growth in desktop computing.

The great British IT Retail market experienced a year-on-year value decline of 0.9 per cent in November 2013. One of the main contributors of this slight decline in value is the price erosion that the media tablet form factor has experienced over the past year.

Media tablets, which have been consistently responsible for IT retail sales value growth throughout 2013, saw an average selling price decline of 13.9 per cent in November 2013 vs November 2012.

Desk computing grew by 20.5 per cent and 36.3 per cent in volume and value respectively in November 2013. It was the All-in-one (AIO) form factor that was largely responsible for this growth, which grew for the third consecutive month in November at a rate of 54.3 per cent in volume and 82.5 per cent in value.

This growth has allowed the AIO desktop to account for 49.9 per cent of the value of deskbound computers sold in the retail channels this November. The current value share of AIO desktops represents a rise from 37.2 per cent in November 2012.

However, traditional deskbound computers are also experiencing year-on-year growth, with growth rates reaching 11.3 per cent in volume and 13.9 per cent in value.

The recent rise in desk computing highlights the lingering demand for a hub computer in the household. This trend could also be attributed to the slowing of tablet growth now as the install base of media tablets reaches a respectable proportion.

Recent figures suggest that the desktop replacement cycle endured an extension over the last couple of years due to the tablet boom. It may well be that consumers are now finding the available wallet share to replace their outdated desktop computers.

While traditional notebooks continued to decline, hybrid notebooks grew by 102.2 per cent in volume from October to November 2013. An average selling price drop of 27 per cent month-on-month could be responsible for this growth, as the price premium of this exciting new form factor has been the stumbling block for many consumers.

Robyn Tovey is account manager at GfK.

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