International. Cedia released the preliminary results of the annual market research: Electronic Systems market report, size, and scope. The report provides data on the characteristics of companies working in the United States and Canada, revealing the current number of installation companies in the industry, the size of the workforce, trends, forecasts, and the economic situation of the industry.
"This report follows the great information we've been seeing throughout the year on integrative performance in 2013 and expected performance in 2014," said Erica Shonkwiler, Consultant Cedia Research. "Revenue, project numbers and project sizes are continuing an upward trend."
The full report will be available in October. However, preliminary results reveal:
- AV Integration installation company systems ended 2013 with a 15% increase in gross revenue, and expect 2014 to end with a 20% increase over 2013.
- More AV Installation/Integration companies are noticing a shift from hardware sales to service/labor sales caused by cloud-based content management – 38% indicate a moderate increase in service/labor sales (up from 29% in 2013) and 23% indicate a moderate decline in hardware sales (up from 18% in 2013) from cloud-based content management.
- In 2013, AV system integration and installation companies reported that 56% of the flat panels you worked on as part of a project were sold to the client as part of the project, 22% were already at the customers' home, and 22% that were acquired by the customer through retail for the project. When the customer bought the flat screen through retail, 78% of the integrator's time impacted the purchase, so it suggests the brand to choose.
- In 2013, respondents only expected 11% of their TV sales in the next 12 months to come from 4K. This jumped substantially, to 25% in the 2014 study. They also estimated that 29% of those sales include ultra HD server/4K player or media sales.
- Distributed audio installations, including internet connected to wireless speakers increased from 16% in 2012 to an estimated 26% in 2014. This added to an increase in the number of respondents who believe these products will help their business from direct consumer demand.
"The owners of the facility company are still unsure how the entry of big players into the housing control market and management will impact business," Shonkwiler said. "However, the previous year's uncertainty around 4K, connected internet wireless audio systems, and cloud-based content management seems to be lifting. They are adjusting and adapting to these technology trends in ways that turn them into positive changes for their companies."
Research updates, project details, and the availability report will be published in www.cedia.net/research
