Home Entertainment - Hong Kong | Statista Market Forecast

Revenue in the Home Entertainment market is projected to reach US$23.1m in 2024.
Revenue is expected to show an annual growth rate (CAGR 2024-2029) of 3.83%, resulting in a projected market volume of US$27.9m by 2029.
In the Home Entertainment market, the number of active households is expected to amount to 353.2k users by 2029.
Household penetration will be 8.4% in 2024 and is expected to hit 12.4% by 2029.
The average revenue per installed Smart Home currently is expected to amount to US$97.52.

Definition:

Home Entertainmentmarket comprises the sale of products for multi-room entertainment (e.g., sound systems) as well as connected remote controls and streaming devices (e.g., Amazon Fire TV stick, Google Chromecast).
General, freely programmable buttons and switches (see Control & Connectivity) or light bulbs for different lighting scenarios (see Comfort & Lighting) are not included. Smart TVs are also not considered here because their functions are, in most cases, not directly controlled via the Internet but networking is primarily used for the retrieval of media content.

Additional Information:

The market comprises revenue, average revenue per smart home, number of smart homes so as the household penetration rate by smart home, and key players. Figures are generated through both online and offline sales channels and include exclusive spending by consumers (B2C). Market leaders include Amazon, Google, Harman Kardon, Samsung, Bose, and other brands renowned for their innovation, brand recognition, and expansive distribution channels within their respective categories. For more information on the data displayed, use the info button right next to the boxes.

Digitally connected and controlled devices for entertainment purposes
Various multiroom entertainment systems (audio and/or video) with a primary focus on entertainment (e.g., Juke 6& 8, Sonos Era 100 Arc 5.1 Heimkino Set)
Streaming devices (e.g., Amazon Fire TV stick, Google Chromecast)
Entertainment remotes

Classical entertainment devices without smart home connection
Smart TVs and receivers without smart home integration
Smart speakers with a primary focus on Control & Connectivity (Amazon Echo, Google Home etc.)
B2B/C2C sales of any kind (e.g. to hotels or office buildings)

The Home Entertainment market in Hong Kong is experiencing significant growth and development.

Customer preferences: Customers in Hong Kong have shown a strong preference for home entertainment products and services. With the rise of streaming platforms and the increasing availability of high-quality content, consumers are seeking convenient and immersive entertainment experiences from the comfort of their own homes. This has led to a surge in demand for smart TVs, home theater systems, and streaming devices. Additionally, there is a growing interest in gaming consoles and virtual reality technology, as consumers look for innovative ways to enhance their entertainment experiences.

Trends in the market: One of the key trends in the Home Entertainment market in Hong Kong is the increasing adoption of streaming services. With the widespread availability of high-speed internet and the convenience of on-demand content, consumers are shifting away from traditional cable and satellite TV subscriptions. Streaming platforms such as Netflix, Disney+, and Amazon Prime Video have gained significant popularity in the region, offering a wide range of movies, TV shows, and original content. This trend is expected to continue as more streaming services enter the market and consumers become accustomed to the flexibility and variety they offer. Another trend in the market is the growing demand for smart home entertainment systems. Smart TVs, which allow users to access online content and control their entertainment devices through voice commands or mobile apps, have become increasingly popular. In addition, home theater systems that provide immersive audio and video experiences are in high demand. Consumers are seeking to create a cinematic experience within their own homes, and manufacturers are responding by introducing advanced technologies and features to meet these expectations.

Local special circumstances: Hong Kong is known for its fast-paced lifestyle and limited living space. As a result, compact and space-saving home entertainment solutions are highly sought after. Manufacturers are focusing on designing products that are sleek, slim, and can be easily integrated into small living spaces. This includes wall-mounted TVs, soundbars, and compact gaming consoles. Additionally, due to the high population density in Hong Kong, noise pollution can be a concern. This has led to an increased demand for noise-canceling headphones and wireless audio systems, allowing consumers to enjoy their entertainment without disturbing others.

Underlying macroeconomic factors: The Home Entertainment market in Hong Kong is influenced by several macroeconomic factors. The strong economy and high disposable income of the population contribute to the growing demand for premium home entertainment products. Additionally, the increasing digitization of the economy and the widespread adoption of e-commerce platforms have made it easier for consumers to access and purchase home entertainment products and services. The government's support for technological innovation and the development of the digital economy also play a role in driving the growth of the market. In conclusion, the Home Entertainment market in Hong Kong is experiencing significant growth and development due to customer preferences for convenient and immersive entertainment experiences. The increasing adoption of streaming services and the demand for smart home entertainment systems are key trends in the market. Local special circumstances, such as limited living space and noise pollution concerns, are influencing product design and consumer preferences. The strong economy and high disposable income, coupled with the digitization of the economy, are underlying macroeconomic factors driving the market growth.

Data coverage:

The data encompasses B2C enterprises. Figures are based on the sales of smart home products, excluding taxes.

Modeling approach:

Market sizes are determined through a bottom-up approach, building on a specific rationale for each market category. As a basis for evaluating markets, we use the Statista Global Consumer Survey, market data from independent databases and third-party sources, and Statista interviews with market experts. In addition, we use relevant key market indicators and data from country-specific associations, such as household internet penetration and consumer spending for households. This data helps us estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the relevant market. For example, the S-curve function and exponential trend smoothing are well suited for forecasting innovative products due to the non-linear growth of technology adoption. The main drivers are GDP/capita, level of digitization, and consumer attitudes toward smart home integration.

Additional notes:

The data is modeled using current exchange rates. The impact of the COVID-19 pandemic and the Russia-Ukraine war are considered at a country-specific level. The market is updated once a year, in case market dynamics change we do more frequent updates.

This report presents a comprehensive analysis and additional information on the Consumer market, in a PDF format.

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