Home Entertainment - Iceland | Statista Market Forecast

Revenue in the Home Entertainment market is projected to reach US$722.9k in 2024.
Revenue is expected to show an annual growth rate (CAGR 2024-2029) of 4.10%, resulting in a projected market volume of US$883.6k by 2029.
In the Home Entertainment market, the number of active households is expected to amount to 16.3k users by 2029.
Household penetration will be 6.8% in 2024 and is expected to hit 9.8% by 2029.
The average revenue per installed Smart Home currently is expected to amount to US$66.27.

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 Iceland has been experiencing significant growth in recent years.

Customer preferences: Icelandic consumers have shown a strong preference for home entertainment products and services. This can be attributed to several factors, including the increasing availability and affordability of high-quality audio and video equipment. Additionally, the convenience and flexibility offered by home entertainment systems have made them a popular choice among consumers who prefer to enjoy their favorite movies, TV shows, and music from the comfort of their own homes.

Trends in the market: One of the key trends in the Home Entertainment market in Iceland is the growing demand for streaming services. With the rise of platforms like Netflix, Amazon Prime Video, and Disney+, consumers now have access to a wide range of content that can be streamed directly to their televisions, computers, or mobile devices. This trend is driven by the convenience and cost-effectiveness of streaming services, as well as the increasing availability of high-speed internet connections in Iceland. Another trend in the market is the increasing popularity of smart home entertainment systems. These systems allow consumers to control their audio and video equipment, as well as other connected devices, through a single interface. This trend is driven by the growing adoption of smart home technology in Iceland, as well as the desire for a seamless and integrated home entertainment experience.

Local special circumstances: Iceland is known for its unique cultural and geographical characteristics, which have influenced the Home Entertainment market in the country. For example, the long winter nights and remote location of many Icelandic communities have made home entertainment a popular pastime. Additionally, the strong emphasis on creativity and artistic expression in Icelandic culture has contributed to the demand for high-quality audio and video equipment.

Underlying macroeconomic factors: The growth of the Home Entertainment market in Iceland can also be attributed to several underlying macroeconomic factors. The country has experienced a period of economic stability and growth, which has increased consumers' disposable income and purchasing power. Additionally, the government has invested in infrastructure development, including the expansion of high-speed internet connections, which has facilitated the growth of the home entertainment industry. In conclusion, the Home Entertainment market in Iceland has been growing steadily in recent years, driven by customer preferences for convenience and flexibility, as well as the availability of high-quality audio and video equipment. The increasing demand for streaming services and smart home entertainment systems reflects the changing preferences and lifestyles of Icelandic consumers. Additionally, the unique cultural and geographical characteristics of Iceland, along with the country's economic stability and infrastructure development, have contributed to the growth of the market.

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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