Notebook sales didn’t have a good first quarter – as many pundits had predicted – with sales expected to hit 35,2-million in the first quarter of 2013, representing a 15% decrease from the 41,4-million notched up in the fourth quarter of 2012, according to research company IHS.
Christopher Riley, MD of The Notebook Company, says sales of notebooks at his company were 14% down on the fourth quarter of 2012.
“But we expected a slow first quarter,” he says.
“There is often a bit of a dip in the first quarter when compared to the fourth quarter of the previous year. But this is quite a big drop. One of the reasons – certainly from a local perspective – is that South African consumers are struggling with a high level of indebtedness. After spending over the festive season, many will be holding back on the spending – at least temporarily.
“Additionally, even companies are watching expenses right now – even if they do have cash in hand. Everyone is a bit jittery about the economy and don’t want to part with too much cash. But I do see this situation easing up as the year progresses, and we are anticipating a much improved Q2 and Q3 – and are expecting sales to at least match Q2 and Q3 sales recorded last year.
Christopher Riley, MD of The Notebook Company, says sales of notebooks at his company were 14% down on the fourth quarter of 2012.
“But we expected a slow first quarter,” he says.
“There is often a bit of a dip in the first quarter when compared to the fourth quarter of the previous year. But this is quite a big drop. One of the reasons – certainly from a local perspective – is that South African consumers are struggling with a high level of indebtedness. After spending over the festive season, many will be holding back on the spending – at least temporarily.
“Additionally, even companies are watching expenses right now – even if they do have cash in hand. Everyone is a bit jittery about the economy and don’t want to part with too much cash. But I do see this situation easing up as the year progresses, and we are anticipating a much improved Q2 and Q3 – and are expecting sales to at least match Q2 and Q3 sales recorded last year.
“We are expecting an increase in demand for ultrabooks, but I also believe that – at least as far as The Notebook Company is concerned – that notebook sales will stabilise during the year. Ultimately, from a calendar year perspective, however, I think sales will be down on last year. But we are hoping for a single digit drop,” concludes Riley.