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Low prices trigger tablet boom in Malaysia

Posted: 08 Feb 2013 ?? ?Print Version ?Bookmark and Share

Keywords:tablets? Android? Internet?

According to the latest data from GfK Malaysia, the total worth of the tablet industry in Malaysia last year reached $415 million. This uptrend in tablet adoption saw around 823,000 units of the gadget being snapped up by consumers, reflecting an 87 per cent growth compared to 2011.

The initial year which marked the launch of the first tablet in Malaysia saw new adopters and technophiles buying some 439,000 tablets which averaged at $570. Demand has continued to escalate, with October in 2012 hitting over 81,200 tablets sold in a month.

"The key reasons for this boom in Malaysia and elsewhere in the region is the widening range of tablets selling at lowering prices, which makes the smart device increasingly affordable to consumers," said Selinna Chin, Managing Director of GfK Malaysia. "The government has also played an instrumental role in the rise of tablets as they continue to step up efforts to improve Internet infrastructure, connectivity and speed in the country."

GfK retail audit findings showed that some 36 models of tablets by 18 key brands were available in the market in 2011. The number of brands in the market has since expanded to 35 in 2012, availing consumers today to an expansive array of 84 tablet models to choose from.

In terms of operating systems, Android is the reigning operating system with nearly 70 per cent of total volume sales in Malaysia.

"This tablet boom has attracted many new international and smaller players currently offering tablets with varying features at a wide range of prices ranging from the low of $82, to as high as $744," noted Chin. "Last year's average price of $505 reflects a significant 10 per cent price erosion from the time when tablets were initially launched in Malaysia around the last quarter of 2010, and the intensifying competition for the consumer dollar has and will keep on driving down prices, inevitably causing continued erosion of tablet prices in 2013."

The results of a separate GfK survey conducted last December presents a positive outlook for tablets with one in three (33%) respondents indicating the intention to purchase a tablet in the first quarter of 2013.

"The near future looks bright for this popular device and we can anticipate annual sales of tablets to continue to grow and exceed the results of 2012 to achieve around 18 per cent in total market value," she concluded.

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