Consumer Electronics Spending Up 9.3% in 2007
New York City Consumers continued to spend money on consumer electronics with average U.S. household spending up 9.3% for the one-year period that ended Jan. 31, according to a study by the Consumer Electronics Association (CEA).
the average household spent $1,405 on consumer electronics last year, $120 more than the previous year.
The leading categories included high-definition TVs and portable products such as laptop computers and cell phones.
The report predicts that overall consumer spending will increase again this year and surpass the $161 billion in overall shipment revenue generated last year.
However, according to the Deloitte Leading Index of Consumer Durables Spending (see Monday’s Web story, “Survey: Big-Ticket Items Continue Downward Slide”), sales of big-ticket items such as electronics are predicted to continue the downward tumble that began in September 2007.
More innovation emerges as Sial Montreal ends
MONTREAL Innovations come in many forms at Sial Montreal, closing today at Palais des congres de Montreal.
In the case of Le Grande, the innovations came in the form of packaing and product. The company makes pesto sauces, tapenades and aromatic sauces including sesame and pink peppercorn, orange and sunflower seed and lemon confit and pumpkin seed. The company just gave up its traditional glass jars in favor of super thick plastic pouches that stand on their own, pour through a resealable spout and are far lighter to transport than the former packaging. The product line, which had been available throughout Canada and in Zabars and Fairway in New York, got the interest of Whole Foods in its new form and it preparing to roll out at the retailer’s stores throughout North America.
Other innovative introductions include ice cider from Intermiel, which also produces maple liquor and its among the top producers of mead — or honeywine — in North America, a product it is looking to export to the United States. In the snack category, G.o.o.d.b.o.n is highlighing its Crunchy delight, maple chunk candies meant to provide a natural treat and act as a nut substitute for kids with allergies. And on the beverage side, Tasty Enterprises introduced hone and aloe vera iced teas. The company is making inroads in Florida and Washington, DC, but continues trying to expand its healthy green teas and line of bubble teas in the U.S.
Amazon.com posts 1Q net sales growth
SEATTLE Amazon.com announced that net sales for its first quarter ended March 31 increased 37% to $4.13 billion compared with $3.02 billion in first quarter 2007. Excluding the $0.18 billion favorable impact from year-over-year changes in foreign exchange rates throughout the quarter, net sales grew 31% compared with first quarter 2007.
Operating income increased 36% to $198 million in the first quarter compared with $145 million in first quarter 2007. Excluding the $14 million favorable impact from year-over-year changes in foreign exchange rates throughout the quarter, operating income grew 27% compared with first quarter 2007.
Net income increased 30% to $143 million in the first quarter, or 34 cents per diluted share, compared with net income of $111 million, or 26 cents per diluted share, in first quarter 2007.
“Our sales growth this quarter was driven by low prices and millions of in-stock items available for immediate shipment,” said Jeff Bezos, founder and ceo of Amazon.com. “We’re grateful to our customers.”
The company expects second quarter net sales to be between $3.9 billion and $4 billion, or to grow between 34% and 41% compared with second quarter 2007.