Digital Camera Market Basket Report reveals insights into consumer behavior when it comes to purchasing digital camera accessories
According to a new report from The NPD Group, digital camera consumers desire a host of camera accessories bundled in with their cameras, but many aren’t buying what they need at the time they make their initial camera purchases. NPD’s retail tracking information shows that in the twelve months ending September 2007, while digital still camera unit sales were up 20 percent, revenue increased by only 3 percent. Concurrently revenues from camera accessories (e.g., lenses, batteries, external flashes, filters and tripods) increased more than 50 percent during the same time period. NPD’s Digital Camera Market Basket Report reveals new opportunities for retailers and manufacturers to capitalize on the timing of consumer accessory purchases along the camera ownership cycle.
“As the camera market matures, manufacturers and retailers are increasingly challenged to bring new profits to the digital imaging ecosystem,” said Liz Cutting, senior imaging analyst for The NPD Group. “Understanding consumer behavior at the point of camera purchase, aftermarket, and intentions for future accessory purchase reveals where the missed opportunities lie.”
According to NPD’s report, DSLR camera buyers are far more likely to purchase accessories than are consumers who purchase simpler point-and-shoot digital cameras. Still, sixty-nine percent of point-and-shoot digital camera consumers and 54 percent of DSLR buyers left the store without purchasing anything beyond what was included in the initial purchase price of their new digital cameras. Accessories tailored to consumer needs offer new opportunities to increase profits on both types of cameras.
“The perceived needs for camera protection, image sharing and storing, and getting the right equipment to take better pictures evolves as consumers bond with their cameras,” said Cutting. “A consultative camera purchase experience will not only help consumers choose products prior to leaving the store, but also will plant the seeds of awareness and desire to expand their imaging products later on.”
NPD invited separate samples of both point-and-shoot camera buyers and DSLR camera buyers to complete an online survey, which yielded an overall sample totaling 1,239. The survey was administered August 27, 2007 through September 5, 2007.
About The NPD Group, Inc.
The NPD Group is the leading provider of reliable and comprehensive consumer and retail information for a wide range of industries. Today, more than 1,600 manufacturers, retailers, and service companies rely on NPD to help them drive critical business decisions at the global, national, and local market levels. NPD helps our clients to identify new business opportunities and guide product development, marketing, sales, merchandising, and other functions. Information is available for the following industry sectors: automotive, beauty, commercial technology, consumer technology, entertainment, fashion, food and beverage, foodservice, home, office supplies, software, sports, toys, and wireless. For more information, contact us or visit http://www.npd.com/.