NIQ’s Tech & Durables experts have newly partnered with the
Consumer Technology Association (CTA) to develop a comprehensive Tech & Durables global market estimate for 2025. This analysis, based on historical and current trend data, provides a full-year 2025 outlook by region and sector.
Global Tech & Durables set for growth in 2025
Consumers’ willingness to spend is improving but is still at low levels. Stabilizing inflation in several regions has helped many consumers move from cautious to intentional spending. However, it has not yet resulted in fully restored confidence. Right now, consumers are ready to increase their Tech & Durables spending in key areas, but with a focus on affordability.
Since the lockdown-driven peak purchasing of Tech & Durables in 2020 and 2021, the growth in year-over-year sales value for Tech & Durables products has lingered in negative—although gradually improving—territory. The turning point comes this year with global T&D sales for 2025 full year forecast to approach $1.29 billion—a 0.9% increase over 2024.
Sectors leading the 2025 growth in Tech & Durables
NIQ’s 2025 market estimate shows the IT (including Office), Small Domestic Appliances (SDA), and Telecom sectors being the primary drivers for industry growth.
IT (including Office) should grow 2% in 2025 as replacements for mobile PCs bought during the 2020 lockdowns kick in. (The average replacement cycle is currently four to five years, according to gfknewron Consumer.) Another positive purchase impulse could be the sunsetting of Windows 10 support. (Businesses and consumers both tend to buy new hardware when existing devices no longer support the latest version of Windows.)
PCs with integrated Artificial Intelligence (AI) functionality also offer potential to drive consumer spend. Manufacturers and retailers are promoting the ability of AI PCs to simplify and speed up tasks and improve personalization. Already, around 10% of consumers say that AI is an important purchase criterion for them (per gfknewron Consumer). To persuade a broader audience, retailers and manufacturers must spell out highly relevant usage scenarios and the benefits AI PCs deliver.
The SDA and Telecom sectors are set to grow 2% and 1%, respectively, in 2025. North American demand will play a significant part in this, based on stronger overall consumption within the region. In contrast, the Major Domestic Appliances (MDA) sector will see only moderate global growth of 0.2%. This is despite the MDA premium market being set to see sales of built-in appliances rising as the global construction business and interest rates recover.
Consumer Electronics (including Photo) is the one sector expected to decline. With no major sporting events to boost sales of TVs, coupled with price erosion affecting this sector, the 2025 forecast is -2% versus 2024. Headphones should buck that trend, but not enough to compensate for losses across the sector overall.
Regional highlights for 2025 growth
Tech & Durables growth in 2025 will be driven by North America and the Middle East/Africa. Other regions should be stable, with only Developed Asia expected to decline versus full-year 2024.
North America
In North America, steady growth in both the Consumer Electronics and the Domestic Appliances sectors will be at the core of the region’s forecast of 3% growth in T&D sales value.
Domestic appliance demand will shift toward smart appliances that deliver increased convenience for consumers. Smart appliances also enable improved energy efficiency, which means savings on electricity bills together with reduced environmental impact.
Demand for mobile computing will increase in North America, driven by replacement cycles kicking in, as well as early-adopter consumers upgrading to AI PCs. AI might also push more upgrades and replacements in smartphones.
North America also has a growing share of Generation Z shoppers, who are influencing their household’s purchase decisions. Both Gen Z and Gen Y over-index in the U.S. when it comes to buying products that are better for the consumer, the environment, and society (as outlined in our Spend Z report). As these types of products tend to be slightly more expensive, this will have a positive effect on overall sales growth in 2025 and beyond.
Middle East & Africa (MEA)
In the Middle East & Africa (MEA), 2025 will see continued growth in demand for home appliances, although at a more moderate level due to the high baselines already achieved. The region shows positive consumer sentiment and a good economic landscape, aided by government investments in countries like the Kingdom of Saudi Arabia. More MDA production hubs are being set up in the region, facilitating logistics and helping keep prices attractive.
In 2025, T&D growth in MEA will again come from appliances with premium features and from air conditioners (if the region’s heat waves continue). Overall, the region’s households are currently less well-equipped with “aspirational” appliances such as dishwashers and tumble dryers, presenting growth opportunity. Added to that, the region’s young population and the growing number of households are both driving demand for basic appliances like washing machines and refrigerators.
Other key countries driving sales growth in home appliances in 2025 are India (growing middle class and expanding economy) and Brazil (good economic growth, strong currency, and consumption stimuli).
Key takeaways for 2025
As we look toward 2025, the Tech & Durables sector stands at the cusp of a significant period. The anticipated return to growth, driven by key regions like North America and the Middle East & Africa, signals a strengthening consumer confidence and a shift toward more intentional spending. This growth is a testament to the sector’s resilience and adaptability over the last three years.
Moreover, the evolving demographic landscape, particularly the influence of Gen Z, will help lean the market toward sustainable products. This generation’s preference for online shopping and environmentally and socially conscious choices will redefine the retail strategies and product offerings in the Tech & Durables sector.
In conclusion, the forecasted growth for 2025 isn’t just a numerical increase but a reflection of a broader shift toward a more technologically advanced, sustainable, and consumer-centric market. The Tech & Durables sector is poised for a dynamic future, driven by innovation, consumer empowerment, and a commitment to sustainability. As we navigate this evolving landscape, staying attuned to consumer needs and technological advancements will be crucial for sustained growth and success.
