According to the latest Worldwide Home Audio Market report from Futuresource
Consulting, the home audio market (Wireless Speakers, Soundbars, Hi-Fi Systems,
A/V Receivers and Speaker Docks) grew by 22% to ship 71 million units. Trade
value also grew by 22%, generating just under $10 billion worth of revenue in 2014.

Wireless speakers and soundbar shipments exceeded market expectation and
accounted for the lion’s share, far outweighing the decline in demand for traditional
audio devices i.e. A/V Receivers and Hi-Fi Systems. The wireless speaker market
was fuelled by strong growth in Bluetooth speakers in the lower end of the price
spectrum and multiroom audio at the premium end.

Home audio devices increasingly offer wireless functionality and shipments with this
feature grew by 93% from 27 million units in 2013 to 53 million units in 2014.
Futuresource predicts that virtually all home audio devices will be wireless by 2019,
“consumers seek connectivity to popular streaming services such as Spotify and
Apple Music, as well as to other devices such as their smartphone,’ commented
Rasika Iyer, Market Analyst at Futuresource Consulting.

Futuresource projects continued growth for the home audio market over the coming
years, with a volume growth of 8% CAGR by 2019, to reach 108 million units.

According to the report, North America currently dominates, accounting for 43% of
the worldwide market. However, that is expected to fall to 38% by 2019 due, partly
to the increasing popularity of wireless speakers in the Asia Pacific market.

“The home audio market is undergoing rapid change,’ commented Jack Wetherill,
Senior Market Analyst, Home Electronic at Futuresource Consulting. “As dedicated
wireless speaker and soundbar brands grow significantly, we are seeing traditional
CE brands shift their focus to wireless audio to remain competitive in the market.’

The importance of the home audio market will be discussed as part of
Futuresource’s Audio Renaissance Conference, to be held in London on 20th October
2015. The event will include market and insight presentations from the Futuresource
team, as well as a series of key notes and panel discussions from leading
companies in the audio hardware, content, broadcast, service provider, and
technology sectors.