Browse All Research Services Digital Living Forecast Workbook

THE VALUE OF FORECASTS

Any business planner knows the necessity of product and service forecasts. However, an inaccurate forecast is just as dangerous for business planning as no forecast at all. Parks Associates follows a logic-based forecast methodology tied to commonly trusted statistics such as housing numbers, population growth, and broadband penetration, as revealed by agencies such as the ITU, OECD, the U.S. Bureau of Census, and Parks Associates’ own global and domestic primary consumer research.

FORECAST DRIVERS

The Economy
The economy dictates the level of investment companies will put into development and marketing, and perceptions of economic health are a critical factor in consumer purchase decisions.

Housing Growth
The health of the housing sector is a critical factor in determining new product and service sales for solutions aimed specifically at the new home and/or retrofit market. Many installed systems forecasts tie directly to projections for housing growth or contraction.

Technology Advancements
Drivers relative to technology include the emergence of more feature-rich services and products that can encourage uptake.

Replacement Cycles
Many consumer electronics products have regular replacement cycles. Understanding the timing of a product within its lifecycle is a key consideration in projecting unit sales.

Consumer Trends
Consumer trends driving the industry are numerous. Significant trends include aging populations, a more mobile society, new purchase influencers, the purchase power of large ethnic and cultural groups, and a growing desire for “middle-class luxury” goods.

Lower Prices
As is typical for any technology, the products will be available to a greater number of consumers as price decreases, thus driving adoption.

Subsidies
Particularly evident with customer premise equipment and mobile phone handsets, the extent to which service providers will offer products at much lower prices and/or under lease terms.

After-market and Accessory Trends
Certain products can drive after-market and accessory sales. Understanding the relationship between how a primary purchase may drive an accessory device is an important variable.

Competition
Competition drives product and service differentiation, which can lead to desired features and capabilities. It can also allow companies to bundle in value-added features while keeping service or product costs low to encourage adoption.

REGIONAL FORECASTS

Regional Forecasts include:

Asia/Pacific
Europe
North America
Rest of the World

COUNTRY-BY-COUNTRY DETAIL

For those clients seeking country-by-country detail, we can construct specific models. This approach requires extra time and goes beyond the scope of the Forecast Workbook.
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