Middle East technology market booming

With consumers in the lucrative 25-35 market leading the charge, senior Source IT market analysts have detected the strongest patterns in the market for converged technology mobile devices, which now come packed with the latest windows-compatible applications, software, Bluetooth, videos and cameras.

The study gives a revealing insight into the Middle East consumer technology landscape.
"Because newer, more sophisticated devices, are coming onto the market the whole time, we have noticed an interesting trend," said Ahmed Al Azzawi, director, Source IT. "Figures reveal huge demand for products when they are launched, followed by a slowdown, and then a sudden drop off as soon as announcements about new products are made."

"This may not seem at all surprising, given the natural lifecycle of consumer products, but what is interesting is that, compared to the rest of the world, the trend even stronger in this region," he continued.

Source IT's analysis of consumer spending habits is borne out by the fact that the Middle East has now overtaken Europe in terms of the growth of demand for technology products. In the Gulf region, demand is growing at an annual rate of over 15 per cent, compared to 10 per cent in Europe.

"The consumer technology market is booming in the Middle East, and with technology changing all the time, it shows no signs of slowing," added Al Azzawi.

Certain, crucial factors lie behind the change. One is the fact that the mobile telephony markets are being opened up across the Middle East. The onset of a deregulated telecommunications market has forced more competitive pricing, as well as bringing other, value-added benefits and services into play. As a result, the demand for mobile devices is shooting up.

Secondly, lifestyle aspirations across the Middle East have changed. One look at all the retail space being added to the landscape is verification of this fact - the region now boasts more shopping venues per square mile than many developed nations, and retail space in GCC Countries is set to grow from 3.8 million square metres to 9.4 million square metres by the end of the decade. People who live in the Middle East have a considerable amount of disposable income and the sudden awareness and availability of the latest products has resulted in a massive shift.

As one of the local innovators in the area of retail distribution, Source IT is well placed to comment on the evolving market. The company pioneered the concept of soft bundling in the region, where products are sold grouped together, adding value to purchases, and providing savings for customers. Source IT also recently launched successful products like the MobileNavigator|4 and is the exclusive Middle East distributor for the PDA/smartphone enabled Navigon navigation software.

Staying abreast of the latest technology and retaining close toes with its distribution channels has enabled Source IT to grow beyond the standard market rate. As the technology market has evolved, so has Source IT.