Gadgets were at the peak of popularity. Now they are gone.

Many companies were caught off guard changes in our expenses choice this year. Americans, hungry to travel and party after two years of being mostly at home, are guzzling up plane tickets and trendy clothes—and ignoring the patio furniture and soft pants we spent money on in 2020.

Consumer electronics may be the fiery center of Americans’ shopping habits. Gadget shopping has suddenly gone from hot to irrelevant, a change that is likely to bring pain and confusion to many companies, as well as perhaps a few good deals for people who still want to buy electronics.

In the early months of the pandemic, many of us were so eager to buy internet routers, laptops, game consoles and other technical equipment to work and feel comfortable from home that some products were impossible to find. However, experts have warned that people will inevitably stop buying certain types of gadgets until they need them again.

The scale of change after two full years of gadget shopping surprised many people. From January to May, electronics and home appliances stores make up the only retail category whose sales fell compared to the same five months of 2021, the Commerce Department said. disclosed last week. Best Buy said last month that purchases at its stores were down across the board, especially for computers and home entertainment. there will probably be fur. And research firm IDC expects global sales of smartphones decline this year, most sharply in China.

What’s bad for manufacturers and electronics stores may be good for us, but value hunters need to be careful. Nathan Burrow, who writes trade deals for Wirecutter, The New York Times’ product recommendation service, told me some electronics have already been slashed. But the sale when inflation is at a 40-year high in the USA may not always be a good deal. A discounted product can still cost more than similar models a few years ago, Burrow said.

A sharp jump in shopping habits has led Walmart, TargetGap and some other retail chains are stuck with too much wrong types of products. This is true for some types of electronics as well, meaning that during the summer shopping ‘holiday’ at Amazon, Target, Best Buy, and Walmart, more price cuts are likely.

Burrow predicts significant price cuts for tablets, internet networking equipment, Amazon devices and some laptops, including Chromebooks.

Research firm NPD Group said this year that sales of consumer electronics will rise. likely to decrease in 2022 and then again in 2023 and 2024, but the previous two crazy years of electronics sales will still leave overall sales higher than 2019. Despite the overall increase in sales, this phenomenon of electronics sales suddenly skyrocketing and then suddenly falling is disorienting gadget manufacturers and retailers.

“Unpredictability makes things worse,” said Jitesh Ubrani, research manager at IDC.

Making long-term forecasts is difficult for electronics manufacturers, retailers and buyers. Some executives say global shipping and availability of key components like computer chips will never be normal in 2019. Select electronics like super-cheap TVs and laptops could disappear forever as manufacturers and retailers obsessed with higher profits from more expensive products.

Experts told me that there is talk in the electronics industry about how to do things differently to prepare for possible future crises, including by moving more gadget manufacturing to countries other than China. It is not clear how our spending could change again in response to inflation, government price containment efforts, or a potential recession.

For a while, people in wealthy countries got used to a steady stream of cheap and plentiful electronics, furniture, clothing, and other goods thanks to interconnected global factories and shipping. The Pandemic and the Madness It Caused in supply chains made some economists and executives rethink the status quo.

It’s entirely possible that the ups and downs in electronics sales from 2020 will settle down in a couple of years. Or perhaps consumer electronics is a microcosm of a pandemic-reshaped world that may never be the same again.

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You should read the book by my colleague Sarah Lyall. article about Wasabi, a semi-retired Pekingese champion who doesn’t fetch, run fast, or do anything special other than enjoy life.


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