2009 So Far, Could The Worst Be Over For IT?

With half of 2009 over it is impossible to escape the fact that the UK has experienced one of it’s most challenging periods in a long time. However, there are some signs that there could be a bit of a recovery on its way. The maintained low interest rates have helped reduced inflation levels. Inflation levels have finally fallen below the target of 2% for the first time since 2007 last month. In addition to this both Euro and US exchange rates are starting to rise, which could potentially lead to lower priced products if they are purchased from abroad. This saving could then be passed onto the consumer luring them back into the shops. June also brought with it a reassuring sight in the GfK consumer confidence index which rose this month to 9 points higher than this time last year. Taking all this into account just how is the IT market faring this June 2009?

Within the IT market there are 6 products which have managed to experience volume growth compared to the first half of 2008. It will come as no surprise that Netbooks is one of these categories, but in addition to this media gateways, communication devices, digital photo frames, software and multi functional printers have all managed to see volume growth to varying degrees. Things are even rosier when focusing on the retail segment with 9 products experiencing value growth. Unfortunately this picture is not maintained when looking at the business sector. Overall the business segment is still experiencing bleak times with a half year decline of 25% and 30% in volume and value respectively compared to 2008.