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ICT/CE retailing giants – Declining market share in the ICT/CE pie gradually losing its flavored taste

• The ICT/CE main segments (laptop, tablet, phone, air-conditioner, refrigerator, washing machine, TV) come to the mature phase, demonstrating by the high penetration rate and the stagnant sales volume, thus all players concentrate on expanding its pie like the way to beat the one-digit market growth.
• The fast change of consuming habit from offline to online, much hurting ICT/CE retailers mainly depended on physical store chain like MWG, FRT. Although they start to shift business model to one that is more reliant on online sales, we are viewing that MWG, FRT are hard to prevail over E-Commerce platforms (ECPs) due to its much smaller finance ability to build up the large scale of economics (customer base), supporting the cost optimization (such as delivery cost) and wide revenue expansion, led to take a big profit like Shopee.
• In addition, ICT/CE retailing giants will also face the hard rock in offline channel, owing to the higher positioning of smaller retailers (such as CellPhoneS, HoangHaMobile, Shopdunk), setting the cheaper price (due to the low operating exp/net sales than that of MWG, FRT per our estimation) but provide the similar customer experience (pre & post-service).