New entrants are now entering the market, offering flat panel solutions, including many distributors who are developing their own branded solution sourced from the Far East. Global market volumes reached 1.3 million units, representing a 2% decline.
"One of the key factors expected to ensure steady sales is that the replacement market is now significant, says Colin Messenger, Senior Market Analyst at Futuresource Consulting. "Of the seven million interactive displays in schools, one million are over eight years old. This is providing a strong opportunity with many end users trading up to flat panel solutions when they replace their existing display.
"In addition there are some large scale projects taking place that are driving market values. The major FATIH programme in Turkey for 350,000 displays is currently rolling out. In addition, China continues to see major investment across the whole country. There are also discussions under way for potential nationwide projects in both Thailand and Japan but neither of these are yet confirmed."
Corporate Market Opportunity Hots Up As Microsoft Announces Surface Hub A extremely attractive yet untapped gap in the market is that of interactive displays in the corporate meeting room. Futuresource estimates that there are 46 million meeting rooms globally, current penetration is negligible at 1.6% (with market volumes in 2014 reaching just over 100,000 units), compared to the 20% penetration in classrooms.
"Few vendors have developed solutions targeting the market and to date, the success of interactive displays in classrooms has not transitioned across to the meeting room environment. One of the largest issues we hear is the issue of simplicity. Unlike the classroom environment, meeting room solutions are likely to be utilised rarely by any one individual. Therefore meeting room solutions need to be completely intuitive to ensure adoption.
"This is where Microsoft's launch of the Surface Hub could invigorate the sector, driving awareness as to the benefits of meeting room collaboration, but at the same time providing a simple to use intuitive platform for collaboration," says Messenger.
Asia continued to post strong value growth in 2014 with an increase of 15% year-on-year, while China continued its ascent, with more than half of all world sales.
US sales again decreased. One-to-one learning programs continue to develop apace in the US, with the introduction of common core assessments in 2014 acting as a stimulus for many districts. This major movement towards one-to-one, including internet infrastructure, diverts funds and focus away from front-of-class displays.
EMEA performed above last year's results, with a value growth of 54% and volume of 15% helped by the second phase of the FATIH project in Turkey.
In the UK, interactive flat panel displays accounted for 58% of sales in 2014, taking significant market share away from interactive whiteboards and triggering faster value growth.