Coronavirus benefits computer, electronics businesses

06:00 | 16/05/2020 Trade

(VEN)- Quarantines, isolation, online school and university learning and increased teleworking, all prompted by the Covid-19 pandemic, have been a boon for Vietnam’s computer and electronics market.

coronavirus benefits computer electronics businesses
Laptops are in great demand

High demand creates price hikes

Generally, the peak season for Vietnam’s computer business occurs ahead of the annual Lunar New Year holiday (Tet) in January or February. This year, the peak season began with the spread of the Coronavirus. With many people having to work from home, pupils and students switching to online learning, a significant increase is being recorded in demand for computers, printers and headsets with microphones.

Since mid-March, the price of office equipment, computer components and accessories, especially products for online learning and working, has also increased. For example, the cost of some Logitech and Genius camera models has increased by VND200,000-300,000. Logitech’s HD C270 HD resolution camera and microphone, previously sold for about VND500,000 but is now retailing at VND700,000-800,000. Laptops in the under VND10 million segment are also in high demand.

Sales of many retail chains and shops have skyrocketed. According to a representative of FPT, laptop sales in February and March increased by 79 percent and 153 percent, respectively, compared to January 2020. According to a representative of Mobile World’s retail systems, phone and electronics sales have grown compared to the same period in 2019. The sale of laptops has surged 80 percent compared to the same period last year.

Prosperity in computer rentals

The computer rental market has also benefitted from the disease spread. The government directive to close non-essential business services led to closure of small computer shops. These were replaced by computer rental services offered on social networks at a cost of VND10,000-50,000 per day, depending on the computer configuration and the price of the product on the market. The rental services have proven attractive due to their cheap cost. Specifically, instead of buying a computer for tens of million of dong, users only need to spend from VND300,000 to VND1.5 million a month on renting. Many establishments have reported running out of stock immediately after posting their computer rental ads.

However, computer rental services also present risks for users and rental shops.

Users might find they have been given a computer with outdated or faulty components, corrupting their files or impeding their online work. Rental shops, on the other hand, risk costly damage to their products, which deposits do not necessarily cover.

According to data provided by major laptop and computer retailers in Vietnam, the pandemic has pushed up sales by as much as 150 percent.

Tue Minh