Romania’s electro-IT market saw an impressive growth in 2017, of 14-15%, similar to the 2014-2015 period (12.5-14%) and significantly higher than in 2016, when the market only increased by 9%, according to an analysis by Euler Hermes.

In real terms, the growth rate is slightly lower, considering the 4% annual inflation in 2017 on the non-food segment.

The mobile phone segment has seen the highest growth rates in recent years, of over 25%, followed by electric appliances and electronics.

The electro-IT retail market is highly concentrated as three players, namely Altex, Flanco and Dante International (eMAG) hold about 60% of the total sales. The market is also a seasonal one, with a spike in sales in the last quarter of the year, when about 40% of all sales take place, due to the Black Friday events.

The profit margins on this market are rather low, due to the consumers’ preference for online purchases, according to the analysis.

editor@romania-insider.com