Tablet sales will be more than 30 million ahead of laptop sales in 2013 – The Notebook Company

It is expected that more than 240 million tablet PCs will be shipped during 2013, effortlessly surpassing the  207 million notebook PCs projected to ship during the year, said Christopher Riley, managing director of laptop and accessories retailer, The Notebook Company.

“We are also witnessing this trend at The Notebook Company,” said Riley, “and have been since the introduction of the first Apple iPad.”

He confirmed that the company is currently selling more tablets than laptops – a trend it expects to carry on “into the future”.

According to market research firm NPD Group DisplaySearch, tablet shipments are projected to grow 64% in 2013 compared to 2012.

“Projections are also being made,” said Riley, “that, by 2017, nearly three tablets will be sold to every one laptop.

“In fact,” Riley quipped, “the name of the company – The Notebook Company – is now essentially misleading, as we sell more tablets than notebooks.”

But Riley said while sales of laptops might be under pressure the company is hoping to increase its business as a “lot of clients will be looking to make a switch to laptops rather than upgrading or buying new desktops”.

He believes this could turn into a “fairly big” market for the company over the next 12 – 24 months.

Demand for laptops will be muted during the first quarter of 2013

Demand for laptops will be weak  during the first quarter of the year, and this is not only because of the market share being stolen by tablets, said Christopher Riley, managing director of laptop and accessories retailer, The Notebook Company – and one of the biggest local sellers of the Apple iPad tablet range.

Riley said it is “important to remember” that laptop demand – not counting netbooks – was already moving downwards before the tablet industry caught fire.

“Apple’s iPad, the soon-to-follow Android and Windows slates and, more recently, Windows RT tablets, are simply acting to aggravate these already existing problems.”

Riley said it appears that the general consensus among market watchers is that first quarter of 2013 will not witness an upsurge in laptop demand. In fact, he said, it could be an ever less lucrative quarter for notebook markets than usual.

“Generally, the first quarter of the year is a slow season due to the fact that many people are still recovering from the spending sprees of the festive season. Adding to the challenges, this year notebook vendors will have to content with Windows 7 notebook oversupply, pressing many to offer as many price cuts as is possible. Installing Windows 8 on units will help somewhat, but it must be remembered that many owners of Windows XP/Vista and 7 systems are probably not yet ready for performance upgrades. They might even opt to buy a new phone or a tablet instead of a PC.”

But Riley said that while there will be pressures on laptop sales, the popularity of tablets will continue. “Apple iPads will continue to outsell our range of laptops during the first quarter of this year,” said Riley, “and, frankly, I see this continuing into the year.”

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Apple faces increasing competition in the tablet market

Apple has remained as the leading player in the tablet market since its debut with the iPad two years ago, but the company – now the most valuable company in the world – could very well lose its market share to Google-based Android devices.

This is the opinion of Christopher Riley, MD of The Notebook Company – one of the country’s leading notebook and accessories retailers – which also runs the on-line sites Laptop.co.za and Notebook.co.za.

Riley said Apple is losing market dominance “fast”, one must also keep in mind they had all of it initially.  The third quarter of 2010 saw the iPad securing 87% of the market. Now Apple commands just over 50% of the market. “The release of the Apple iPad Mini has also affected sales of the iPad. There has been a lot of hype surrounding the iPad  Mini and many people put their purchase decisions on hold, waiting, instead, for the arrival of the mini tablet from Apple.

“In a way Apple seems to have shot itself in the foot with the launch of the mini Apple tablet, certainly as far as a diversion of consumer spending is concerned. But even with the fall-off of iPad sales, Apple will still remain very dominant in the tablet market. But it will share market leadership with Android-driven devices, and we can all agree Tablets are here to stay”

The Notebook Company extends credit terms to customers via RCS

The Notebook Company – one of the country’s leading notebook and accessories retailers - which also runs the on-line Sites: Laptop.co.za and Notebook.co.za – has announced that it has been approved as an RCS ‘acceptor’, allowing the company to issue and accept RCS cards as payment for goods for up to 24 months.

The RCS Group is an independent, financial services company operating in South Africa, Namibia and Botswana. Since its inception in 1999 RCS has provided credit and financial services to more than one million customers. Christopher Riley, MD of The Notebook Company, said that even though he is skeptical about selling to customers on credit – given the dire financial conditions facing many companies and consumers -  “going the RCS route enables us to enter into credit agreements with the call on an established, well run financial institution.”

He said he expects credit sales via RCS to grow over the next 12 months, and could have “a noticeable” impact on the company’s overall revenue.

“It is hard to project what revenue will now be generated via RCS sales, but I do believe it will be more than a blimp on the radar screen.”

Credit deals offered by The Notebook Company

The notebook Company offers short term rentals on laptops, iPads, projectors and related IT equipment. The company also offers a variety of longer term finance applications, from personal applications, business applications to Vodacom contracts.

Clients can apply online at www.notebook.co.za/finance

About RCS

The RCS Group is an independent, financial services company operating in South Africa, Namibia and Botswana. Since its inception in 1999 RCS has provided credit and financial services to more than one million customers.

RCS has since evolved to offer a diverse product range to customers, including private label cards, retail cards, personal loans and insurance.

The major shareholders in the RCS Group are The Foschini Group (55%) and Standard Bank (45%). Both the shareholders are listed on the Johannesburg Stock Exchange.