Brazilian PC market sees revenue boost in Q1 2021

The segment also had a sales increase of nearly 20% in the first three months of the year, according to IDC.

PC sales in Brazil saw a 19.7% increase in the first three months of the year, while total revenue for the segment grew 45.9% reaching 6.66 billion Brazilian reais ($1.2 billion) during Q1, according to new research from IT market intelligence firm IDC.

Some 1,772,417 computers were sold during the first quarter, the research noted. In relation to the buyer profiles, the most significant increase (24.4%) occurred in the corporate market, with 681,930 PCs were purchased by offices, IDC said.

Retailers acquired 1,090,487 computers, corresponding to 17% growth year on year. According to the IDC report, the retail segment saw increasing demand generated by the fast uptake of home working and learning as well as home entertainment.

According to the analyst, the demand was driven by a movement similar to the trend seen at the start of the Covid-19 pandemic, with high demand for notebooks for remote working. Moreover, demand from the government and education segments remained strong during Q1.

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Brazilian consumers preferred notebooks over desk computers, according to the research: of all the end-consumer PCs sold in Brazil in Q1 2021, 944,753 were portable and 145,734 were desktops.

PC prices in Brazil saw a 20% increase in the first quarter, due to the rise in the state tax on the circulation of goods and transportation and communication services, the IDC research noted.

In the first quarter of 2020, a desktop had an average price of 3,146 Brazilian reais ($598) while a notebook was priced at about 3,692 Brazilian reais ($702). In the first three months of 2021, average prices reached to 3,842 Brazilian reais ($731) for desktops and 4,450 Brazilian reais ($847) for notebooks, up 22.1% and 20.5%, respectively, according to IDC Brazil. 

According to IDC, the shortage of components was a constant theme in the sector in the first quarter of 2021, which impacted product availability. The analyst predicts the situation may continue until the end of this year and may be extended until 2022.

"[The lack of components] does not prevent the market from continuing to grow, but it hinders growth: on the one hand we have a growing and very strong demand, and on the other hand, we see difficulties in supply, since the global production of components and microprocessors remains very compromised", according to Reinaldo Sakis, consumer devices research and consulting manager at IDC Brazil.