Global Tech Market Faces New Cycles, Premium Trends, and Regional Shifts, A Presentation by Dr. Sara Warneke At IFA 2025

As IFA 2025 prepares to open its doors in Berlin, the world’s leading stage for consumer and home electronics is once again setting the tone for the months ahead. Beyond the spectacle of product launches and futuristic demos, the event also serves as a barometer for the health of the global tech industry. At the opening press conference, Dr. Sara Warneke, Managing Director of GFU Consumer & Home Electronics GmbH, delivered the Global Tech Market Outlook—a data-driven assessment of where growth is coming from, what challenges persist, and how consumer behavior is evolving.

Volatility Defines the Backdrop

Warneke began by acknowledging the turbulent environment in which consumer tech companies now operate. Geopolitics, protectionist trade policies, and fragile monetary strategies continue to create volatility. U.S. tariff measures are straining supply chains, while inflation has eased from its peak but remains stubborn. The IMF forecasts global GDP growth at 3.0% in 2025 and 3.1% in 2026—figures that reflect resilience in some regions but persistent weakness in others.

The U.S. faces weak consumer demand and policy unpredictability, while China navigates the twin pressures of tariffs and stimulus-driven growth. India stands out as one of the more resilient economies. For the consumer tech industry, these macro forces translate into uneven demand, strained margins, and cautious spending patterns.

Market Back in Growth Mode—But Unevenly

Despite the headwinds, Warneke reported that the global home and consumer tech market is returning to growth. In the first half of 2025, sales reached $403 billion, a 4.6% year-on-year increase.

Information technologies are the standout, benefiting from both consumer and enterprise demand as a new upgrade cycle begins.
Telecom, major domestic appliances, and small domestic appliances each posted growth in the 4–5% range.
Consumer electronics lagged—flat in revenue and slightly down in units, reflecting longer replacement cycles and market saturation.

Regional Differences Tell the Story

The real growth engines are emerging regions.

China surged ahead thanks to government subsidies, with air conditioners up 24% in units vs. 11% globally. Smartphones and mobile PCs also outpaced the global market. However, Warneke cautioned that demand could cool when subsidies expire in Q4 2025.
Middle East, Africa, and Latin America expanded at a mid-single-digit pace, driven by population growth and improved access to technology.
Western Europe was broadly flat, while developed Asia slipped negative due to saturation and export headwinds.

Premium Features Drive Spending in Mature Markets

In wealthier economies, ownership levels are already high, and buyers are selective. Consumers invest when products deliver clear benefits: durability, quality, energy efficiency, and convenience.

Warneke highlighted several standout product trends:

Small appliances: Wet-and-dry vacuum cleaners and robot vacuums are booming. Espresso machines are enjoying a renaissance.
Major appliances: Washing machines with auto-dosing simplify routines and cut detergent waste.
Consumer electronics: Demand for 75-inch+ premium TVs is climbing, while smartphones with expanded storage and high-refresh-rate monitors are winning with performance-hungry buyers.

The clear takeaway: value growth is outpacing unit growth. Consumers are willing to pay more per device when features directly improve their daily experience.

What to Expect in 2025 and Beyond

Looking ahead, Warneke identified three strong signals for the next 12 months:

Upgrade cycles – Mobile PCs will enter a new replacement wave as Windows 10 support ends and pandemic-era devices age out. Expect stronger demand for AI-ready laptops with more memory, better graphics, and longer battery life.
Premium experiences – In TVs, the next wave will be about larger screens, improved panels, and richer audio, not just hardware refreshes.
Smart efficiency – Energy-efficient appliances will gain traction, while connected kitchen devices with IoT features (guided cooking, predictive maintenance) expand.

On the retail side, Warneke expects fewer blanket discounts. Instead, companies will lean into event-driven promotions, curated bundles, and value through software updates and accessories.

Innovation With Tangible Benefits

In closing, Warneke stressed that the industry must focus on:

Innovation with tangible benefits
Pricing with restraint
Clear communication

“The market’s heartbeat is shifting from how many to how much,” she concluded. For companies, that means competing less on volume and more on features that justify higher prices—even in uncertain times.

As IFA 2025 prepares to open its doors, Warneke’s outlook provides a sobering yet optimistic roadmap: growth is possible, but it will be won through sharper value propositions, smart efficiency, and consumer-first innovation.

Filed in Events >General. Read more about IFA, IFA 2025, Innovation, Market, Technology and Technology Conference.