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Rising Expectations for an Enhanced Meeting Experience Drives Product Innovation
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The Asia-Pacific enterprise video conferencing market is witnessing increasing demand, driven by a focus on simplification and lower prices. End users are seeking an enhanced meeting experience, which is also driving the innovation of video collaboration products. The study sheds light on the competitive dynamic and provides market share analysis. Market trends indicate rising customer awareness, which will ensure reliability and quality within the overall framework of technology upgrades. The forecast period is from 2017 to 2023, and the base year is 2016. Sub-regions discussed in the study are Australia and New Zealand (ANZ), ASEAN, Greater China, India, Japan, and South Korea. Key market participants include, but are not limited to, Huawei, Cisco, Polycom, Sony, ZTE, Kedacom, Avaya, and Lifesize.In 2016, the total market revenue increased by 3.4% on a yearly basis, and was valued at $815.6 million. Immersive telepresence and single-codec systems witnessed positive growth. However, executive desktop system and video infrastructure segments recorded a revenue decline as compared to the previous year. The report highlights the drivers and restraints in the total Asia-Pacific video conferencing endpoints and infrastructure market. Key market drivers include improved features and user experience, extension of video connections to more users, a growing number of huddle rooms along with a vastly improved user experience, lower pricing (creating growth opportunities), software-centric and cloud-based services (boosting the usage and further demand for room systems), and rising ROI of video collaboration solutions (facilitating the adoption of VC for external communications).Key market restraints include stronger emergence of freemium and lower-priced alternatives (impacting revenue potential), global and regional economic challenges (inhibiting market adoption), and saturation in mature markets such as ANZ, China, and Japan (slowing down adoption).The average selling price (ASP) per codec had a prospective decline despite improvements in the features and function of endpoints. Price erosion by competition, promotional offers for UC bundled solutions, and emerging lower-priced huddle room systems are expected to further drive down the average selling price. Despite rapid user adoption, revenue growth will be under pressure due to precipitously declining prices. As the price for HD codec is expected to decrease by 2–5% per annum during the forecast period, with the emergence of huddle room systems, market opportunities from SMBs and mid-sized companies are anticipated to increase gradually in terms of new customer acquisitions.Growth opportunities such as video collaboration vision, huddle rooms, flexible meeting spaces, and SMB markets are considered as strategic imperatives for video conferencing providers during the forecast period.
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