New Data: The Audio Upgrade Cycle is Here — Insights for CE OEMS

As consumer expectations for audio quality continue to rise, consumer electronics OEMs have a prime opportunity to stay ahead of the curve and deliver immersive, seamless experiences across devices. Our recent survey of 2,000 U.S. and U.K. adults reveals key trends in wireless headphones and soundbars, presenting significant opportunities for manufacturers to innovate their product lines and capture the next wave of consumer spending.

Wireless headphones and soundbars top consumer wish lists

The market signals a major upgrade cycle is underway. Nearly 65% of respondents plan to purchase or upgrade at least one audio product in the next 12 months, with wireless headphones or earbuds (26%) and soundbars (25%) leading the pack. As consumers increasingly pair sound bars with their TVs and use headphones for video entertainment, the opportunity emerges to design these devices to replicate the immersive quality of home theater setups.

While 64% of consumers actively want or find a home theater setup desirable, only 19% plan to invest in one, primarily due to concerns about cost. This creates a massive market opportunity: Integrating advanced audio processing into soundbars and headphones makes it possible to deliver home theater-like audio, satisfying consumers’ cravings for premium sound without the high price tag.

Engage the next generation of audio enthusiasts

Gen Z adults, the oldest of whom are now in their late twenties, are poised to become the largest and highest-spending generational cohort in history. With 87% planning to buy or upgrade audio gear in the next 12 months, this digital-native generation is powering the next audio upgrade cycle.

Notably, Gen Z viewers are far more likely to use headphones when watching video entertainment on their TVs compared to other generations. They also overwhelmingly prefer phones, tablets and computers for consuming content. To capture this audience, prioritizing seamless, high-quality audio experiences in the hardware itself ensures your devices offer the processing and features required for premium performance across all platforms.

Partner for success in the evolving audio landscape

OEMs who continually innovate and adapt their product roadmaps can thrive in an audio landscape marked by rising expectations and shifting consumer behaviors. By leveraging the latest advancements in audio technology and partnering with experienced solution providers, companies can unlock new opportunities for product differentiation, premium tiering and greater market share across headphones and soundbars.

Curious what drives consumer audio preferences? Download our report for insights from 2,000 U.S. and U.K. adults on habits, expectations and buying choices.