U.S. consumers bought 1.7 million digital photo frames in 2006, indicating a spectacular growth of more than 400% over the previous year when there were only some 300-thousand units sold.
According to research firm Park Associates, the 2006 sales of digital photo frames exceeded their forecast by 42%, prompting them to revise their U.S. forecast to 50% cumulative average growth rate (CAGR) to 2010.
â€œThe digital photo frame market was a Cinderella story for many small vendors during the past holiday season. Many were happily surprised by the strength of consumer demand,â€ said PA research analyst Harry Wang.
He noted that expanded retail availability, decreased price and consumer interest in new gift ideas contributed to the explosive growth of the digital photo frame market.