What is the CE Market

The Custom Electronics Market is that which is made up of companies designing, installing and supporting low-voltage integrated systems in residential and commercial applications. 

Types of products that might be included here are:

  • Audio - In Wall & Ceiling Speakers, Distribution Amps, Audio Hard Drives, Media Servers, Multi-Room Audio Systems, Outdoor Music Systems
  • Video/Theater - Flat Panel Displays, Home Theater Receivers, Satellite TV, Home Theater Furniture & Seating, Gaming Systems
  • Networking - Structured Wiring, Wireless Networking, Hubs/Routers, Telephone Systems, Computers & Monitors
  • Security - CCTV, Burglary and Fire Systems
  • Home Controls - Lighting Control, Home Automation Systems, HVAC, Energy Management, Motorized Devices, Central Vacuum Systems
  • Product categories continue to be added annually - as consumers demand more functionality and the expertise to design & install these products

Custom electronics professionals are very influential is their breadth of installed products.  Customers call on them for one thing - maybe home theater or security, and they end up selling many more categories.   As a matter of fact, many custom electronics companies are skilled in so many product categories that they also serve additional markets including:

  • Health Care Facilities
  • Hotels
  • Houses of Worship
  • Schools & Colleges
  • Retail Stores
  • Restaurants, Bars and Clubs

A Custom Electronics Professional, by any other name ….

Because the custom electronics market is highly fragmented, so are the titles that companies doing this kind of work receive.  Here’s just a few names you’ll hear a custom electronics professional called:

  • CEPro (the original custom electronics professional)
  • Home Systems Integrator
  • CEDIA Dealer
  • Home Automation Professional
  • Electronic Systems Contractor (ESC)
  • Custom Installer
  • A/V Specialist
  • Low Voltage Guy
  • Home Technology Integrator
  • D/I (Dealer/Installer)
  • CI (Custom Installer)

Installation Company Profiles

Custom electronics integration companies generally choose a strategy in how they will position their business.  Trying to be everything to everyone is typically a recipe for failure, and integrators know that.  Click here to see detail on the major categories of custom electronics companies including:

  • High End Integrators
  • Mainstream Integrators
  • High-Volume Integrators
  • Home Theater Specialists
  • High Volume Specialists

What’s the Market Size?

The custom electronics market size is defined by both sales of products & installation/service revenues.   There are thousands of companies participating in the market - some as their core business and some as additional products & services they offer because end users are demanding a one-stop solution for their services.  

At CE Data, we focus on the companies who’s core business is custom electronics.  While we also communicate with thousands of other companies, our data is based on those who’s business strategy lands them in the heart of this market.

  • ~ 50,000 performing some type of low-voltage installation (security, structured wiring, TVs, PC networks, etc.) on a regular basis
  • ~ 38,000 companies active in custom electronics installation channel
  • Installation professionals touch 3 million+ homes/year
  • $5.26 billion worth of home technology product was sold into the CE channel in 2006

How Do Products Get Sold In This Market?  

As with any market, there are specific channels that products travel through to reach the end user.  In the custom electronics market, those channels often overlap and sometimes bypass each other.  Each participant in the sales channel has strengths to offer the market.   Because there is a strong need for product design, support, installation, service and maintenance, every participant in the sales channel has significant influence on delivering these products & services to the end user.  
We’ve identified each participant in the channel as they follow  a ”Direct Sales” or “Indirect Sales” sales flow,  with some that actually do both.   To understand more about how each participant influences the market and to learn more in detail about how products make their way through the custom electronics channel, you can contact our research group.