Digital TV to Help Holiday Electronics Sales

Forecast: Electronics sales will grow 4 percent while rest of market lags.

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Sales of digital TVs and converters will help retailers.
Sales of digital TVs and converters will help retailers.

The transition to digital TV will help spur electronics buying for the holidays, keeping that sector well ahead of an otherwise lagging retail business. Gadget retailers can hope to see their sales jump 4 percent. The broader retail market will grow only 1.5 percent for the season, which would be the worst since 1991, say forecasters at TNS Retail Forward.

Now, the forecast was probably put together before the financial fears enveloped Wall Street. But it seems safe to say that a different fear—of losing TV after the switch to digital—will likely boost the sale of new TVs and related gear this fall.