There has been a huge blow to the PC industry for the last year. People are facing high PC prices in the market and online stores. So, buying a component or a device is not suitable during this time. So now the question becomes, when will PC parts prices drop?
If you need a quick answer, the prices won’t drop soon. There is a global shortage of personal computer parts, and the supply is not fulfilling the demands.
In this article, I’ll talk about the skyrocketing costs of this market. Also, I will put light on various factors, especially the main problem causing double Cs (Crypto & Covid). Then, I will tell you the best time to buy a pc component. And lastly, I will share my thought on this crisis and where it will lead.
Table of contentsRetail Vs Online
The Current Market
Until now, gamers and ordinary users have found it hard to get low desktop computer prices. The shortfall of the components caused a lot of inconveniences to the buyers. So, many people are thinking twice before they make a purchase. The global shortfall is hit particularly by Covid and Crypto.
I will discuss each one later, but both of them caused a severe production downfall. It is not only affecting the computer market but also shutting down EV’s industry and poking the smart home devices production. Due to the demand for computers and their components in every field, the supply vacuum is created in the production of semiconductors.
With the rise in technology, computers parts are required to run electric vehicles, smart home appliances, IoT, and (of course) PCs. And their parts are made from silicon, which is not fulfilling the need. The shortage increased desktop parts prices. However, there is still some hope remaining.
Even though many computer components cost too much at the moment, their production is speeding up to match that demand. The current situation is quite in hands, and the market is slowly stabilising. But still, it will take some time for things to normalise, and you need a heavy pocket to buy products in the current situation. You can choose the average parts that are decent enough to give you the required performance.
In 2021, the UK PC market revenue was more than 10.6 billion U.S dollars. But, according to the experts, the surge in demand will eventually decrease. Because due to less buying potential of end-users, the annual revenue might fall to 10.1 billion U.S dollars by 2026.
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The pandemic has been a nightmare for many industries. Like other markets, this notorious disease also caused the pc components' costs to fire up to the sky. The pandemic has shut down many businesses, shops, markets, and factories. The mass production of desktop computer manufacturing also slowed down with that. But since them, covid gave businesses and their employees a reason to work from home, it boomed the demand for personal computers. As a result, the demand for their component was also boosted.
This drastic increase in the use of PCs creates a shortage of components.
Let me break this down into more details for you.
Also, manufacturing factories were operating with less strength. Some were limited to 50% of employees at a time; some even worked with a 25% workforce. But there were also some factories that completely shut down due to the severe number of cases among the factory staff.
But the business and online workers needed to work with PCs. Their offices were closed so that they couldn’t run their businesses from there. As a result, the demand creates a shortage of components, resulting in the price of pc parts rising. At the same time, many newcomers rushed to the online market.
Since many businesses started their work online, they ordered and bought the components in large stocks. Also, observing the trend, many ongoing successful businesses started new projects which involved a lot of tech. Hence, it created a vacuum for the components, eventually affecting their price. But there is another element that caused the computer components prices to hike, and it is a more potent cause of it.
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With the rise of cryptocurrencies, especially Bitcoin, the desktop PC parts costs elevated as well. Since 2019, when Bitcoin suddenly gained immense popularity and attention, many people not only invested in Bitcoin, but also a lot of them started establishing mining rigs for it.
The average crypto mining computer consumes a large amount of power. Moreover, they generate a lot of heat in the process of mining. Miners started ordering big batches of cooling systems and graphic cards to cool their systems and make them more efficient. Although they required the other essential parts to set up as many mining units, the miners particularly bought large stocks of GPUs.
You must’ve seen a tremendous shortage of graphic cards in the world. It is because when a company like Nvidia or AMD releases a powerful GPU, the miners buy their entire stock before the gamers even select one. Hence, all units were sold out even before they entered the market. This pre-ordering not only lowers the supply of GPUs to the demand but also leads to another torment for normal consumers.
The limitation of components in the market tempted many suppliers to sell them with marked-up prices. If you’ve been seeing a computer part price insanely high, it is probably because it was selling in black. Some potential buyers may be able to afford them at that insane cost, but the average user was left without an essential part.
So less manufacturing power and pre-orders of entire stocks by crypto miners led to a hollow section of these pc parts available. It has been hard for gamers and other users to upgrade their existing PCs or buy new ones. They were either forced to spend a lot or just keep working with their current setups.
Best Times To Buy PC Parts
After reading this article so far, you might be asking yourself: so when will PC parts prices drop then? When will I be able to upgrade my components? Listen carefully, you will get many opportunities throughout the year, and you can get those benefits if you purchase on time. Here are some main events when you can buy the components at a great price:
Black Friday is undoubtedly the best sales time for buyers. You can get anything at insane discounts, including computer parts. I’ve seen many deals, even with 85-90% discounts on their products.
The reason behind Black Friday is that retailers need to sell their old stock. It doesn’t mean that you will be getting a monochrome monitor or 2 core CPUs. The old stock could contain parts that are a year or two old, that don’t sell out at the right time. So, suppliers need to get rid of them to make some room for the new products.
People take advantage of the discounts and purchase things at the best time. However, with the pandemic’s outbreak, people don’t hit the shops in person as much. According to the Guardian, there were 26% more purchases online in the UK in 2021, as compared to 2020.
I know if there is a shortage of parts in the market, they will hardly be available during Black Friday. But the retailers made huge sales during this time (not mentioning the profit). So, many retailers keep some stock, especially for this event. If a store bought the components near November, they most likely save some to put on display during the event.
How about discussing an event specifically designed for the electronical market sales? Although Black Friday should be enough to get you your desired PC part at an affordable price, you can purchase things on Cyber Monday as well. The event is on the first Monday after Thanksgiving.
You can take out the best deals on CPUs, hard drives, RAMs, keyboards, mice, DVD players, and much other electrical equipment. There are great discounts available on your required electronics so that it won’t put stress on your wallet.
Adobe’s statistics of 2021 show that people have spent 10.7 billion US dollars on Cyber Monday. November is great for shopping stuff, as the statistics also state that 22 days of Nov. 2021 marked more than $3 billion in online shopping. It was a large number compared to 2020 when there were only 3 days.
It shows that Cyber Monday could be your best shot to get the pc components prices down to your budget.
Christmas & New Year
Everyone will love a Christmas present from vendors of low PC components prices. Factoring in these special events (including the above two), you can save big during the last 40-45 days of the year. The stores put on amazing discounts on Christmas, and most also stretch till the new year.
Many retailers start their offers a week before Christmas, and some extend them to the first seven days of next year. So, you have more than two weeks to buy the components either for yourself or for someone you love.
However, there aren’t many cost decreases during these days compared to the above mentioned special days. You may get price drops of up to 15-25%, or you may even get 60% off. But usually, they stay around 30%. Still, there is a chance for you to get a decent deal. Make sure you compare the market before making any purchases.
Holidays And Special Days
There are many special days like Easter, Halloween, St. Patricks Day, etc throughout the year. Look for the discount offers on these days. Although the price drop may not be much, you may get a part that was merely out of your affordable range a few weeks before.
Moreover, the companies release their new products near a special event. So, you have a high chance to catch that new personal computer part price at a low. You can also give it a try during a festival or a particular sports event. The deals could be crazy during the UEFA Champions League, or during the release of FIFA, or any other event.
Plus, if you like to buy from Amazon, you get one more special day. We are of course talking about Amazon Prime Day! It is a great opportunity to get your hands on your desired product. But you need to be an Amazon Prime member to avail this chance. You don’t want to miss this deal where you can save a lot.
And since it’s Prime members exclusive only, you have low competition. There is less chance that your deal may completely sell out.
There is a downside to Prime day though, it doesn’t have a specific day. Amazon mostly announced it in July. But in 2020, the company postponed it to October and held it in June last year. Our guess is that you can expect it in July again this year.
Apart from the holidays and occasional events, pc part companies and retail stores organise special sales. It could be their anniversary or due to the launch of a new flagship product. These sales may vary, so you need to keep your eye out for the most potential ones. Visit your favourite stores regularly to catch the sale right on time.
It is not only limited to visiting stores. You need to go online and keep an eye on the e-commerce shops to get your desired desktop part price low. Apart from (already mentioned) Amazon, they include eBay, ASDA, Etsy, OnBuy, and many more.
There might also be an option to get coupons on these sales that you can use later. The coupons are valuable tokens that sometimes feel like a lifesaver. Although the drop is not significant, each one of your hard-earned pennies matters. So, why not get coupons when you have a chance to do so?
Retail Vs Online
Pc parts prices also depend on the nature of the market you are buying from. The short answer is online shopping for computer parts is cheaper than buying them by visiting a retail shop. Although shopping online includes the shipping cost sometimes, it’s not that much. Retail shops or physical stores usually charge higher due to their shipping charges and the shops cut.
But there is more to the story. Since the outbreak of Covid, there has been a rush of new online stores in the market. Hence, it drops the pc components prices a lot due to the competition.
Moreover, you need to go to the marketplace in order to buy the component. But online, the component comes to your doorsteps. Pretty convenient!
There is a catch however; you can’t test the product before buying it online. The open markets have an edge that you can check out the product by its looks and the packaging materials tell a lot about it. But online, you only have to trust pictures and reviews. Reviews can help tremendously, but not every product has a helpful amount of reviews by which you can deduce the quality.
Another benefit of buying components from retail shops is that replacing defective items is easier. Online refund procedures bound you to many complications and headaches. So, the former is helpful to save you from buying a broken part or a low-quality product.
So which one should you pick?
Linking it to the discussing sections, the online purchases give your computer components price drops from time to time. In the form of many discounts, coupons, sales, special events, holidays, and other discussed situations, you often have price drops in online markets. Also, a lot of stores are going online so you will observe significant drops due to competition.
By buying them from retailers, you still have the price drops. And they are also decent enough that you can save some bucks. But you don’t have the option to compare features and prices against other products. All you are stuck with is the parts that your shop has available. Or you need to go to other markets to compare PC components. However, the convenience of replacement or technical services will be a bonus in this case.
The choice is totally yours although we personally recommend online stores as their benefits far outweigh their drawbacks.
Does Waiting For Prices To Go Down Help?
It is among the favourite question of many buyers.
Basically, it depends on the component, its specs, and the frequency of release of the new generations/models.
Like if you wait for a newly released product price to drop, and its next model will release in a year, let’s just say that you will be waiting for a while.
After all the wait, the technology of the current generation will get old, and the drop won’t be so significant if the product has a high value for money ratio.
But if you wait for a budget or mid-range personal computer component price to drop, then there’s still a chance that you could save some money. However, if you are planning to wait a bit and see if a drop of, say 33-40% happens, you are more likely to get that on second-hand components. Newly released product prices don’t fluctuate much, especially from a reputed company like Nvidia, AMD, Intel, etc.
However, waiting might help you in other companies products’ price drops. But you will be compromising on the quality as there is no guarantee of low-profile brands. So, in the end, I can say you may be waiting weeks or months for the average computer parts prices to drop. But for some high-end components, it will be a waste of time. Unless soon there will be an event or occasion where you can expect a discount!
The Future Of PC Parts Prices
Looking forward to this year, the costs hike will likely continue. It looks like we all need to either wait a long time or reluctantly buy the parts at high prices (if they are available). Though Covid is subsiding and things are coming back to normal, crypto mining will keep lifting the prices.
However, this crypto mining bubble will burst soon because it has an insatiable thirst for components, especially GPUs and electric power. People are working to find alternative ways to reduce mining power consumption. Also, many new cryptocurrencies are introduced that don’t require mining. So, the prices might normalise in a couple of years. However, right now, we need to accept that the current market situation isn’t a good one. Best of luck on your PC parts hunting journey!
This ties into the question should you build your PC or buy a pre-built one?
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