Global TV Sales Up, But Snags Seen Here
By Greg Tarr On Sep 13 2010 - 3:01am
SANTA CLARA, CALIF
. — Second-quarter shipments of
overall TV units in North America dropped 3 percent year
to year after a weak 1 percent increase in Q1 2010, according
to a new global TV study released by The NPD
The report said shipments in the No. 1-ranked TV market,
China, saw LCD TV shipments cool off a bit as well,
with factory shipments rising 31 percent year to year after
posting triple-digit growth in 2009.
This was less than had been expected for the Chinese
brands, and resulted from weaker holiday sales, Display-
Still, the firm said overall TV shipments continued to
show resilience, bouncing back from dismal 2009 levels.
Global TV unit shipments rose 26 percent year over year
in Q2 2010 to 56.2 million units, a 2 percent increase from
Q1 2010, according to the research firm.
TV shipments to Japan surged another 56 percent year
to year, the most of any developed region. The governmentsponsored
Eco-Points program continued to encourage
consumers to trade up to more energy-efficient models,
Latin America was the strongest region in terms of
growth, rising 70 percent year to year to a record 7.3 million
TVs shipped in a single quarter.
The popularity of the World Cup telecasts was credited
with helping to drive sales for the region in the period.
Similarly, shipments to Europe also increased due to anticipated
World Cup excitement, but sell-through results
were less than spectacular, according to the report.
A build-up of inventory, combined with a weaker euro, will
likely lead to a correction in Q3 2010 in order to make way
for the holiday season in Q4 2010, DisplaySearch said.
“The results for TV shipments in Q2 were definitely
mixed, as not all regions benefited from external stimuli
like the World Cup or digital TV transitions in regions
such as Europe,” noted Paul Gagnon, DisplaySearch
North America TV market research director. “At the same
time, many manufacturers are rapidly adopting advanced
technologies like LED, 3D and Internet connectivity, all of
which will serve to increase the average price. However, as
consumers still seem reluctant to spend, this hard shift in
mix could be contributing to slower growth in markets like
As an example of the consumer demand for value, plasma
TV shipment growth has been accelerating, increasing
from single-digit growth in Q4 2009 to 47 percent year-toyear
growth in Q2 2010. Plasma offers a greater value-perinch
than comparable LCD sets, and this gap widened in
LCD TV shipments in the first half of 2010 have been
below expectations, but it is still possible to have a strong
second half performance, DisplaySearch believes.
Recent declines in panel prices will probably lead to low
Q4 set prices, driving increases in unit demand. Even CRT
had a better-than-expected result in Q2 2010, as emerging
markets purchased inexpensive sets for the World Cup, according
to the study.
The share of LCD TVs with LED backlighting jumped
sharply in the second quarter.
Following TV manufacturers’ moves of spreading the use
of LED backlights in their LCD TV lineups, the share of
LED-backlit LCD TVs increased from less than 8 percent
in Q1 2010 to nearly 18 percent in Q2 2010.
Considering the average LED LCD TV carried an average
selling price (ASP) that was more than double that of a
CCFL-backlit model, the impact on revenue share for LED
LCD TVs was even more pronounced.
The vast majority of these LED-backlit LCD TVs used an
edge-lit configuration, to capitalize on the benefits of lower
cost, slimmer profiles and lower energy consumption.
As for market share by brand, DisplaySearch found that
Samsung continued to pace all global TV brands in the
Samsung’s global flat-panel TV market share increased
more than two points to 24.4 percent, a new record for the
brand. With the No. 1 position in LCD and a strong No.
2 position in plasma, Samsung is able to participate in all
major TV market segments and compete effectively with
products priced at a premium to the market average.
Samsung also had the No. 1 LED and 40-inch-plus TV
LG Electronics (LGE) was the No. 2 brand worldwide
at 14.1 percent, unchanged from Q1, with share growth
in plasma TV helping to offset some decline in LCD share.
Like Samsung, LGE participates in all of the major TV categories,
including LCD, plasma and CRT.
DisplaySearch noted, “LGE can address all market segments,
and has a strong share position in emerging markets.”
Sony rounded out the top three brands in global flatpanel
TV revenue during Q2 2010, rising to 12.8 percent
on the strongest quarter-to-quarter growth of the top five
Sony also reclaimed the No. 2 revenue share position in
global LCD TV sales, overtaking LGE for the first time in
over a year.