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Small Screens Shake Up PDP Market

 Portland, Ore. — Unit sales of smaller-sized plasma TVs moved the category during the second quarter.

According to Quixel Research’s recently published USA PDP Market Review, after a soft first quarter the PDP category rebounded and posted a 30 percent increase in unit sales in the second quarter.

“The 32-inch and 42-inch plasma TVs were very effective in their respective market positions during the second quarter,” stated Tamaryn Pratt, Quixel Research’s principal.

“Prices for the 42-inch models were very reasonable and the products were well distributed. Those in the industry sometimes forget that a 720p model is also HD and a good product for many consumers at the right price point. The new 32-inch PDP entry took advantage of tight LCDTV supply at that screen size and hit a home run in its first quarter out, accounting for 18 percent of the total market in units.”

Total volume for the 50-inch-and-larger segment was up 95 percent quarter-to-quarter and up 53 percent year-to-year.

Overall revenues for the PDP category were also up quarter-to-quarter, but the significant unit sales of smaller, lower-cost products stemmed growth at 8 percent. Revenues in the second quarter of this year were $1.1 billion compared to $1 billion in the first quarter.

Total value for the 50-inch-larger segment was up 53 percent quarter-to-quarter and 7 percent year-to-year, the survey indicated.

The total value of the advanced TV market in the USA was worth almost $7 billion in revenues in the second quarter of 2008 and the plasma TV segment represented 16 percent of that market in revenues and 12 percent in volume.

Quixel Research’s projections for the USA LCD TV market in units show category sales flattening in 2010.