Port Washington, N.Y. — Sales of 4K and Ultra HD TVs have hit $668 million so far this year, marking growth of nearly nine times over last year, and the category is expected to register a strong holiday season, according to The NPD Group.
Sales of the ultra-high-resolution sets accounted for more than 7 percent of overall revenue of flat-panel TVs through Oct. 25, the market research firm said.
“This has been a year of increased awareness and an evolution in pricing for 4K/UHD TVs,” said Stephen Baker, NPD’s industry analysis VP. “4K/UHD was still very new to the market during the 2013 holiday shopping season, but we believe it will exceed everyone’s expectations this year as consumers have had a full year to learn about the benefits 4K/UHD brings to the market.”
More than 70 percent of the 4K/UHD TVs sold thus far this year were either 55-inch or 65-inch displays, NPD said, and this is despite an average selling price (ASP) of $2,400 for a UHD TV, vs. the $450 ASP for other flat-panel TVs.
Samsung took top prize as the market-share leader, capturing 50 percent of unit sales, which Baker attributed to “a variety of competitively priced options, concentrating on the hottest screen size segments.”
Sony took second place, with 25 percent, followed by Seiki and LG with 11 percent each.
Baker added: “As holiday promotions get underway, this year will be the critical point for 4K/UHD to begin to claim its position as the ‘must have’ premium TV experience. The right pricing combined with increased awareness will be essential for success this holiday. Prices have fallen 10 percent over the last four weeks, since Vizio entered the 4K/UHD market, showing that awareness and brand won’t be the only factors in delivering 4K/UHD volumes over the holiday.”
According to a recent study by the Consumer Electronics Association (CEA), 8 percent of U.S. adults named a TV as the one technology gift they would most like to receive this holiday.