Global TV shipments take a beating
Research firm DisplaySearch has published its latest Advanced Quarterly Global TV Shipment and Forecast Report covering Q1 2012. According to the data offered in the report, global LCD TV shipments have fallen for the first time ever during Q1 2012. Global LCD television shipments slipped 3% year-over-year and all other TV technologies were down in shipments as well.
The report found that larger screen sizes were experiencing strong growth thanks to lower panel pricing. Shipments fell slightly from Q4 2011 due to the seasonal shift from the holiday buying season. Overall global shipments in Q1 of 2012 declined 8% year-over-year to 51 million units. A reduction in shipments for LCD TVs was the biggest reason for the decline with LCD TV segment slipping 3% to 43 million units shipped.
“Soft demand and cautious expectations about the upcoming year in many parts of the TV supply chain have led to a slowdown in shipments,” noted Paul Gagnon, NPD DisplaySearch Director of North America TV Research. Gagnon added, “Key component prices, such as LCD panels, are not expected to decline much in 2012, and many brands are concentrating on improving their bottom line. Both of these trends will contribute to slowing unit volume among a price conscious consumer market.”
The LCD TV market is growing for 40-inch and larger screens thanks to a sharp decline in plasma TV demand. The average LCD TV size increased 5% year-over-year in Q1 passing 35 inches for the first time. Gains in the segment were noted in both emerging and developed markets. The market share for LCD TVs using LED backlighting also grew from 51% in Q4 of 2011 almost 56% for Q1 2012. That's up 20% from a year ago because LED backlit sets are becoming cheaper.
Plasma TV units continued to decline falling 18% year-over-year in Q1 2012. DisplaySearch notes that its figures show consumers are buying on price when shopping for plasma TVs.
The overall market for TVs with 40-inch and larger screens increased to over 37% in Q1 2012 compared to 31% market share the previous year. The increase in larger screen shipments is thanks reduce prices with 40 to 44-inch LCD TVs averaging below $600 in new 50-inch LCD TVs selling for under $1,000.
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