TV competition "shift" large screen TV to open a new round of "competition"

With the continuous entry of brands and changes in the competitive landscape, new variables are added to the TV market. In October, Changhong, Konka, Xiaomi, Samsung, TCL and other TV brands focused on large screen TV, and planned to launch a new round of price popularization storm.

On October 11, the reporter of Securities Daily learned from many TV enterprises such as Thunderbird, Samsung, Konka, etc. that in the next two months, some of their size TVs will launch a round of price reduction measures. It is planned to issue relevant price reduction promotion notices to dealers in the near future. Large screen TVs above 65 inches will be the main products for price reduction, and the price reduction of 100 inch large screen TVs will be more than 1000 yuan. Taking the opportunity of the upcoming year-end promotion, TV manufacturers have targeted the market's main "pull force" large screen TVs to reach their sales targets.

"In the first half of this year, Chinese TV brands have repeatedly raised the price of their products collectively, and the average price of the whole set has risen by more than 20% compared with the beginning of the year. However, in the field of large screen TV with increasingly fierce competition, large size panels have accumulated a lot of growth, and their costs began to stabilize in June this year. With the advent of the second half of this year, large screen TV may seek price downward under the fierce competition." Dong Min, Deputy Secretary General of China Electronic Video Industry Association, said in an interview with Securities Daily.

Market shift into the "big screen battle"

Price reduction is regarded as the "key word" of the color TV industry in the second half of this year by the industry. On the one hand, the panel price, which accounts for more than 70% of the TV cost, keeps falling, directly driving the TV price down again and again. On the other hand, under the lack of new impetus for TV consumption, TV sales grew slowly, and the overall level was still 10 years ago.

On October 10, Lotu Technology released data that in September this year, the total number of Chinese TV market shipments reached 3.55 million, up 20.3% month on month, but still less than last year, down 13.0% year on year. At the same time, the overall pulling force of large screen TV to the TV market is more significant.

Hu Chuncai, general manager of Sunrise Consulting, told the Securities Daily: "Under the upgrading of household appliances consumption, large screen TV is a trend for residents to iterate. More brands will enter and the competition will become more intense. With the increase of TV production, the scale effect of large screen color TV will further reduce the cost."

At present, the large screen has occupied an important position in the television field. According to the report released by Loto Technology, the average size of Chinese TVs has hit 65 inches since October this year. By June 2023, the average size of China's complete machine market has exceeded 60 inches, and 65 inches has become the first choice for TV size.

At the same time, large screen TV has become the main force driving the sales of TV market. According to the data of Ovi Cloud, it is estimated that the retail volume of China's color TV market will reach 36.1 million units in 2023, with a retail volume of 118.7 billion yuan, an increase of 5.7% year on year driven by large screen TVs. At the same time, the structural upgrading continues to move forward. It is expected that the market share of 75 inch color TV products will reach 25% in 2023, an increase of 6.6% over the same period last year.

Large screen TV brands are also growing rapidly. According to Tianyan's App search, the growth rate of new large screen TV brands has reached 50% since this year. In terms of competition pattern and situation, in addition to Hisense, Changhong, TCL, Skyworth and other TV enterprises focusing on the large screen market of laser TV, OLED, ULED TV, brands such as Xiaomi and Jimi have impacted on the medium and high-end large screen projection TV field, and Huawei, Jingchuangxing and others have also accelerated to explore new horizons in the large screen market. According to the data of Ovi Cloud, at present, the top ten brands have taken up 80% of the large screen TV market.

In this context, the core of market competition has gradually shifted from "small and medium-sized tug of war" to "big screen battle". "In 2023, the large size TV market will enter an important growth period, and household appliance enterprises will officially enter into large-scale competition. This year's' Double 11 'color TV market war, large screen TVs over 75 inches may become the focus of the market and the hot spot of competition." Jiemeijuan, deputy general manager of the consumer electronics business department of Ovi Cloud, told reporters.

Ready for a new round of price reduction?

In the face of a new round of competition in the next two months, many TV brands have begun to "test the waters" in advance and take the initiative to "discount" some new products. Recently, TCL promoted the new 4K large screen TV, and the price dropped by more than 1000 yuan. At the same time, Samsung Electronics reduced the price of the 83 inch OLED TV just launched in the global market. In addition, LG has also followed suit and also seized the market with low price strategy in many places around the world. At present, driven by mainstream brands, the 65 inch large screen TV in the market has reached the level of about 2000 yuan.

In fact, in recent years, mainstream brands have continuously lowered the price of televisions above 65 inches. At the same time, since last year, TCL and other enterprises have been promoting the 100 inch large screen market by means of "price popularization". Konka and Changhong have joined the 100 inch TV "competition" this year, bringing the price below 10000 yuan.

Wang Xianming, a senior analyst of Lotto Technology TV industry chain, told the reporter of Securities Daily: "October is about to usher in the" Double 11 "pre-sale, and large screen TV may usher in the" promotion war "of major models. In the segment market, such as 75 inch and above large size and oversize TVs, it is expected to continue to perform well in the fourth quarter, and enterprises will also focus on investing more promotion resources, including the formulation of new price strategies. "

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