Global TV market contracts for second straight year
Editor | 14-03-2014
In what may be of some concern to the industry, the global TV market has shown its second straight year of decline, with former hot markets looking decidedly cold.
According to a new report from IHS Technology, total shipments declined 6% year-on-year from what it called ‘already soft’ 2012 levels to a total of 225.1 million units. This, says, IHS was accompanied by a slow down in the liquid-crystal display (LCD) TV space in China, Asia-Pacific and Eastern Europe. This followed a 7% overall year-on-year fall in 2012, and continued a downward trajectory for a market showed an 11% surge in 2010 but then collapsed to1% year-on-year growth only 12 months later.
Once the key markets for TV shipments, North America and Western Europe were particularly disappointing with 9% and 4% falls in shipments respectively. The also once mighty Chinese suffered what the analyst called a noteworthy reversal during the third and fourth quarters of 2013 as the country’s LCD TV market declined in those quarters compared with the same three-month periods a year before in 2012. This was the first time this has happened, said HIS, which added that new growth in the China TV market is increasingly hard to come by, and an expired subsidy program provided by Beijing for new appliances has removed a previously powerful incentive for consumers to make new TV purchases.
“The global TV market continues to be in transition following a golden period of tremendous growth from 2009 to 2011,” commented Jusy Hong, principal analyst for consumer devices at IHS. “Television shipments were down again in 2013 just like in 2012, but an unusual development was the slow market last year in China, Asia-Pacific and Eastern Europe — until recently among the brighter spots for the industry.”