The prices of global TV increased by about a third in 2013 and are projected to increase further this year. This could be good news for the world’s two biggest TV companies, Samsung Electronics Co. and LG Electronics Inc. If they are able to manage cost, if they can control.
According to Samsung’s business report, the prices for TVs on average increased 32% over the previous year, driven by an increase in logistics costs as well as the higher cost for LCD screens. LG announced that the price of its TVs sales increased 26.4 percent in 2021.
Industry watchers say the good TV price increases are not typical because these prices usually drop every year due to TV makers distributing old models in large numbers to reduce their inventory and then revealing new models.
In 2017, also known as”the year of supercycle for LCD panels the prices of TVs increased by about 10% from the previous year.
Industry experts said that the “stay-at-home” trend of the COVID-19 time frame has increased sales of TVs along with an increase in the launch of more expensive and larger high-end TV models.
Samsung reported in its annual report that the display panels for monitors and TVs it got via its affiliated Samsung Display Co. and Chinese suppliers increased around 39% by 2021. LG stated that the cost for LCD Television panels it purchased from its suppliers increased 47.5 percent in the past year, increasing the price of TV sales.
The 55-inch LCD TVs made from Samsung and LG currently retail for between 1.3 million won or 1.5 million won (1,065-1,229 dollars) per unit that is about 200,000 won higher in the second half of 2021.
PLANT SHUTDOWNS IN SOUTHEAST ASIA
Plant shut downs within Southeast Asia, where many companies from the world of TV have their manufacturing facilities along with increased logistic costs due to the aftermath of the war between Russia and Ukraine and war between Ukraine and Russia, have led to an increase in the cost of TV Industry officials have stated.
Samsung and LG announced that they will launch their lineups of 2022 televisions. will be targeted at premium models that cost a lot to counter rising costs for components.
Samsung the world’s most renowned TV manufacturer, has announced it has bolstered its large-sized and high-end TV range which includes the Neo QLED 75-inch, 8K, and over size models.
The company will showcase the latest TVs such as Neo QLED TVs, at the event online, which is titled Unbox and Discover 2022 on Wednesday.Also Read Little Alchemy Hints
In mid-March Samsung declared that it was Pre-orders are being taken for its first quantum dot or QD-OLED televisions. to be sold across the world to be sold worldwide, starting with North American and European markets.
Samsung has announced the launch of 65-inch and 55-inch 4K TVs that feature QD-OLED panels, supplied through Samsung Display, which showcased its new generation panel during CES 2022, which took place in the month of January.
Samsung Electronics also plans to reveal an 89-inch MicroLED TV, which is the company’s most quality TV, following May.
According to the market monitor Omdia, Samsung was the most dominant player, particularly in the premium segment of 2021. It accounted for 42.1 percent of TVs that cost $2,500 or more. In the larger than 80 inches TV market, Samsung controlled 44.9% of the market.
LG is working to increase its presence in the segment of high-end recently announced 22 new models OLED TVs that cost between 20% and 30% more than LCD TVs. Some LG tv are very good for car games.
LG is the second largest manufacturer in the TV market, yet it is the leading producer of OLED TVs, with an estimated market share of more than 60 percent.
The company has recently announced that the production of OLED TVs nearly increased in size to 4.05 million units in the last year. this year , it anticipates it to increase its OLED television models to make up 42.1 percent of the $1500 and more expensive television market.
“Samsung and LG need to diversify their TV parts procurement channels to reduce supply-side risks amid the rising trend of TV prices,” stated an industry source.