Sales of TVs have been on the rise for many years. However, in 2012, TV sales fell for the first time in more than a decade, according to IHS iSuppli. Growth is expected to return in 2014 and 2015 based on Ultra HD resolution, OLED TVs and sports events.
Global sales of TVs fell in 2012
According to research firm IHS iSuppli, sales of TVs fell to 238.5 million in 2012, down from 254.6 million in 2011. In the most mature markets picture tube TVs have been largely replaced and especially Japan took a nosedive in 2012. 13.5 million fewer TVs were sold in Japan, which accounts for most of the global decline.
2013 is expected to be roughly on par with 2012 but growth will return in 2014 and 2015. In 2015, IHS expects consumers to buy as many TVs as in the record year of 2011.
- â€śWhile some specific events contributed to the downturn of 2012, such as the fall of sales to the Japanese market, the decline reflects a fundamental slowdown in the television market, with liquid crystal display television (LCD TV) shipments falling for the first time ever. Although television shipments will stabilize in 2013 and growth will return in 2014, developed markets have become saturated with flat-panel televisions.â€ť says Tom Morrod from IHS.
Ultra HD TVs are expected to bring back growth in the TV market from 2014
Ultra HD, OLED & sports events to turn the tide
IHS iSuppli points to specific factors that are expected to bring back growth. They expect Ultra HD TVs to have a positive effect when people start replacing Full HD TVs in the coming years. They also expect OLED display technology and the World Cup in Brazil to have a positive effect.
TV manufacturers also have high hopes for internet-connected Smart TVs, which can access TV services over the internet. When more markets start to move TV services to the internet sales of Smart TVs could see a significant uptick.
IHS rounds of by saying that TV sales have declined slightly in USA and Western Europe. Regions such as Eastern Europe and China still see growth.