BEIJING, Aug. 25 CCID-Flat-Panel-TV
BEIJING, Aug. 25 /Xinhua-PRNewswire/ -- CCID Consulting, China's leading
research, consulting and IT outsourcing service provider, and the first
Chinese consulting firm listed in Hong Kong (Hong Kong Stock Exchange:
HK08235), recently released a report on China's flat panel TV in 2008H1.
In 2008H1, the Olympics continues to be the major demand driving force in
flat panel TV, amid impact of the snow storm and 5.12 Earthquake. At the eve
of Olympic Games, manufacturers maximize their promotion efforts and make full
use of final marketing opportunities. CCID Consulting's data shows that the
sales volume of China's flat panel TV market in 2008H1 reaches 6.1179 million
sets, up 84.9% year-on-year. The share of flat panel TV accounts for 30% of
the total color TV market. Flat panel TV market continues to grow rapidly.
Figure 1: Sales Volume and Growth of China's Flat Panel TV Market in
2008H1
http://www.ccidconsulting.com/upload/13743.jpg
Source: CCID Consulting, July 2008
China's LCD TV market has the following characteristics in 2008H1:
Characteristic 1: PDP TV Campaign a Huge Success
Manufacturers of PDP TV seize the Olympics opportunity to advertise the
products' sports viewing advantage. Together with the launch of 37" PDP TV,
the share of PDP TVs in 2008Q2 is 11.4%.
Figure 2: Technical Type Structure Change of China's Flat Panel TV Market
in 2008H1
http://www.ccidconsulting.com/upload/13744.jpg
Source: CCID Consulting, July 2008
Characteristic 2: Size Structure Reflects the Olympics Effect
In 2008, major flat panel TV manufacturers launch many kinds of new
products with special Olympics viewing features: super size, full HD, HDMI
interface and high dynamic definition. CCID Consulting's data shows the sales
volume of LCD TV with more than 40" accounts for 35.4% in 2008H1, and the
share of LCD TV with 32" is 34.8%. Meanwhile, the Olympic Games also drives up
demand in traffic, hotel, restaurant and entertainment sectors.
Figure 3: Size Structure of China's LCD TV Market in 2008H1
http://www.ccidconsulting.com/upload/13745.jpg
Source: CCID Consulting, July 2008
Characteristic 3: Chinese and Foreign Brands Share TOP10 in LCD TV Market
With the enlargement of China's flat panel TV market size, Chinese and
foreign brands expand all-round competitions in product, technology, price and
service. The one high-end image of foreign brands has come down to be more
economical, and as prices before more affordable their market share expands
rapidly. On the other hand, Chinese brands strive to improve service quality,
strengthen channel construction and improving brand publicity. Chinese and
foreign brands bisect TOP10 in LCD TV market in 2008. Samsung is the champion
in 2008H1, whose share is 10.3%; the second is Hisense, whose market share is
9.4%; the third is Skyworth, with a market share of 8.2%; Sony's market share
increases rapidly, with 7.9%; the fifth is KONKA, with 7.7%.
Figure 4: Brand Structure of China's LCD TV Market in 2008H1
http://www.ccidconsulting.com/upload/13746.jpg
Source: CCID Consulting, July 2008
Characteristic 4: The Olympics Effect
In 2008, flat panel TV manufacturers make use of Olympic marketing to
attract consumers' attention. Sponsoring Olympic Games is the best marketing
strategy. According to their own strengths, major brands sponsor one or
several matches to enlarge brand popularity.
Chinese domestic brands: KONKA sponsors and becomes China's national
sailing team's strategic partner; CHANGHONG signs a contract with China Table
Tennis Team. By means of China Table Tennis Team's popularity, CHANGHONG
improves its brand image. Skyworth signs the contract with national shooting
team, and becomes the only sponsor of national shooting team. TCL is the
official sponsor of China women's tennis team.
Foreign brands: Samsung signs a contract with Chinese Gymnastics
Association and becomes Chinese Gymnastics Team's major sponsor. Panasonic is
Olympic Games' global strategic partner, the 30 Olympic venues' TV rediffusion
equipment sponsor.
Major brand manufacturers set eyes on Olympic Games' great commercial
effect; Olympic marketing is like a raging fire, which adds many highlights to
China's flat panel TV market.
By means of Olympic Games large environment, China's flat panel TV market
size in 2008H2 will further enlarges, CCID Consulting forecasts that China's
flat panel TV market will appear the following three trends in 2008H2:
Trend 1: The Share of LCD TVs Is Larger
After Olympic Games, China's flat panel TV market size will continue to
enlarge, the market share will reach 40%. There are two reasons:
Firstly, flat panel TV will replace CRT TV. As for technology, compared
with CRT TV, flat panel display has obvious advantage in display function and
display effect. With improvements in living standards, not only city market,
but also country market's demands for flat panel TV will increase.
Secondly, China vigorously supports flat panel display manufacturing, and
issues relevant financing and tax policy to support China's flat panel
industry. Major color TV manufacturers' development strategies focus on flat
pane TV.
Trend 2: LCD TVs Enlarge Infiltration to 3-4 Tier Markets
With competition heating up, 3-4 tier markets will become the next
battlefield. Samsung, Sony, and other foreign brands begin to strengthen
channel construction and extend to 3-4 tier markets, which will be a challenge
to domestic brands. KONKA, Haier, Hisense, and other domestic brands develop
new channel strategy to cope with this situation.
KONKA has launched rural market activities to build thousands KONKA flat
panel stores in country-level market so as to achieve brand promotion and
sales growth. Hisense enhances 3-4 tier markets development and sales network
reaches more than 20,000. Haier pays more attention to potential of rural
market and spends a lot in rural market channel construction.
Trend 3: Share of PDP TV Will Increase
As LCD TV market being more competitive, some domestic brands turn to PDP
TV market. As one of the PDP display projects of Changhong, Panda have
achieved primary results. Changhong releases its PDP display in SINOCES
exhibition in Qingdao, which shows China's position in PDP upstream industry
chain.
Besides, Skyworth, Hisense, KONKA, and other domestic brands increase
investment in PDP TVs. PDP TV manufacturer camps are enlarged. PDP TV market
scale will keep growing and PDP TV market share will increase in flat TV
market due to consumers' better knowledge to PDP products and lasting impact
from Olympic Games.
About CCID Consulting
CCID Consulting Co., Ltd. (hereinafter known as CCID Consulting), the
first Chinese consulting firm listed in the Growth Enterprise Market of the
Stock Exchange (GEM) of Hong Kong (stock code: 8235.HK), is directly
affiliated with China Center for Information Industry Development (hereinafter
known as CCID Group). Headquartered in Beijing, CCID Consulting has so far set
up branch offices in Shanghai, Guangzhou, Shenzhen, Wuhan and Chengdu, with
over 300 professional consultants after many years of development. The
company's business scope has covered over 200 large and medium-sized cities in
China.
Based on major areas of competitiveness: industrial resources, information
technology and data channels, CCID Consulting provides customers with public
policy establishment, industry competitiveness upgrading, development strategy
and planning, marketing strategy and research, HR management, IT programming
and management. CCID Consulting's customers range from industrial users in
electronics, telecommunications, energy, finance, automobile, to government
departments at all levels and diversified industrial parks. CCID Consulting
commits itself to becoming the No. 1 advisor for enterprise management, the No.
1 consultancy for government decisions and the No. 1 brand for informatization
consulting.
For more information, please contact:
Cynthia Liu
Coordinating Manager
CCID Consulting Co., Ltd.
Tel: +86-10-8855-9080
Email: liuyan@ccidconsulting.com
SOURCE CCID Consulting Co., Ltd.
