Big Demand For 4K TV’s Growth 400% in Q1
In Australia brands such as LG, Samsung, Hisense and Sony are witnessing strong sales of large screen over 50″ 4K Ultra HD TV’s that are also attracting a higher margin.
Sales of 4K UHD TV’s reached 4.7 million units worldwide in Q1, according to the research by IHS while growth for other categories fell.
Overall TV shipments of LCD, plasma, OLED and CRT fell 2 percent during the past year.
LCD TV shipments rose just less than 3 percent.
The disparity in growth has to do with the significant reduction in plasma shipments compared with a year ago, IHS said.
Based on revenue, Samsung Electronics was the top 4K TV brand in Q1, accounting for more than 32 percent of worldwide 4K sales, which is down slightly since Q4 2014.
Chinese brands such as Hisense gained share during the quarter, owing to their relatively competitive pricing of 4K TVs.
LG Electronics was the second-largest 4K TV brand in Q1, with a revenue share of 15 percent, followed by Hisense and Sony.
IHS said that availability of 4K TVs is primarily limited to screen sizes larger than 40 inches, where the benefit can be most clearly observed, and also in regions such as Australia where consumers are more willing to spend a premium to upgrade.
Overall, 9 percent of all TV shipments in Q1 2015 were 4K TVs, but when looking at larger screen sizes, the share of shipments rises significantly. More than 31 percent of 50-inch and larger TVs were 4K TVs.
On a quarterly basis, Ultra HD volume was basically flat in Q1 compared with a seasonally strong Q4 2014.
4K TV shipments in China account for over half of global demand and set a new high-water mark in the world’s largest 4K market,” said Paul Gagnon, TV research director for IHS
“This growth was driven by an expanded assortment of screen sizes between 40 inches and 50 inches that have recently become available from manufacturers, and retail premiums well below 50 percent, which is encouraging consumers to upgrade.”