Special demands from the Olympics have started, especially for Flat-styled TVs and Blu-ray recorders.
The effects of the Beijing Olympics started to appear in the Flat-styled TV and Blu-ray Disc (BD) market. According to this month’s “BCN flash news,” which reported the market trend from June 1st to 15th using “BCN Ranking,” both sales amount and units sold exceeded last year. Usually, consumer demands are not as strong from April to June. However, this year is little bit different. We surveyed the “Beijing Demand” by using “BCN Ranking” from the first day of this year to the middle of June.
The sales of Flat-styled TVs overtook last yearend’s sales battle.
The “BCN Index,” based on sales amount of digital products such as TVs or PCs, showed that sales were up 100.1% this May and 105.1% in June compared with last year. Generally, market demand declines during this season. However, this year continues with good sales, especially for Flat-styled TVs and DVD recorders.
The sales of flat-styled TVs are increasing favorably for LCD TVs. Sales amount of LCD TVs were up 118.1% in May and 124.6% in June compared with last year. As for Plasma TVs, their sales began to increase and marked 114.6% sales in June. During the month of May, both sales amount and units sold exceeded the result of last yearend’s sales. We can say that special demands from the Beijing Olympics have already started.
The 40” class leads the sales of large size flat-styled TVs.
When we look at the flat-styled TV trend based on display size and unit sold data, the 50” class LCD TV sales were 221.3% and the 40” class sales was 189.4%. Plasma TVs also increased their sales and their units sold were up 216.7% from the previous year. On the other hand, the sales of 50” class were up 92.6% compared with a year earlier.
For the sales share of flat-style TV makers, Sharp took 48.7% share in “BCN flash news” this month. They have increased their share since April. On the other hand, Panasonic and Sony are in a tight race for second place. During the spring sales battle, Sony had a lead over Panasonic, but Panasonic rallied after May. Panasonic is one of the official sponsors of the Beijing Olympics and their promotional effects may be seen.
The peak of consumer demand will come at the end of July. We expect an increase in the flat styled TV market in July this year with demand up 140% for volume discount and 130% increase in sales compared with last year.
BD recorders finally entered the expansion stage.
In the DVD recorders market, BD recorders have entered the expansion stage since May. Recently, DVD recorders are dropping in units sold from year to year. However, they moved into the green this May because of good sales of BD recorders. Units sold increased 106.9% and sales amount was up 118.6% from the previous year. This growth gradually accelerated in June.
According to the latest “BCN flash news,” the percentage of DVD recorders to BD recorders increased about 35.1% for units sold and 53.9% for sales amount. If this trend continues, BD recorders will surpass 60% sales amount this July.
As for the maker share of BD recorders, Sony and Panasonic have been competing for the top share since April. Sony had over 60% shares at the beginning of the year but it declined to 30% because of the low cost model made by Panasonic. On the contrary, Panasonic took the top share with 45.8%. However, this trend reversed in May and Sony regained the top share in the latest “BCN flash news.”
We expect the DVD recorders market to increase 120% in units sold and 125% in sales amount this year. As with the Winter Olympics or World Cup of 2006, the sales of DVD recorders will increase during the tournament, and consumer demand will continue until August if the national team has good results in Beijing.