LCD panels will usher in a second round of price increases, and TV prices continue to rise

After experiencing round after round of unprecedentedly brutal price wars, the profits of color TV products have been squeezed by various Internet "tycoons" to almost nothing. Recently, affected by the rising costs of upstream components, the color TV industry, which has "paper-thin profits", can no longer sit still, and a chorus of "price increases" immediately rang out in the industry: the price increase of color TVs is almost "like an arrow on a bow string that must be fired."

LeTV TV

LeTV TV announced in a statement that the price of some 40-inch, 43-inch, 50-inch, and 55-inch models will be increased by 100 yuan each, and the price of some 65-inch models will be increased by 300 yuan each. The price increase is affected by the increase in upstream panel prices. This is the second price increase of LeTV Super TV after September. In addition, the latest November panel price released by market research firm IHS also shows that medium and large-sized TV panels including 40-inch, 43-inch, 55-inch, and 65-inch have increased by more than 10 US dollars in a single month, indicating that the supply chain's momentum for pulling goods has not decreased.

LCD panel supply demand

The reasons for this round of price increases are: first, the fourth quarter of each year is the peak season for panel sales, and TV manufacturers have increased demand, so TV manufacturers can only passively compromise with the increase in panel prices. This year, the main reason is that Chinese and Korean brand manufacturers have been pulling in large quantities of goods;

Second, affected by production capacity, the supply of TV panels is very tight, especially for medium and large-sized TV panels such as 40-inch and 65-inch. Therefore, the price increased by another $10 in November, with an average increase of 5-8%. Judging from the current trend, the price increase will continue for a long time.

It can be seen that the price increase of TVs of various sizes is due to the sharp rise in panel prices. Manufacturers are unable to absorb the price increase costs themselves, so they pass them on to consumers. In addition, offline channels are still the big winners of the product sales boom some time ago, and their sales share remains higher than that of online stores. What is more noteworthy is that the popularity of smart TVs has also reached a new high, exceeding 85%. The share of non-smart TVs is getting smaller and smaller, and feature-rich smart TVs have become the first choice for consumers.