Global TV sales reach record levels during Q3 2020
This trend is expected to continue through Q4.
The coronavirus pandemic took down several industries, but at the same time, others experienced growth because of it. Global TV sales, for example, hit a historical high sales record in Q3 of 2020.
According to TrendForce, a market analytics firm, 62.05 million units were sold and shipped throughout July, August, and September 2020. Compared to the previous quarter, that’s a 38.8% increase. When compared to Q3 of last year, there is also a growth of 12.9%.
The prevailing reason for this upturn in sales is the coronavirus pandemic that caused people to spend more time at home. Plus, TV shipments that were delayed during the previous quarter were shipped during the third quarter. Again, COVID-19 was the reason behind that. Compared to the total TV sales from January to August 2019, there is a 20% increase in the same period of 2020.
The analysts at TrendForce expect this trend to continue during the fourth quarter of 2020. According to their expectations, it is very likely that TV shipments during Q4 will increase by 4% compared to shipments in Q3. By doing so, the total TV shipments should be able to hit 64.53 million units.
The top five brands that have benefited most from this uptick are Samsung, LG, Xiaomi, Hisense, and TCL. Looking at the stats of individual companies, Samsung leads the pack in quarter-on-quarter (QoQ) increase by netting a 36.4% increase. Then there is TCL that leads the group when it comes to year-over-year (YoY0 growth, which is 52.7%.
Despite this, it is not good news for the TV industry. TrendForce also predicts that the total TV shipments during Q4 of 2020 will slightly decrease, compared to last year. Their analysts also note that TV panel prices will be on the rise in Q4, even though the average TV prices in North America are continuously dropping. As a result, their profit margins will decrease as well.
But it seems that the TV manufacturers are willingly pursuing that profit eating strategy as they want to increase their market share and meet their yearly shipment targets.
- How do the new COVID-19 exposure notifications work on iOS 14?
- The Nintendo Switch is the new currency of the coronavirus
- Nearly 20,000 Amazon workers have tested positive for COVID-19
- Restaurants in the US are turning to digital menus in the wake of COVID-19