There is an increasing demand for LED TVs in Vietnam. According to analyst firm GfK, there are over 730,000 units be sold in 2012, representing a 176% surge in volume sales compared with the previous year.
GfK retail audit showed the LED TV segment in Vietnam started 2012 with less than 20% volume share of the overall TV market in January, and had consistently trended upwards in subsequent months to reach 66% by the year end. This reflects an annual average of 37% in 2012— a substantial increment from the previous year’s 11%.
One of the key reasons for buyers choosing this more advanced TV technology is its lowering prices which makes it increasingly affordable. The average LED TV price in 2012 dropped significantly by over a third of what it used to be in 2011 — from $805 to $513. Basic LCD also registered price erosion but to a lesser extent while plasma is the only segment which saw a marginal price increase. It is the most expensive segment currently due to the fact that only larger screen sizes of 42in and above are available.
Another market dynamic swaying consumers towards purchasing LED TVs is the growing number of brands and models that are offered in the country. While basic LCD and plasma TV manufacturers are narrowing down their range compared with a year ago, LED TVs saw an increase in the number of brands and models. Last December, 267 models spanning 13 brands of LED TVs existed in the local market, compared with 10 brands and 158 models a year ago.
"The lacklustre sales performance of the total TV market in 2012 presents hope for the year ahead, which is anticipated to achieve positive growth,” commented Van. "As the price erosion trend persists, LED TVs will appear increasingly attractive to consumers, making it the sole propeller of the TV market. We foresee this segment to fully replace that of conventional LCD and plasma TVs in the country in the very near future.”
