Meko Press Releases

EMEA ATV Market Shrinks YoY but LCD is Up

DATE: 10^th September 2009

The latest data from Meko's DisplayCast ATV market intelligence service has revealed that the EMEA ATV market for Q2 2009 shrank by 8% QoQ and saw a YoY decline of 4% in volume terms. All display technologies were down except for LCD which was up by 11.3% YoY. The result is still 3% above Meko's most recent forecast which was published in May 2009.

For flat panel sets (LCD and PDP), the QoQ decline was 5.6%, but flat panel sales were up by 8.7% YoY accounting for 10.2 million units. This is only 2.6% above Meko's forecast. Flat panel market value rose 2% QoQ with the increase coming from LCD sales which grew 4% in value QoQ, while all other display technologies dropped in market value. The reason for the increase for LCDs is that penetration of larger than 32" models increased from 29.6% to 32% of all LCDs and FullHD penetration also increased. The value increase was also driven by the higher prices of LED-backlit models which are more common in the FullHD segment. Flat panel set value is still down by 24.4% YoY.

"Market volume decline in Q2 was expected and the result is in line with our forecast", commented Goksen Sertler, TV market analyst at Meko. "The major reduction is coming from Eastern Europe, where ATV shipments shrank by 14%. The lowest shipments usually occur in Q2, especially when there are no special events such as the Olympics or World Cup".

An analysis of the final data for all TV technologies revealed that all of the top ten brands, except for Grundig, reported QoQ declines. Over the whole of Europe, Grundig-branded TV shipment numbers were up by 0.2% but this was due to a quarterly increase in the UK market. Sharp showed the biggest QoQ decline with a 44% drop. On a yearly basis, our analysis shows that JVC had the highest QoQ decline with a 60% drop to 141K units.

The top five brands were Samsung, which increased its share from 26% to 28%, LG with 21%, Sony with 8.4%, Philips with 7.8% and Panasonic with 6% by volume. The major change in the top five was the swap between Sony and Philips, as Sony climbed to third just above Philips.

The market share order for value in the EMEA market was exactly the same as for volume for the top five brands. Samsung and LG were the only brands which showed significant value growth. They showed 9.7% and 6% QoQ growth in value respectively while Sony, Philips and Panasonic showed stable market value on a QoQ basis. "Samsung achieved high value growth by increasing its FullHD shipments and cutting 720p TV shipments", commented Sertler. "Samsung's FullHD shipments are up from 35% to 51% of its total LCD shipments. 32" 720p is still the best selling size and resolution combination".

In the 37" and 40"/42" categories Samsung reduced its 720p shipments to 1.2% of its overall LCD sales, down from 8% last quarter. 1080p products replaced 720p sets in their sales and this boosted Samsung's market value numbers.

LG showed value growth in both LCD and PDP sales. LG's move to FullHD was not as aggressive as Samsung's, but LCD value growth still came from the FullHD segment. Turning to PDP, LG tripled its P50H shipments, its highest shipment number in this category in the last two years, and this was the key to the boost in its PDP sales value.

The size split of the LCD market shows growth in the share of larger sizes while there has been a significant reduction in both the number and share of the smaller sizes. In the LCD market, the total of 32" and the smaller sizes showed a 8.3% QoQ decline while the sum of 37" and larger sizes showed QoQ growth of 2%. Although the overall 32" category showed an 8.2% QoQ decline, 32" FullHD (L32H) showed massive growth with a 63% QoQ increase by volume. All of the top five brands' L32H shipments grew in Q2.

ENDS

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