2017 China's color TV market size is expected to break 53 million prices will rebound

At the 2016 China Intelligent Display and Innovative Application Industry Conference and CRC2016 Color TV Industry Research Conference, Weng Zhenhua, general manager of AVC Black TV Division, revealed that the annual retail sales of color TV in China in 2016 historically exceeded 50 million units, 50.89 million units, an increase of 7.8%. Retail sales were 156 billion yuan, down 1.8 percent year-on-year. In 2017, the color TV market will continue to maintain growth, it is expected that the annual retail volume of China's color TV market will reach 53.01 million units, an increase of 4.2%, and the retail sales will reach 164 billion yuan, an increase of 5.1%.
Hao Yabin, vice president and secretary-general of China Electronic Video Industry Association, said that in 2017, China's color TV industry is also facing a very complex and severe situation, and the color TV industry is in a window period of change.
From the operation of China's color TV market in 2016, it can be predicted that the following characteristics will appear in 2017:
　　1、中国大陆面板份额持续提升，走出去成趋势。
At present, the mainland has eight 8.5-generation lines in mass production, and the panel production capacity ranks third, accounting for 31% of global production, ranking after South Korea and Taiwan. There are currently eight high-generation lines under construction, and it is expected that the mainland will become the world's largest semiconductor display industry base in 2019. The acceleration of localization of raw materials such as polarizers, chips, and glass has also enhanced the supporting capacity of localized industries.
In terms of the whole machine, in 2016, Chinese color TV enterprises ushered in substantial progress in the expansion of the global market, and independent brand exports and OEM and ODM processing and output have made historic breakthroughs. Following Skyworth's acquisition of German Metz in 2015, Hisense's acquisition of Sharp America, Changhong's acquisition of Sanyo TV, and LeEco's wholly-owned acquisition of vizio in 2016, all show that Chinese brands are going global. According to AVC display industry chain data, the global share of Chinese brands reached 30% in 2016, an increase of 3.2 percentage points from last year.
2. High-frequency promotion and scene integration with Chinese characteristics will continue in 2017.
In 2016, the color TV industry carried out 18 promotions of different sizes, an increase of 6 times compared with last year. The powerful social function of the Internet allows brands to directly contact with users and create "brand day" activities with brand exclusive characteristics, which can not only effectively stimulate short-term sales performance, but also shape a differentiated brand image.
In 2016, the online performance of color TV was excellent, and the retail volume reached 19.7 million units, accounting for 39%, an increase of 51.3%. With the increase of rational consumers, as Ma Yun said, pure e-commerce is dead, the future of retail will be online and offline integration, personalized consumption scenarios and perfect consumption experience, which means that the electricity suppliers bid farewell to the era of price mutual stranglehold, and began to focus on building a new consumption scenario.
3. The high-end color TV market will undergo major changes.
In 2016, the sales area of the color TV market was 31.53 million square meters, an increase of 17.5%. From the perspective of size, the star size of the color TV market in 2016 was 55 inches, with a market share of 23.9%, an increase of 8.4 percentage points over last year, becoming the largest increase in the size of the color TV market in 2016, and also becoming the dividing line of TV large screens; The market share of 55-inch TVS is expected to continue to increase in 2017, reaching 27.8%. The 65-inch market share was 4.0% in 2016, up 2 percentage points from last year; The market share is expected to reach 6.3% in 2017. In 2016, 55+ TV's market share was 31.8%, an increase of 10.4 percentage points over the previous year; 55+ TV's market share is expected to reach 39% in 2017.
At present, the hot picture quality technology in the market is UHD(high definition), HDR(high dynamic range), HCG(high color gamut), according to AVC (AVC) omni-channel push total data show that in 2016 TV clarity, contrast and color gamut continued to develop. UHD TVS accounted for 48%, HDR TVS accounted for 14%, and high color gamut TVS accounted for 14%.
In order to adapt to the changing shape of the home in the future, the appearance of TV will be more subversive and diversified. Ultra-thin will be easier to fit with the wall, creating the feeling of floating picture, ultra-thin TV in 2016 accounted for 2.4%; Curved TVS with their highly technological shape are being recognized by more and more consumers, accounting for 5.4% in 2016; Bezel-less designs make it easier for viewers to focus their attention on capturing the content of the screen, which accounted for 1.8% in 2016.
In 2016, the upgrade of color TV display technology is the main theme of the development of the entire industry, facing the crossroads of the development of technical routes, OLED, laser TV and QLED have become the main direction of the next generation of TV.
Peng Jin, vice president of Skyworth's color TV business headquarters and general manager of China regional marketing headquarters, said that with the rise of China's middle class, consumers' demand for TVS is more diversified, and OLED TVS will grow rapidly in 2017.
Jiang Jingyuan, director of media PR and CI Management headquarters of SONY (China) Co., LTD., said that SONY will launch BRAVIA OLED TV in 2017 and return to the OLED camp. China's OLED market will undergo fundamental changes because of SONY's strong introduction of A1E and enter a new stage of development.
Ovi Cloud network (AVC) believes that with the continuous expansion of the OLED camp and the improvement of production yield, the supply scale of OLED TV panels can be expected to grow, and the price of OLED TV will be more affordable, accelerating the popularity of OLED display technology.
In addition, including Hisense laser TV, TCL quantum dot TV, Samsung QLED TV, the demand for large-size, high-end products will continue to grow in 2017.
4. Home Internet is being built.
From the functional attributes, TV is a natural local life entertainment center. In 2016, the penetration rate of smart TVS reached 83%. In the fourth quarter of 2016, the average TV App was used for 35 minutes per session. With intelligence as the center, TV content is continuously enriched and improved, and TV ecology is gradually mature.
Chinese Internet TV brands rush into the TV market with a new era, carrying a large number of content updates, new services and entertainment forms, and are an important promoter of home Internet scene construction. According to the omnichannel data of AVC, the market retail share of Internet brands in 2016 was 18.9%, up 8.0 percentage points from last year.
Future TV CMO Xie Yonghong said that the TV Internet has promoted the arrival of the big video era, Internet TV has become the core entrance of the future family, and the integration of video as the core will form a broader industrial chain. He expects that the advertising value of Internet TV will reach 15.8 billion yuan in 2020, and the value of video advertising will reach 110 billion yuan. Video membership fees will reach 94.5 billion yuan.
Yang Jungang, general manager of KKTV of Konka Group, believes that TV should become a carrier for family members to communicate their emotions, and TV is not only a simple broadcasting device, but also an intelligent device with the collection, sorting, induction and refining of terminal data. In December 2016, KKTV launched the MAX series models, turning the TV into an educational communication device, connecting parents, children and the elderly through the built-in massive educational resources.
Zhou Kun, CEO of Popular Multimedia, believes that broadband infrastructure and consumer demand release provide conditions for the development of Internet TV. In 2016, the total number of active users of popular TV reached 2.2 million, with 1.9 million monthly active users and 1.2 million daily active users.
Wei Jin, general manager of smart TV product marketing of Lenovo Group, believes that user-oriented is the magic weapon for the future of color TV companies. At present, the Internet will pull the distance between people closer, and users are increasingly pursuing intelligent, social and immersive e-commerce, so a TV should have excellent user experience, applicable content and more dimensions of value-added services.
Zhang Shouguo, general manager of sales center of Home Internet Division of Juli Media, said that Internet brands as new entrants in the color TV industry, understanding the needs of users is the key to seize the market, and the real needs of users are product experience and quality content. As a comprehensive layout of the home Internet enterprise, PPTV combines soft and hard, and lays out the value sharing model of the whole industry chain such as film and television, sports, games, shopping and advertising value in the fierce competition.
In addition, the rise of smart homes has also given TV special functions, that is, to become an important hub of smart homes. Here we list a number of product lines that go with TVS. In 2016, 13.72 million OTT boxes were retail, 6 million VR retail, 8.31 million smart cameras, 1.19 million smart sockets, and 190,000 smart speakers.
The abundance of smart home devices provides a richer scene for family viewing. Chen Xingbo, CEO of Nuts Smart Cinema, shared the industrial design of nuts with everyone, saying that nuts transform user needs into product attributes and achieve the coordination and unification of engineering, design and market.
5. The middle class leads the consumption upgrade.
Today's Chinese consumers have begun to pay more attention to the connotation of products and brands, instead of simply attaching importance to brands and symbols. From the original single customer and single consumer, they have become involved in the actual needs of users to put forward their own personalized needs in the goods or products and services. This demand is transferred to the color TV market as the ultimate product demand and high-quality service demand.
Finally, looking at the 20 years of development of color TV, Weng Zhenhua believes that: 1) the demand for color TV market is gradually being opened, with the continuous development of color TV technology innovation, the replacement of color TV products is accelerating, and the replacement period of color TV market in 2016 has decreased by 1.5 years compared with the past. The transition of the color TV market size from 30-40 million units has experienced 8 years, and the transition from 40-50 million units has experienced 6 years, and the transition time of the color TV market size from 50-60 million units is expected to be shortened to 4 years.
2) Technology development raises the price focus, and new technology iteration is one of the key factors to raise the average price of color TV. In the next four years, new display technology and new process technology will be more mature, technology iteration will accelerate, and the average market price is expected to rise. With the further deepening of the reform of the supply side, the price competition mode of the color TV industry will shift to the product competition mode, and the profit margin of the color TV enterprises will increase.