American television manufacturer Vizio
sold the most LCD televisions on the domestic market in 2009. In the LCD branch, Vizio was able to make a clear win in the neck-and-neck race with rival Samsung, reports market researcher.
From 3.1 million models sold in 2008,the company increased its sales figures by 92.1 percent to 5.9 million units last year. The company extended its market share of 12.6 percent (2008) to 18.7 percent in 2009. Apart from the third quarter of the year, when Samsung took the lead thanks to its popular LED-illuminated devices, Vizio led the American TV market in terms of sales figures. A good Christmas trade in particular helped Vizio achieve its goal: in the fourth quarter alone, 1.8 million televisions were sold.
“Vizio’s sales formula of selling devices produced in Asia at a lower price than that of its rivals with well-known market names seems to be very suitable in these times”, says the Orange County Business Journal in its online edition. Design and product development take place in the USA, but almost all other stages of the supply chain are outsourced. This is the only way the company manages to offer televisions for around 500 Dollars less than Samsung, Philips, the LG group and others. In this contest, discussions began again regarding a possible public offer within the next five years.
55-inch giant with LED illumination and Internet access: the Vizio VF552XVT (Photo: Vizio)
“The Vizio brand can still build on its high degree of recognition amongst American customers”, says Riddhi Patel, Head of Television Systems and Retail at the iSuppli Corporation. The company already leads in terms of price in the LCD sector; in 2009, it played out this strength and offered its customers attractive advertising specials. "In addition, Vizio has made its LCD TV products competitive with regard to the premium brands in that it has equipped them with features for high demands, such as LED backlighting and Internet access ", the expert is sure.
Overall, these saw growth of 29 percent last year.
Based on the entire television market, Samsung remains at the top. The South Koreans were able to sell 6.6 million plasma and LCD screens – growth of around 23 percent from 5.4 million televisions in 2008.
Samsung’s market share has remained almost unchanged: In 2009, the company finished with a share of 18.4 percent, whilst its market share for 2008 was18.5 percent. "Samsung maintained its market leadership because of the continued success of its LED BLU models and the intense price competition, both in the middle class and the premium sector ", says Patel.
The second best performance amongst the six largest television brands was by Toshiba: its balance sheet recorded 81.7 percent growth in sales figures for 2009. The Japanese company expanded its market share from formerly 4.2 to 7.6 percent. Riddhi Patel makes the following comment on the result: "Toshiba not only increased delivery figures, but also drove an aggressive price policy. Thus, the price level of the Toshiba models was almost on a level with middle class devices." Overall, Toshiba came in fourth place, followed by LG Electronics and Sharp.
Sony, which was in third place for sales throughout the entire year, performed best in the fourth quarter and was able to expand its market share from 7.7 percent in Quarter Three to 13.2 percent. "Sony managed this performance with an aggressive price policy and advertising offers during the Christmas period ", says Patel. The "Bundle deals" – add-ons of PS3 consoles or Blu-Ray players with new televisions – were especially well-received amongst end-users.