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U.S. Bought More Big Screen TVs in Q1

EL SEGUNDO, CA — More than one-fifth of all televisions purchased by U.S. consumers in the first quarter sported displays that were 50 inches or larger, representing an all-time-high level, according to new IHS iSuppli (NYSE: IHS) research.

A total of 22.7 percent of American consumers bought the aforesaid television sets during the three months from January to March 2011, compared to 19.8 percent in the fourth quarter of 2010.

The only other time when 50-inch-and-larger sets breached the one-fifth sales mark—or more than 20 percent—occurred a year ago during the first quarter of 2010, reaching the slightly lower level of 20.2 percent.

“The rising popularity of 50-inch-and-larger sets among U.S. consumers stems from pure market economics,” said Riddhi Patel, director for television systems and retail services at IHS. “Televisions have become less expensive for the consumer, allowing even bigger sets previously considered beyond the reach of most consumers to become accessible. Consumer demand for ever-bigger sets has not abated, with the acquisition of larger televisions viewed as highly desirable for ordinary American households.”

TV brands also have been promoting 50-inch-and-larger televisions in the market because the sets offered bigger margins and profits.

Average pricing for 50-inch-and-larger flat-panel televisions—i.e., liquid crystal display (LCD) and plasma—in the United States amounted to $1,582 in the first quarter of 2011, down 8 percent from $1,723 in the fourth quarter of 2010.

Smaller sizes still rule
Following the Japanese earthquake and tsunami disaster, LCD TV production in Japan has reported minimal disruption. Though some TV assembly plants have been affected by semiconductor component shortages, the weak demand worldwide in recent months for general component inventories has meant that the TV markets suffered only very minimal impacts in the quake’s aftermath.

Learn more about the latest developments at:

IHS iSuppli

7 comments on “U.S. Bought More Big Screen TVs in Q1

  1. Adeniji Kayode
    May 13, 2011

    I feel the reason for that is because the price is coming down and the movie industries are also taking the advantage of the HD.

    The reason for more sale in the medium size may be due to price also and then it is generally believed that the bigger the screen the less quality the picture. So more consumers tend to flow toward the 32-39 inch screen size.

  2. itguyphil
    May 13, 2011

    Price is most definitely the major contributor to the trend. I saw a 42″ Samsung on same for less than $800. Much like the trend in Blu-ray, once the cost goes down enough, the sales will increase.

  3. Adeniji Kayode
    May 14, 2011

    I agree with you pocharle, price ais a major factor for the trend but what di you think about the belief that the “bigger in size the lesser the quality” especially in LCD.

    Don,t you think this might be a factor too that has influence over consumer's choice?

  4. itguyphil
    May 14, 2011

    I do not necessarily agree with that. I have seen some pretty nice large TVs (over 60″) recently. I think quality depends more on the manufacturer than the size.

  5. Kunmi
    May 18, 2011

    Have you thought of people that can not see or reed tiny stuff?

    Though quality matters, as long as big screens are on demand, many will still hunt for it. The latest technology has embedded quality and satisfaction to a degree with this large screens except if you do not have a space. One thing that I have noticed in the American society is the reduction in the size of the cars and SUV'S and that is causing a change of tatse for americans. Reverse is the case when we think about that flat box.

  6. Anna Young
    May 23, 2011

    Truly television has become less expensive; this has resulted in consumers buying large screen set. – Hence price is a factor which has led American consumer to buy 50 inch television. Television regardless of size has become accessible to all.

    Kayode Adeniji, I don't think size is relevant to the quality of picture from small size TVs.

    As expressed by Pocharle, quality depends on the manufacturer as opposed to size.





  7. hwong
    June 21, 2011

    More affordable price is one thing, the other reason has to do with Netflex practice and sluggish economy. Monthly fee is only a few bucks and a huge number of people out of work stay home most of time, watching movies on big screen TV is the best entertainment.

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