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Company News >> Threefold positive boost, China's OLED TV sales enter the blowout era 2nd,Dec,2019
                                                  With the acceleration of the consumer upgrade process and consumers' increasingly demanding TV products, the industry's recognized next-generation display technology for OLED TVs has officially entered the blowout era, and more and more consumers are using OLED TVs as their first choice.

According to the sales data of OLED TVs in the Chinese market this year, the sales of OLED TVs in Suning, the first home appliance market, increased by 74% year-on-year in the first half of the year. During the Jingdong 618 period, OLED TVs were only sold for ten hours, and the turnover exceeded the entire day last year ; And recently the 11.11 Global Goods Festival "opening the door" day began one hour, high-end OLED TV turnover increased by 300% year-on-year.

Taking advantage of this OLED trend, upstream suppliers, major TV manufacturers and terminal appliance stores have also started to jointly help the development of the OLED market. Earlier this year, Suning teamed up with a number of TV brands to launch the "OLED Three Super Plan" and set a target of 130,000 OLED TV sales on the Suning platform in 2019 and a sales target of 300,000 units in 2020. As the largest OLED panel manufacturer, LG Display Vice President and TV Minister Wu Zhanghao predicts that China's OLED TV sales will reach 300,000 to 400,000 in 2019, and China's OLED TV sales are expected to reach more than 1 million in 2020; as an OLED The veteran of the camp, Skyworth, launched a huge "OLED popularity storm" for the country, which strongly attracted consumers to purchase experience through low-price policies. Chen Longzheng, director of Skyworth's TV marketing department, even stood at the "OLED TIMES" media conference The flag "This year, let 1 million Chinese households use OLED" Flag.

Why can OLED TVs sing against the backdrop of the current downturn in the TV industry as a whole?

Behind it are the multi-party efforts of upstream OLED supply chain capability upgrades, OLED technology advantages to meet consumer consumption upgrade needs, and upstream and downstream manufacturers to jointly promote the implementation of OLED TV discounts.

I. User needs: The advantages of OLED technology meet the needs of consumer consumption upgrades

From the perspective of user demand, OLED TVs are showing a blowout momentum, which is an inevitable choice for consumer consumption upgrades. Regarding the products purchased, the price is no longer the issue that consumers are most concerned about, but the product quality performance is more concerned. In terms of TV purchase, picture quality performance, design aesthetics, eye health protection, etc. have become consumer purchase standards. The OLED TV with self-luminous, high contrast, power saving, eye protection and other technical advantages perfectly meets the highest requirements of users for TV products, and has become the highest-end TV product recognized by users. According to AVC Cloud Network (AVC) data, users' satisfaction with OLED TVs is as high as 97%, and 94% of users are willing to recommend OLED TVs.

Why do OLED TVs have such a clear product advantage over traditional TVs? This is mainly due to the self-luminous characteristics of OLEDs, which makes it free from light leakage compared to LCD screens that rely on a backlight source to illuminate, and the picture quality is more clear and the colors are more true and full. With the advent of the 5G era, 4K and 8K ultra-high-definition content will gradually rise. OLED will become the best display device in the 5G era.

In addition to black field performance, OLED TVs also have obvious advantages in color gamut performance and viewing angle. The NTSC standard color gamut of OLED can reach 110%, while LCDs generally have only 70% -90%. In terms of viewing angle, Generally, LCD TVs have a brightness viewing angle of 60 ° and a chroma viewing angle of 40 °, while OLED TVs have a wider color gamut performance and viewing angle. Even when watching TV from a side viewing angle, it will not produce color deviation, which brings Significant improvement in user viewing experience.

In addition, OLED TVs are also more eye-protecting. Thanks to the self-luminous properties of OLED TVs, data show that OLED screens emit 72% less harmful blue light than LCD TVs. The China Consumers ’Association ’s comparative tests on 13 electronic products (including 5 mobile phones, 4 tablet computers, and 4 televisions) also show that OLED screens are more eye-protecting than LCD screens. German authoritative certification agency TUV has also confirmed that OLED TVs have more advantages for eye health in terms of picture quality, blue light, flicker, and reflected light.

Second, the increase in panel supply promotes the price of large-size OLED panels

For OLED TVs, the first reaction of users is ultra-high-end and consequently expensive. Indeed, according to data previously released by market research firm IHS Markit, as early as 2017, in the high-end TV market above $ 2,500 (about RMB 15,833), the OLED TV market accounted for 51.3%. In terms of actual market price, the average price of 55-inch OLED TVs is more than 10,000 yuan, and the average price of 65-inch OLED TVs is more than 15,000 yuan.

And this also makes OLED TVs not so "grounded." Wang Zhiguo, chairman and president of Shenzhen Skyworth-RGB Electronics Co., Ltd. once said: "Everyone knows that OLED is good, but the biggest disadvantage of OLED is that it is expensive. Are not grounded. "

It can be said that expensive has become the biggest stumbling block that hinders consumers from choosing OLED TVs. So why is OLED TV expensive? The core reason is that the production capacity of large-sized OLED panels is inadequate, making large-sized OLEDs in short supply and high prices, which can only become the exclusive configuration of high-end flagship products.

Now, as the world's largest supplier of OLED TV panels, LG Display has invested in an 8.5-generation OLED panel production line in Guangzhou this year, with an initial production capacity of 60,000 pieces per month, and 70,000 pieces of glass per month with its South Korean plant in Paju. Substrate production capacity, LG Display OLED panel production capacity will increase to 3.8 million pieces this year; it is estimated that in 2021, Guangzhou's 8.5 generation OLED panel production line will achieve 90,000 pieces per month. LG Display TV Division Minister Wu Zhanghao also said that With the mass production of the 8.5 generation production line in Guangzhou, LG Display's global OLED shipments will reach 11 million, achieving full coverage of 4K products from 48 to 77 inches and 8K products of 65 inches, 77 inches, and 88 inches. With the release of the supply of OLED panels, the cost of OLED TVs will be lowered accordingly, and OLED TVs will become a high-quality TV category that more and more consumers can afford.

III. Landing: upstream and downstream manufacturers join hands with multiple parties to jointly push the price of OLED TVs closer to the people

Under the favorable market environment of OLED, upstream panel makers, major TV brand makers and terminal channel makers have all joined hands to promote the development of OLED, allowing OLED TVs to enter millions of households.

From this year's multi-form large-scale market movements, it can be seen that OLED is definitely the future display trend. In April this year, Suning teamed up with LG, Hisense, Skyworth, Konka, SONY and other OLED camp brands to launch the "OLED Three Super Plan" to promote the rapid development of OLED TVs and bring super experience and advanced prices to OLED TVs. For example, during its campaign to "catch TV for the whole people", Suning released the estimated price for the fourth quarter of the joint brand-55-inch OLED fell below 7,000 yuan, and 65-inch OLED fell below 13,000 yuan.

In May, joined hands with seven leading TV industry brands such as Skyworth, LG, Hisense, Philips, Konka, Sony, and Changhong to establish an OLED alliance and open an official flagship store for OLED TVs to jointly promote the popularity of OLED TVs.

In June, LG Display, an upstream supply chain manufacturer, partnered with JD, Gome, Suning and other channel vendors and Skyworth, Changhong, Konka, Sony and other machine manufacturers to organize the "OLED Big Bang Ebara Tour" in 16 cities across the country. Achieve a sinking audience for OLED TV users.

In July, Skyworth TV launched the "OLED Popularity Storm", announcing that the prices of 55-inch and 65-inch OLED TVs would drop by 4,000 yuan and 5,000 yuan to 7,999 yuan and 15,999 yuan respectively.

At the same time, various OLED TV manufacturers have also joined JD, Suning, Gome and other home appliance sales channels to carry out various forms of profit-making activities in various activities. During the Double Eleven event, major TV manufacturers have joined JD, Suning Sales platforms such as Gome and Gome launched profit-making activities such as and Suning 11.11 National Carnival, igniting consumer passion for OLED TVs. Data show: Jingdong 11.11 Global Good Things Festival "opening the door" day one hour, high-end OLED TV turnover increased by 300%.

It can be said that the OLED TV panel prices brought by the increase in upstream supply chain capacity and the various preferential concession activities offered by downstream TV manufacturers and channel vendors have begun to make OLED TVs gradually appear pro-people-friendly in price. The potential energy demand for OLED TVs that have been accumulated for a long time has been accelerated and the OLED TVs have become more and more popular.

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