Samsung color TV has won the global sales champion for 16 consecutive years, which is worthy of deep consideration by domestic brands!

Recently, market research agency Omdia released a report that Samsung Electronics became the champion of the global TV market for the 16th consecutive time in 2021. As soon as the news came out, some people expressed regret for the mainland color TV brand, backed by the "big tree" of China's manufacturing industry, but it did not become the No. 1 in the TV market.

Samsung TV: Despite the decline, it is still the first in the world

"Brands throw a lot of money into overseas markets, rush to the first market share, but did not earn money, I think this is not called success." Zhang Bing, research director of Omdia China, said in an interview with China Electronics News that it is not advisable to pursue market share in a hurry for quick success and short profit, and China's color TV brands are dynamically growing.

Omdia data shows that in 2021, Samsung Electronics' revenue market share is 29.5%, and the sales volume market share is 19.8%. TCL, LG, Hisense and Xiaomi ranked third to sixth in brand sales.

"In 2019 and 2020, Samsung's revenue market share exceeded 30%, and this year it has fallen below 30%." Zhang Bing analyzed that from a longitudinal point of view, squeezed by Chinese brands, Samsung's market share showed a downward trend year by year. In terms of sales, Chinese brands such as TCL, Hisense and Xiaomi have grown rapidly in recent years. In terms of sales, the sales volume of the second brand camp such as TCL, LG, and Hisense is very close, of which the market share of TCL has reached 11.5%, which is only 8.3 percentage points different from Samsung's global market share.

Expert analysis believes that Samsung Electronics will still maintain a leading position in the TV market. Dong Min, deputy secretary-general of the China Electronic Video Industry Association, said in an interview with the China Electronics News reporter that Samsung's head position is difficult to shake. In his view, the reason why Samsung TV has maintained the championship for 16 years is due to its global sales channels accumulated over the years, the global reputation of the brand, the layout of the whole industry chain and the comprehensive leading product strength.

However, Samsung's defeat in the Chinese market in recent years has also cast a shadow over its "global sales champion" gold signboard. China and the United States are the two most important color TV markets, and Samsung's low market share in the Chinese market also gives Chinese color TV brands more room to emerge. Zhang Bing pointed out that Chinese brands are expected to achieve breakthroughs in China, the United States, Japan and Europe, but Samsung has established sales channels and sales outlets in less developed areas, which is difficult for Chinese companies to catch up in the short term.

Chinese brands: The distance from the first is not only sales

Many people believe that the high expectations for Chinese color TV brands come from the paternalistic "love of deep responsibility", experts believe that Chinese brands need space and time to continuously improve, market share ranking should not become the only indicator of the quality of brand China color TV products.

"With the improvement of China's panel production and quality, the performance indicators of Chinese TVs have undoubtedly ranked at the international first-line level." Dong Min pointed out. However, he also admitted that China's current advantage is in the industrial chain supply chain, and it has been gradually established in recent years.

China's color TV industry has been growing and progressing. In terms of macro, the total production and export volume of color TVs on the mainland ranks first in the world. Affected by supply and demand, the output of color TV in the mainland has been shrinking in recent years, but it still ranks first in the world. In 2021, the output of color TVs in the mainland was 184.965 million units, down 5.76% from 2020. In terms of exports, the average price of color TV exports in the mainland is constantly increasing, and data from the General Administration of Customs shows that from January to December 2021, China's color TV exports were 83.796 million units, down 16.42% year-on-year; Exports amounted to US$15.87 billion, up 17.6% year-on-year.

In terms of key zero devices, the production capacity and scale of lcd panels in the mainland have been at the forefront, and public information shows that the production capacity of Chinese mainland LCD panels has ranked first in the world for 5 consecutive years since 2017, and the scale of the panel industry has jumped to the first place in the world in 2020. According to the statistics of CCID Research Institute, as of now, Chinese mainland has built 35 panel production lines of six generations and above, with a total investment of 1.24 trillion yuan and a production capacity of 222 million square meters.

Jia Shaoqian, president of Hisense Group, once said: "The fastest 3 years, the fastest hisense overseas revenue in 3 years to surpass the domestic market." Industry experts believe that from the perspective of sales, China's color TV brands already have the strength to impact the world's second.

However, in terms of sales, Samsung has left other brands by a large margin, and the possibility of other brands surpassing Samsung within 5 years is very small. Dong Min believes that the impact of color TV brands on the world's first also needs a little "Dongfeng" blessing, in his view, to win the world, not only the ability of the problem, but also time, politics and other factors affected.

Brand forging: adhere to long-term doctrine to establish new technology discourse

"Different from industrial products, including color TV products, the quality of consumer electronics products cannot be quantified, in addition to the product itself, consumers still buy a brand feeling." Zhang Bing believes that if a brand initially gives consumers the feeling of "good quality and low price, then it is difficult for this brand to launch high-end products."

In the process of expanding overseas markets, Chinese color TV brands can be described as crossing the river by feeling the stones, and the marketing strategy is constantly adjusted. In the 1990s, buying outdoor advertising spaces, newspaper advertisements, and TV advertisements became the main way to promote color TV brands. In the millennium, Chinese brands have begun to spend a lot of money on international exhibitions such as the International Consumer Electronics Exhibition (CES), the Hannover Electronics Show (CeBIT) in Germany, and the International Consumer Electronics Exhibition (IFA) in Berlin, Germany.

In recent years, Chinese color TV brands have achieved substantial sales increases in overseas markets by sponsoring sports events. For example, TCL was the official partner of the 2019 Copa America; in 2020, Hisense became a sponsor of Euro 2020. In addition to the "brushing face" to increase the sense of existence, the sponsorship of sports events has really boosted product sales. Public data shows that during the European Championship from June 12 to July 12, the overseas sales volume of Hisense laser TVs increased by 564% year-on-year.

"Color TV companies choose new technologies, not only to diversify but also to have the perseverance of long-term deep ploughing, and to establish the right to speak about new technologies." Jie Meijuan, deputy general manager of the consumer electronics division of Aowei Cloud Network (AVC), said in an interview with the "China Electronics News" reporter that the development of China's color TV brands should adhere to long-term doctrine, and the upgrading of color TV technology will be accompanied by scale growth and reshaping of the brand pattern.

Chinese brands have realized the importance of technology-driven and high-end markets, and have begun to impact the high-end market with differentiated color TV products. For example, TCL mainly promotes Mini LED TV, Hisense mainly promotes laser TV, all of which have achieved certain results overseas. TCL's Mini-LED 8 series of TVs launched in North America is priced at $2,000 and $3,000 in 65-inch and 75-inch sizes, respectively. Earlier, Chris Larson, senior vice president of the North American branch, revealed that TCL's color TV sales in North America have jumped to second place. Yu Zhitao, president of Hisense Video, said that Hisense laser TV has expanded to the United States, Germany, France, South Africa, Australia, Dubai and other countries and regions, entering the core position of the local mainstream sales channels, and the products are mainly 100-inch laser TVs and 120-inch laser theaters, with a maximum price of more than 10,000 US dollars.

Dong Min firmly believes that many of the capabilities of brands such as TCL, Hisense, and Xiaomi can already be compared with Samsung. He predicts that in the near future, two of the world's top three brands will come from China.