Looking back over the past three months in the home appliance market, many distributors in the sinking market have told the appliance circle that poor retail performance was within expectations. However, what was most unexpected is that the television market seems to have gone into "hibernation," with minimal shipments:
Even if there are some shipments, they are not primarily the 65-inch or 75-inch large-screen TVs that many manufacturers claim. Even 55-inch TVs are not selling well, with occasional demand for 43-inch small-screen TVs, mainly driven by price comparisons.
Subsequently, inquiries with distributors in various regional sinking channels in the appliance circle revealed a general consensus: compared to white goods such as air conditioners and refrigerators, as well as kitchen appliances like range hoods and gas stoves, the television market's sluggishness in the sinking market was indeed unexpected. Shipments were sporadic, with occasional inquiries from customers, but actual transactions were minimal, making it difficult to perceive the commercial value of the television category.
Specifically, this round of television market in sinking channels has shown polarization amid a downward trend in consumption: on one hand, domestically branded high-cost-performance models, such as those from Hisense and TCL, performed well. On the other hand, discounted models from joint ventures, such as Philips, which focus on the concept of foreign brands, also performed decently. Brands like Sony and Samsung, however, found themselves in an awkward situation in the sinking market, with either little attention or immediate departure upon hearing the prices.
Regarding the sluggish shipments of televisions in the sinking market, several industry insiders told the appliance circle that it was not surprising. This is because the role and value of televisions in Chinese households have fundamentally changed compared to other appliance categories.
Firstly, televisions are no longer considered essential functional necessities like air conditioners or refrigerators but rather discretionary entertainment purchases. Moreover, alternative display products such as projectors, large-screen smartphones, and tablets have emerged.
Secondly, television sales channels have shifted to comprehensive online platforms after years of development. The replication of the retail model of chain stores online has resulted in price discrepancies, making it difficult for offline channels to compete directly, relying solely on luck.
Lastly, the demand for large-screen televisions is not strong among various demographic groups, from the elderly to children, from young adults to retirees. The privacy and convenience offered by smartphones outweigh the appeal of large-screen TVs. Additionally, the increasing intelligence of televisions has left many elderly users feeling embarrassed due to their lack of technical know-how.
Especially in the sinking market, many rural distributors, although many of them originated from the era of dedicated TV dealers, cannot resist the comprehensive lifestyle and entertainment changes brought by mainstream users in urban markets.
Firstly, televisions are no longer the sole means of audiovisual entertainment for many households and users. Secondly, the richness of television content and the convenience of operation are increasingly insufficient to satisfy users. Furthermore, with the continuous decline in television prices, even large-screen TVs on online platforms are becoming cheaper, leaving few offline retailers willing to invest in selling televisions.
For companies like Hisense, Sony, TCL, Samsung, Xiaomi, Changhong, Konka, Philips, and Sharp, both domestic and international TV manufacturers must take this phenomenon seriously. This round of sluggish television sales in the sinking market is not a coincidence.
On one hand, the main battlefield for television sales has long shifted to online and e-commerce platforms, and TV manufacturers no longer rely on sinking channels for mass shipments. Therefore, it is essential to help offline retailers differentiate their operations and find new directions and paths for selling televisions instead of simply abandoning distributors in the sinking market.
On the other hand, although TV manufacturers are expanding TV shipments through various channels and in different countries and markets, they can no longer rely solely on a single channel or national market for business operations. However, the fact that more and more Chinese consumers are no longer purchasing large-screen televisions, and some are even reluctant to turn on their TVs, is alarming and needs to be addressed rather than ignored.
If the declining trend in television usage rates and shipments in sinking channels is allowed to continue unchecked, disregarding the future lives and development of offline distributor groups, it will ultimately affect the survival foundation and business prospects of television companies in the Chinese market.
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Declaration: Personal original work, for reference only.
