Sales of extra-large televisions shrinking due to the economy?
Posted by: in General News
Panasonic’s 150-inch plasma television (image: Panasonic)
Some experts tell Fortune that the demand for 46-inch-and-up TVs is falling:
The number of “shipments are tracking in line but people are spending less on TVs,” says Tayyib Shah, an analyst with Longbow Research. “People are buying smaller sizes and concentrating their spending on lower-priced models.”
Other industry analysts says they are also seeing a dip in demand and uptick in supply.
“The second quarter will be slow because of the economic conditions,” says iSuppli TV analyst Riddhi Patel. “Inventory levels are at 8 weeks, which is very high.”
If you are still in the market for a huge television, though, the falling demand is good news:
The likely results of this cooling trend: Lower prices on big TVs to move a mountain of inventory, and cuts in production levels to adjust to lower demand.
On the other hand, if demand for large televisions completely falls off a cliff, then manufacturers will stop making those TVs altogether.
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