Black Friday might not be relevant for many of us living in Singapore. Nonetheless, it is invariably an enticing shopping period for the Internet-savvy to purchase their electronic devices online at tantalizingly discounted prices.
As for TV bargain hunters in the States, the price situation continues to swing in their favor but less so for panel and TV makers.
Based on a recent report by market research firm, IHS, American retailers are expected to slash prices further as they work their way towards Black Friday. For instance, a 42-inch Full-HD set with LED backlights may be going for as low as US$400. According to IHS, this contraction in LCD TV prices is largely spurred by poor consumer demand in Europe and the States.
"Slumping demand in Western Europe and North America are primarily to blame for the poor performance of LCD TV panels," states Sweta Dash, Senior Director for Liquid Crystal Displays Research at IHS. "Given the already faltering economies of those regions and the threat of a double-dip recession looming, global LCD TV shipments continue to suffer, impacting the TV panel market especially hard."
This dismal state of the LCD TV market can also be attributed to the "China factor", as highlighted by IHS. Panel purchases are mostly wrapped up by August in anticipation of the country's National Day celebrations in October. A surge in consumer purchases is expected during this week-long event, including televisions, as it had been this year.
The "domino effect" between panel suppliers and TV manufacturers has a part to play in the fire sale as well. With suppliers offering aggressive prices for the upcoming holiday season, TV makers have little choice but to lower their retail prices accordingly to beat the competition on the ground.
That said, it looks like it's going to be a dark phase for TV makers indeed.