Smart TV makers fully kill the curved surface: why Samsung became the biggest winner




The global television industry is entering a new era of product update, and the driving technology behind it is intelligence and surfacing.

Intelligentization has been promoted by major home appliance manufacturers and Internet companies for many years. According to data released by the domestic market research organization IResearch, the penetration rate of China's smart TV market reached 51.1% in 2014 and is expected to increase to 80% in 2015. The data from Suning also shows that in 2015, the share of smart TV sales has exceeded 80%.

Compared with the popularization of intelligence, curved screens are becoming a new trend of change. Since 2015, companies represented by Samsung have begun to dominate this change. Chinese companies including TCL, Hisense, Changhong, LeTV, Xiaomi, and other “new and old forces” have also embraced curved surface television products. There are even industry analysts expecting 2016 to be a year for curved TVs. The market share in the smart TV market is expected to exceed 50% during the year.

As a durable electronic consumer product, why did television appear to have a climax in product innovation and market replacement around 2016? Which are the driving forces behind?壹 Observe and analyze that:

1. Variety of variety shows promotes users' needs. After introducing a variety of Korean variety show copyrights and productions, real-time shows and singing-based programs have repeatedly sprinted TV programs to a new high audience rating. Even young user groups have been re-attracted to television viewing because the latter compared to mobile phones and Pad. Have a stronger sense of presence and audio and video quality. Users returning to the TV found that traditional TVs could no longer meet new demands and objectively promoted the replacement of large-size smart TVs by some users.

2. Internet companies change TV usage habits. After several video copyright strikes, users have become accustomed to paying more than 1080P high-quality video content. For users, TV is no longer the “centralized bombing” of news and advertising, but is an important channel for the free clicking and viewing of high-quality video content. Intelligent, networked, large-screen, and even curved screens have become New product selection standard.

3, curved screen technology is popular. The recognized advantages of curved TVs are: “The curvature of general curved TV is basically the same as that of eyeballs. It will give the user a sense of embracing the image of an arc-shaped large theater. It can be said to be a fully immersive experience, giving the user the immersion of a cinema. sense". With the maturing of Samsung's supply chain companies in curved screen technology, more and more home appliance companies have entered the curved screen camp. The unique appearance and user experience of the curved screen is enough to attract young users to abandon the flat-screen TV.

4. The need for industrial upgrading of traditional TV companies. After decades of full market competition, the traditional TV industry is facing increasing pressure from both inside and outside, and curved screens have higher profits and user replacement trends than flat screen TVs, enough to attract traditional TV companies.

Samsung is becoming the biggest winner

However, in all previous industrial reforms, the most profitable must be an industry-driven company with core technologies. Samsung is becoming the biggest winner in the current wave of smart and curved screen product upgrades.

According to the Samsung Electronics recently released fourth quarter 2015 financial report, Samsung Electronics consolidated revenue of 53.32 trillion won, an increase of 1.12%, higher than the company's previously estimated 53 trillion won, operating profit of 6.14 trillion won, an increase of 16.07 %. One of the most noteworthy is the home appliances sector, whose operating profit has increased by more than 300%.

In the environment where the global economy has experienced a strong headwind and demand continues to slow, it is not easy for Samsung’s home appliance division to maintain its business growth. It can be said that the core advantages of Samsung's multi-year layout began to gain a comprehensive harvest:

1. Technological R&D and core industry chain advantages. Samsung is one of the world's best screen design and manufacturing companies, and is the main promotion and production company for curved screen technology. Samsung, which has the advantages of panel, technology, and sales, has been leading the TV industry for 10 years. As the top performer of SUHD TV, Samsung took advantage of its first-mover advantage to occupy 74% of the surface TV market share.

In recent years, even though many manufacturers have introduced OLED, ULED, QLED to seize Samsung's SUHD market, Samsung TV has still created sales successes for "ten consecutive championships." According to the survey, among consumers who are interested in buying curved TVs, Samsung’s brand preference is over 50%.

2, flagship products and high quality. Relying on core supply chain, product design and manufacturing, and international first-line brand advantages, Samsung flagship TV has become the benchmark product of global smart TV in product video and video experience, quality and quality, and technology development. In 2015, Samsung launched the SUHD TV Pride World Ultra High Definition series featuring curved surfaces, quantum dots, ultra-thin and ultra-high-definition technologies that have met many hot spots in the market. It has won numerous honors both at home and abroad.

The success of the high-end market will in turn drive sales and brand premiums for mid- to low-end products. In the global TV marketplace and e-commerce platform, it can be seen that from the small and medium size to the cash flow, to the huge size of the most profitable, Samsung TV has been fully curved, and the price is higher than other brands.

3, the core system capabilities. In addition to its core supply chain and product advantages, Samsung is the only company in the world that currently integrates hardware and smart operating systems. Unlike the status of smart phones, Samsung’s independently developed Tizen operating system has become the most important player in the global smart phone market. For example, in the European market, as of November last year, the market share of smart TVs based on the Tizen operating system was 31%. With the large-scale promotion of Samsung's new Qu Ping OLED and SUHD smart TV products globally this year, it is expected that the Tizen operating system's share will also be upgraded with stars. This will enable Samsung to open up hardware and application services through the operating system and establish business. Closed loops in the ecological chain are crucial.

Based on the above information, we observe that with the innovation of new technologies, content requirements, and business models, the global traditional TV industry has already been at a critical stage of reshaping. For Samsung, it is expected that with its core supply chain, multi-intelligent terminal products, and core operating system capabilities, it will be the most important driving force and beneficiary of this reshaping.


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