World Cup fever is kicking up
already-strong demand for flat-panel televisions as consumers desiring a sharper
picture of matches are finding lower prices and marketing pitches honed for
soccer fans.
At a Yamada electronics store in Tokyo, TVs are awash in blue-the Japanese
national team's jersey color. Pictures of midfielder Shunsuke Nakamura are
everywhere - splashed on banners hanging from ceilings and leaflets that
say, "Go Shunsuke."
"Sales were going well even before the World Cup started," says Yamada
spokesman Yoshihiko Kamiyashiki. "But now that it's finally begun, interest is
high, and sales are growing."
The same story is unfolding in soccer-loving locales around the world.
The British electronics chain Currys, which has 550 stores Great Britain, is
selling a flat-screen TV every 15 seconds, spokesman Mark Webb said.
Soccer's monthlong tournament in Germany comes as major electronics makers
are boosting production of panels for slim TVs to keep up with global demand.
It's proving the perfect marketing opportunity.
Profits remain significant despite a recent price drop as consumers snatch up
bigger models with high-definition features. A 32-inch liquid-crystal display TV
sells for about 250,000 yen (US$2,200; euro1,700) in Japan, and under U.S.$2,000
in the U.S. _ about half the price of a few years ago.
Global shipments of liquid-crystal display TVs during the first quarter of
this year jumped 135 percent from the same period the previous year to 7.4
million TV sets, while global plasma TV shipments rose 87 percent on year during
the first quarter to 1.7 million, according to DisplaySearch, which tracks
sales.
In the United States, TV sales are strong _ but don't credit the World Cup.
On Tuesday, U.S. retailer Best Buy Co. Inc. confirmed strong demand for the sets
but didn't mention soccer.
The number of liquid-crystal display TVs sold in Japan rose 37 percent in May
over the previous year while revenue soared 52 percent, underlining the trend
toward pricier models, according to Tokyo-based BCN, which monitors industry
data.
Sharp Corp., which led the LCD TV sales rush with 44 percent of the Japanese
market, expects to sell 2.4 million LCD TVs in Japan during the fiscal year
ending March 2007. That would be 500,000 more than the previous year.
