Large panel TVs share expected to cross 50 pc by FY2027, says Crisil

Share of large-sized panel televisions (40-inch and above) has tripled to over 40 percent of the overall market in the past five years, and is expected to cross 50 percent by 2027, said a report from Crisil.

This is led by a combination of tailwinds such as ''reduction in prices, rising incomes, increasing internet penetration, higher bandwidth availability'' and shift in viewing habits expanding segment as rising consumption of Over-The-Top (OTT) streaming, it said.

''With the tailwinds continuing, the share should cross the 50 percent mark by fiscal 2027,'' the report said.

The report further stated that the pandemic has changed family viewing habits and the rise in fiber-to-the-home services will further improve broadband services, thereby aiding the adoption of larger panel Televisions (TVs).

In the last five years, there has been a sharp decline of 35 to 40 percent in the prices of large panel TVs, creating a spur in the segment.

''A 55-inch TV, which was priced around Rs 1,00,000 in 2017, is now available for Rs 55,000-65,000,'' it said.

The segment, which was earlier dominated by a few companies, has now become very competitive after the entry of several new players, which democratized the segment.

New players such as Xiaomi, Vu Technologies, One Plus, Thomson, Kodak, etc are now leading to a price war.

According to Crisil Research Director Pushan Sharma, ''The number of brands in the space has doubled in the past 5-7 years, with over 70 brands jostling for customer wallet at present. Also, there was surplus capacity in the 43-inch screen size as Western countries had already moved to larger-sized screens before 2018.'' Added to all this, rising per capita income has also improved affordability.

''Per capita income rose 10.9 percent and 9.3 percent, respectively, in fiscal 2018 and fiscal 2019, coinciding with the decline in prices of panel TVs,'' the report said, adding, ''The trend is expected to sustain over the longer term.'' According to the report, internet penetration is on the rising, which subsequently is leading to an increase in consumption of OTT entertainment, which viewers prefer to consume on bigger TV screens.

''In fact, India has seen a surge in internet users over the past few years, with internet penetration reaching 62 percent in fiscal 2022 from less than 20 percent of the total population in fiscal 2015,'' the report said.

(This story has not been edited by Devdiscourse staff and is auto-generated from a syndicated feed.)