Riding a wave of demand for its light-emitting diode (LED)-backlit televisions, Vizio Inc. managed to maintain leadership in the U.S. market for liquid-crystal display televisions (LCD TV) in the fourth quarter as well as for the entire year in 2010, according to new IHS iSuppli research.
U.S.-based Vizio in the fourth quarter shipped 2.9 million LCD TVs, up 78.9 percent from 1.6 million in the third quarter. This gave the company a 27.6 percent share of unit shipments, up from 19.5 percent in the third quarter. Vizio’s lead over second-place Samsung expanded to 7.4 percentage points in the fourth quarter, up from 2.1 percentage points in the third quarter.
Topped by a strong fourth-quarter performance, Vizio padded its leadership of the U.S. LCD TV market for the entire year of 2010. Company market share amounted to 21.3 percent in 2010, up from 18.3 percent in 2009. Vizio’s lead expanded to 2.5 percentage points over chief rival Samsung, up from 1 point in 2009.
Vizio’s market share gains in the U.S. LCD TV market in 2010 were driven by strong consumer demand for LED-backlit sets. Vizio has been able to offer sets with this advanced feature while maintaining competitive pricing. Consumers, in turn, are snapping up LED-backlit LCD TVs from Vizio and other manufacturers because of the thinner profile, superior picture, lower power consumption and reduced prices of the sets.
Vizio vs. Samsung: a Closely Fought Battle
Vizio in the fourth quarter of 2010 also managed to displace Samsung to take the lead in the U.S. market for flat-panel televisions, a category that combines the LCD and plasma TV segments. Samsung, with its strong business in both plasma and LCD sets, historically has led this area. However, Vizio moved ahead because of the aggressive shipments of feature-rich LCD TVs at attractive pricing through its distribution network.
Vizio in the fourth quarter shipped 2.9 million flat-panel sets, up 78.9 percent from 1.6 million in the third quarter and a 55.5 percent increase from 1.8 million in the fourth quarter of 2009. This gave Vizio a 23.9 percent share of the U.S. flat-panel market during the period, up from 16.6 percent in the third quarter.
Meanwhile, Samsung’s share rose to 21.5 percent in the fourth quarter, up from 18.8 percent in the third. Although its share of market rose, the increase was not sufficient to keep it from falling to second place in the
U.S. flat-panel television market. Overall, Samsung shipped 2.6 million flat panel sets in the fourth quarter of 2010, up 41.5 percent from 1.8 million in the third quarter and a 22.8 percent rise from 2.1 million in the fourth quarter of 2009.
Despite Vizio’s achievement, Samsung’s primacy in flat-panel television shipments during the first three quarters of 2010 meant that the South Korean giant upheld its perch at the top for the year as a whole. Samsung accounted for 20.1 percent of U.S. flat-panel shipments in 2010, compared to 18.4 percent for Vizio.