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High-definition TVs see an Olympic jump

By Wang Ying (China Daily)
Updated: 2008-08-07 09:11

For Wei Yinlong, it's never too late to learn new things.

That's why the 66-year-old Shanghainese, a frequent blogger, recently decided to add a new gadget to his daily life: a Hisense high-definition TV.

"This is much more than a regular television. Every channel is so clear, and it can act as a computer monitor. More importantly, I will be able to watch the Olympic Games with a higher-quality TV in August," Wei wrote in his personal blog at eastday.com.

As the Beijing Games approaches, more HD TVs are being sold in China compared with previous years.

"Our sales of HD TVs have gone up 30 percent from a month ago, and almost 80 percent of our customers told us they are doing it for the Beijing Games," said Xie Ming, a saleswoman with Sumsung TV at an outlet of home appliance retail giant Suning in Pudong.

In the run-up to the Games, HD TV is turning out to be one of the hottest items in Shanghai's major appliance outlets. According to Linda Jin, with market research organization GfK China, weekly sales of HD TVs have jumped 10 percent in July from two months ago in Shanghai.

Yongle, another major home appliance retailer, registered a 268 percent sales increase of HD TVs in Shanghai this year from 2007. Among the best-selling products, HD TVs sized between 40 inches and 46 inches are the star performers.

Another recent survey conducted by Shanghai Commercial Trade Association of Household Electric & Electronic Appliances shows 36.6 percent of the respondents say they will update their television to HD soon.

"Traditionally, June and July are the low season for television sales, but this year we haven't seen any sales decline. The Games has been driving HD TV sales over the past few months," said Jiang Wei, a salesman with domestic brand Changhong at Suning.

Currently, there are three HD channels in Shanghai: CHC (HD movie channel), Xinshijue HD and CCTV-HD. During the Olympic Games, CCTV-HD will become an HD Olympic channel with live broadcasts of the events. After the Games, the channel will turn into a news channel.

Ye Ping, director of industry analysis and retail customs research division in GfK China, said there are three types of TVs on the market: Cathode Ray Tube (CRT), Liquid Crystal Display (LCD) and Plasma TV. The traditional CRT takes up more than 70 percent of the market share.

"More than 90 percent of the LCD and Plasma TVs in the market are HD," Ye said.

In stark contrast to the hot sales of HD TVs, sales of the CRT variety are on the wane. Experts predict CRT TVs will be gradually phased out.

By the end of 2007, more than 300,000 households in Shanghai had installed digital cable TV equipment. If only a fraction of these families decide to go HD, it will mean huge gains for HD manufacturers.

The growing popularity of HD TV is not restricted to Shanghai. In the first half of this year, HD TV sales across China rose remarkably.