UK Smart TV sales to hit £2.5bn
November 15, 2012
In a sign that consumers increasingly want to connect their ‘main screens’ (TV and computer) over half (55 per cent) of people in Britain have connected their TV sets to the Internet according to a YouGov study on the nation’s TV habits. The findings could presage a big increase in sales for Smart TVs.
The study found that more than one in ten (11 per cent) Britons intend to purchase a Smart TV in the next year. The optimal price for a 32 inch HD Smart TV – based on the average amount this group is willing to pay – is £440 (€547). The optimal price for a 42 inch version is £550. According to YouGov projections, sales of Smart TVs over the next year could equate to nearly £2.54 billion.
According to YouGov Media Consulting Director Dan Brilot, the good news for Smart TV manufacturers is that there is a huge appetite for accessing Internet services on TV sets, whether that be on demand TV, radio, news apps, or video calling services such as Skype. “The bad news is that there are a lot of competing technologies out there that can be confusing to the consumer. However, our research indicates that the Smart TV industry is starting to do a better job at communicating why their ‘cutting out the middleman’ device is the best choice in such a fractured market.”
He advised that for manufacturers and retailers hoping to sell Smart TVs this holiday season, affordable pricing would be key. “The message for manufacturers and retailers is clear: If they can set the right price the revenue potential in the short and mid-term from Smart TVs is huge, particularly as we enter the Christmas shopping period. The other big advantage consumers should be made aware of is the potential for new apps. People love getting new apps for their Smart phones, so they need to know that they can also continually load new apps onto their Smart TV,” he suggested.