Color TV sales battle starts today

Recently, Yangcheng’s home appliance stores have launched TV advertising campaigns. Summer heat should be reduced by air conditioners, refrigerators, and other cooling equipment. The merchants have made up their minds in TV sets. Why is this?

【phenomenon】

At the same time, the merchants played color TV "price war"

The minimum discount even reached 40%

Since the beginning of August, Suning, Five Star, Huiyin and other major home appliance stores in Yangcheng have placed TV promotional posters in prominent locations. Suning announced that from September 9th to 11th it was a "grab the TV game" campaign, and the price of the entire TV market was "killed in the end." Huiyin Household Appliances, separated from Suning Street, also announced that they would engage in “Ten Days and Nights” promotions from the 2nd to the 11th.

Reporter visited a number of home appliance stores found that many TVs have given attractive prices: Sony 46-inch color TV 7.4 fold, priced at 4399 yuan; Samsung 50-inch LCD TV discount is even lower, 6.3 fold for only 4,999 yuan. In normal times, the prices of these two televisions are all at $6,000 or $7,000.

After comparing the reporters found that the discounts of each family are 70% off, the lowest even reached 60% off. As far as the same model is concerned, the price difference between each family is within one or two hundred dollars. Mr. Chen Maogang, head of the Suning Appliance Marketing Department, said that even on the National Day, he would not guarantee such a low discount.

【doubt】

Why price war only for color TV?

Summer white TV, color TV is off-season

Careful readers may find that the price war started by the merchant is only for a color TV. Then, why are the hot air conditioners, refrigerators and other appliances commonly used in households in hot summers not involved in preferential activities?

Li Feng of Suning Appliance Market Department told the reporter that the appliance industry is divided into white goods and black appliances according to the appearance color. White goods refer to refrigerators, air conditioners, and washing machines, while black appliances refer to televisions, computers, and mobile phones. Generally speaking, summer is the sales season for white goods, and it is the off-season sales of black appliances.

"Air-conditioning, refrigerators and other refrigeration equipment, in such a hot day, every household should use, we do not sell." Li Feng said that the opposite is true of color TV, TV sales season is generally a holiday, summer sales are small. "In order to stimulate potential demand and also to digest inventory, we launched the 'color TV' war." Li Feng said that this is a double-dumping thing, for manufacturers, recycling of funds; for consumers, with a lower Discounted TV sets were purchased to avoid “higher prices” during the peak sales season in the second half of the year.

The reporter learned that the price war of the business only targeted at the deep-seated reasons for the color TV: The reason why the price war can be played is not that the business has the final say. The business behind is the competition of various brand manufacturers. How much is the discount is determined by the merchant and the manufacturer. The fact is that TV sales have been booming in the first half of the year, a year-on-year increase of 29%. Manufacturers want to continue this "brilliance" before the peak season.

[thinking]

Why is the price war taking place in August?

Releasing consumer potential, and regularizing it later

In general, the home appliance industry will engage in "price wars" during the May 1st and 11th Golden Week of the year, and each will be at the lowest level. After May 1st and 11th, prices will return to normal levels. So why did this year's price war happen in August?

Li Feng told reporters that the reason why the "price war" was conducted between May 1st and 11th was to release consumer potential. “If consumers miss the May Day, in order to get a lower discount, they can only wait until 11. There are up to 5 months in the middle. These 5 months are off-season for us.” He said that for consumers In fact, the five months are also long. "If your home TV is broken and there is a demand for TV, you have to wait until the first half of the year to buy it. You are in a hurry." He said that in August and November 11, the promotion was "to give consumers Provide more than one choice."

He Dajun, director of Huiyin’s home appliance market, also stated that the home appliance industry relied excessively on holidays. "Holidays are full and it's not enough to sell goods. It's normal to take a rest. It's usually not a holiday, and sales are obviously less than holidays." He said that in order to change this imbalance, an "artificial" holiday is needed to stimulate consumption.

This reporter learned that this August color TV promotional activities, is the first home appliances store in May and eleven outside the price war. “Since we started, I am afraid that I would like to close my hand.” Li Feng predicted that after the price war in August, I am afraid that it will be regularized.

[Questioning]

Is price war just to stimulate consumption? Man-made festivals fill policy vacuum
According to merchants, choosing to compete in color TV in August is to release potential and stimulate consumption. However, are the facts just as business people say, just to stimulate consumption?

This reporter learned that the one-year home appliance energy-saving subsidy policy expires on June 1 this year. After June 1, the appliance industry will no longer enjoy the support of any national policy. From the past "two legs" (trade-in, home appliances to the countryside) to "one leg" (energy-saving subsidies), and now to the "legless" walk.

Without the support of national policies, home appliance retailers had to “separate their way out”. Businesses soon discovered that the “promotion season” of the past May 1st and 11th was not enough, and they needed to artificially “manufacture” another “shopping season”. As a result, the color TV price war came into being in August.