Discounts give boost to LG OLED TV sales
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Sales of LG Electronics’ 55-inch curved OLED TV sets are moving at a promising pace. / Courtesy of LG Electronics
By Kim Yoo-chul
LG Electronics aggressive pricing strategy for high-end and premium televisions has begun paying off for the world's second-biggest TV manufacturer in terms of sales.
On Sunday, LG Electronics said in a statement that it had taken one month to reach the "1,000 sales mark" for its 55-inch flat-screen TV using organic light-emitting diode (OLED) technology since the product was launched in Korea last September.
"Sales of 55EC9300 OLED TVs exceeded 1,000 units on local shelves since the TV sets became available at major local outlets channels late in Sept. at 3.99 million won each," the LG statement said.
LG Electronics said its LG Display affiliate had been improving production yields ―defect rates ― on OLED TV panels and stressed that closer cooperation with the affiliate would help LG expand its OLED TV presence in Korea.
The cost of the 55-inch OLED TV is not much more than that of top-end 55-inch LCD TVs from Samsung and Sony, which cost about 3 million won. But OLED offers a considerably enhanced picture quality.
LG launched the first OLED TV last year. Model 55EM9800 went on sale in the U.S. last July at $15,000 in partnership with Best Buy. The price was subsequently cut several times. The 55EC9300 is the successor.
The latest statement comes after LG Electronics said it would pursue a "dual-track" strategy in its TV business with quantum dot TVs, as well.
“LG will push quantum dot TVs and OLED TVs as part of our so-called 'two-track approach' to boost TV sales," said LG Electronics chief financial officer Jeong Do-hyun.
Quantum dot TV or QD TV is a variant of LCD TV, with QD TV incorporating a film of tiny light-emitting crystals into regular LCD displays.
The manufacturing process is not too difficult and offers improved picture quality at much cheaper cost than OLED displays. Market leader Samsung plans to push cadmium-free QD TVs heavily from next year.
"OLED TVs still need some more time to take off fully due to higher price,” said an executive at Dow Chemical, which will supply QD materials to LG Electronics.
“In contrast, QD TV technology is quicker for mass-production and has no tough barriers. But LG Electronics is concerned about 'cannibalization' as it pushes OLED TVs and then QD TV from next year."