Domestic Internet TV broke out and a storm is sweeping the Chinese color TV market. The 2016 color TV industry operation report data of Oviyun.com shows that last year China's color TV market has risen against the background of the decline in global color TV shipments. The 2016 retail sales volume of color TVs has historically exceeded 50 million units.
The decline of traditional TVs is a foregone conclusion. Smart TVs are sweeping the entire TV market, and domestic Internet TV has become the biggest winner. The annual 2016-2017 TV industry development report recently released by Hisense shows that in 2016, the TV penetration rate of the Chinese color TV market reached 84.7%, which has become a standard for consumption. According to IHS 2016 Q1-Q3 global Internet TV data, Chinese brands account for more than 42% of global shipments, accounting for almost half of the total. In the first half of 2016, the proportion of retail sales of smart TV brands in the entire TV market rose to 16%, a strong increase.
From the consumer's spending habits and tendencies, Hisense Internet users big data study shows that the average daily online time of Internet TV users is close to five hours, online video on demand has become the first choice for users to watch TV, accounting for the time users watch video 68 More than %, television users tend to use the Internet to watch TV, and user spending habits have basically been developed. It is expected that by the end of 2016, domestic video site paying users will exceed 40 million, reaching an 80% growth rate.
It can be seen that with the advent of the Internet age, the TV industry, which is on the decline, is inevitably undergoing self-help. The Internet and TV integration may lack creativity, but it actually allows the entire television industry to see the slide down the valley floor. To the turn.
What is the competitiveness of Internet TV?
Why can Internet TV rise rapidly? This is not only the result of the enhancement of the core competitiveness of Internet TV, but also the inevitable requirement for the traditional color TV to meet the diversified needs of users under the background of the Internet era.
The low Internet TV threshold makes it possible for diversified capital to enter the competition. The "blanket package solution" launched by major chip manufacturers is the main reason for the reduction of the Internet TV threshold. This provides an opportunity for almost no internet maker related to manufacturing television technology. Leshi, Xiaomi, Youku and other Internet companies have entered the office and launched their own Internet TV products. On the other hand, the increase in the core competitiveness of domestic Internet TV is the fundamental reason for the rapid rise of domestic smart TVs.
In addition to the “gene” advantages of Internet TV itself, low-price competition models and personalized content selection have also become important factors for consumers to choose smart TVs. Yi En's 2015 China Video Industry Payment Research report shows that the payment model is being accepted by most people. Statistics show that the number of paying users of domestic video websites reached 22 million in 2015. It is expected that by the end of 2016, it will exceed 40 million, and the growth rate will be as high as 80%. Compared with the PC-side, smart TV users are more willing to pay, and have become the main force for the growth of paying users.
Although the smart TV started late, but with the original popularity of TV and the need for replacement. Smart TVs have opened up new entrances between users and the Internet, opening up a new era of “living room economy”.
Lose money to make money when the day off?
With smart TVs entering millions of households, Internet TV sales are steadily rising, but the phenomenon of losing money and making profits has always been the same. This became a scar on the gorgeous appearance of the smart TV industry. The reason is that although low-price competition erodes the share of traditional manufacturers, their price reductions have also reduced their profitability space, making it difficult for companies to make profits. After all, the price war is "one injury to one enemy and one hundred damages." Long-term low-price competition cannot guarantee the healthy growth of the smart TV industry.
Smart TVs will also face threats from "small screens." TVs and mobile phones are different, after all, the frequency of replacement is not high, and we must continue to tap the stock market. In terms of user experience, the poor Kartun, search, and input experience of smart TVs cannot match mobile phones, tablets, and PCs.
In addition, there are also homogenization issues in content customization and recommendation of smart TVs. For consumers, which brand of Internet TV to buy is not that different, the user experience is no different. With similar hardware costs, price wars have become difficult to avoid.
In the current saturation of the Chinese TV market, it is difficult for Internet TV to grab the stock market. It is difficult to rely solely on online channels and low-cost strategies. It is difficult to make money simply selling hardware now. How to develop a software business and build a product ecosystem has become the key to breaking through.
Although there are many uncertainties in the development of the domestic smart TV market, with the rich content of the ecology and the further development of consumer spending habits, the market potential of smart TVs may erode in the near future.

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