Sales Pattern Analysis of Television in India

1 January 2017

Main objectives of the research are to understand the market of consumer electronics, mainly Televisions, what are the different technologies in the market and response of people towards it. There are essentially three market sectors i. e. Low Income, Middle Class and High Income Sector and the behaviour of each sector is different from one another. The data was collected from a sample of 7-8 shops in each category via a questionnaire following which an in-depth analysis was conducted.

However various figures in sales representations are estimate as the scope for the market research was limited. The research paper shows how the sales of televisions vary across the three sectors based on their types, size and brands. The paper also brings to light the response of people towards the conventional technologies like Ultra Slim TVs and newer technologies like LED TVs. This research study highlights the priorities of each sector through consumer behaviour.

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It shows the thought process of the consumer behind the purchase of a simple commodity, like a Television.

The television is one of the most important sources of information. It plays such a significant role in people? s everyday lives that it? s almost impossible to imagine how we would live if there were no TV. The main reason why so many people choose this means of getting information and entertainment is its simplicity and convenience. The television has now become an intricate part of our lives. There may be alternate methods to entertain oneself with the internet, or to get world news, but the television will still never go out of favour.

In urban India, almost all households have at least one TV set, which speaks a lot about its reach. As the years progressed, we moved from the first black and white televisions in the 1930s to the first colour television in 1950s. Colour TV was a revelation in more ways than one. Before its arrival, people even dreamt in black and white, colour television even changed that. Constant advancements in this field have been made. People loved the concept of home entertainment and more and more channels started coming up in order to provide it.

To improve the viewing experience, rapid technological advancements started being made such as flat-panel displays, to LCDs and LEDs to the current HD and 3D viewing. Starting with 41 sets in 1962 and one channel, by 1991 TV in India covered more than 70 million homes giving a viewing population of more than 400 million individuals through more than 100 channels. In Urban India, 85% of all households have a TV and over 70% of all households have access to Satellite, Cable or DTH services. Approximately half of all Indian households own a television.

As of 2010, a total number of 515 channels are available in the country out of which 150 are pay channels. As per the TAM Annual Universe Update – 2010, India now has over 134 million households (out of 223 million) with television sets, of which over 103 million have access to Cable TV or Satellite TV, including 20 million households are DTH subscribers. Thus as we can see that the demand for Televisions has gone up drastically. Seeing this huge market, there has been a massive influx of companies in the past decade that have started selling their own line of television sets.

We now have in Indian markets, companies such as Sony, Samsung, LG, Panasonic, Toshiba, Videocon, Onida and many others who keep coming up with newer and better quality televisions. Everybody from a daily wage earner to a CEO in a Multinational organisation has a television at home. The aim of this research is to analyse the wishes of each section of society, and to find out what type of televisions do they prefer to purchase, what do people from different income groups look for when they want a television system. The idea is to understand the mind of today? buyers, to understand what are their preferences, priorities and mindset, so that informed decisions and strategies can be formulated.

To conduct this research, a questionnaire was produced and the market was divided into three broad sections namely Lower income, Middle income and High income & Offices sector. Areas were recognised with these specific sections of society and the electronic stores in and around those areas were visited such as Saki Naka, Andheri East for lower income sector, Santacruz West and Andheri West for middle and upper income sector. For high income ector & offices, Opera House and Prabhadevi were visited.

The volume of people in this sector is also highest in our country. Hence they purchase the most number of TV sets in the country and are the core segment for all the companies other than the Big Three (Samsung, Sony and LG). The main aim of people is buying a TV with its basic features with good looks as an added bonus. Aesthetic value provided by a television is not a major issue. β€žValue for Money? is the chief endeavour for the consumer. They typically look for Ultra Slim TVs, Small Segment LCDs and Conventional TVs. As cost is a major factor among these people, TVs which have maximum features in a fixed price range are bought.

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