TCL Electronics’ Sales Volume Doubled in Indian and Indonesian Markets
SHENZHEN, CHINA – EQS Newswire – 15 November 2019 – In the first half of 2019, TCL Electronics’ (01070.HK) market share of TV shipment reached 14.3%, up by 2.5 percentage points year-on-year in the global TV market. The company surpassed LG to become No. 2 from No.3 in terms of market share (Source: Sigmaintell). TCL Electronics is the only Chinese brand and the only company that has achieved an increase in market share of sales volume among the top three companies.
The company has made such an achievement are mainly due to, on one hand, in the first half of the year, sales volume of TCL brand TVs in China increased by 6.9%, despite the retail sales volume of the overall PRC TV market fell by 4.3%. On the other hand, the company continued to penetrate the overseas markets. During the period, sales volume of TCL brand TVs in overseas markets significantly increased by 49.8% year-on-year to 7.07 million sets. Moreover, the sales volume in various overseas markets remained strong growth. Not only the sales volume in North American markets jumped by 75% year-on-year in the first half of 2019, with its market share in terms of TV sales volume ranked No.2 in the US market, but also the sales volume growth reached 28.8% in emerging markets, which include South America, Australia, India, and Southeast Asia, and etc.
In fact, TCL Electronics has entered the Indian market for more than a decade. Although it went through some ups and downs, TCL Electronics decided to “Go Global Again” in 2015 and restarted its business in India next year.
Thanks to the well-established branding and user bases for more than ten years, as well as all-rounded sales and after-sales systems, TCL Electronics rapidly developed Indian market. As of March 2019, India had a population of 1.34 billion, a second large population after China, and its total GDP ranked No.7 in the world in 2018. According to GfK, the current Indian TV market capacity is 12.5 million sets, which only accounts for a quarter of China. It is a large market with great growth potential.
In order to explore and to achieve full coverage from manufacturing to sales in the Indian market, TCL Electronics and CSOT have built the first module integrated intelligent industrial park in Andhra Pradesh, South India, at the end of 2018. The industrial park will cover the production of 32-inch to 65-inch TVs with capacity of 6 million sets per year, which not only meet the local needs of TCL brands, but also provide ODM services to other brands.
The huge investment brings fruitful business performance. TCL TV sales volume surged by 258% and 216.8% year-on-year in 2018 and in the first half of 2019 respectively in Indian market. Moreover, in the first three quarters of this year, its market share remained the top five in Indian TV market (Source: GfK). At present, the company covers about 3,000 offline supermarkets and chain stores in the country, as well as it covers several online channels, such as Amazon, Reliancedigital, Croma and etc. The uptrend has aroused the attention of other TV manufacturers, such as Samsung and LG.
Besides India, Indonesia, the world’s largest island country, is also a promising market. As of March 2019, Indonesia has a population of 268 million, accounting for nearly half of the population of Southeast Asia, ranking No.4 in the world. The development potential of Indonesian market cannot be underestimated due to its GDP exceeded US$1 trillion and ranked No.16 among the world in 2018.
The large amount of population has attracted consumer electronics enterprises, including TCL Electronics, to invest in Indonesia. The company has been actively prepared both online and offline sales channels in the Indonesian market. At present, the company’s active online channels mainly cover Lazada, JD. ID, Shopee, and etc., and the main offline channels are Giant, Hypermart, etc. Therefore, the sales volume soared by 109.5% in Indonesian market in the first half of 2019 year-on-year.
Population is the biggest potential and advantage in both India and Indonesia. TCL Electronics has absolute advantages on sales channels, capacity, all-rounded sales and after-sales layout and global brand awareness. Therefore, it is expected that TCL Electronics has a bright future on its growth of sales volume and business performance in these countries.