Toshiba switches on to LCD TV revolution

Toshiba Corporation said it would start designing LCD televisions for Vietnam, India and Indonesia in October and aimed to have emerging countries account for 50 per cent of its global TV sales in volume terms in fiscal 2013.

“Toshiba currently has a 12 per cent market share in Vietnam for LCD TVs, and by introducing this broad line up of TV products, covering the high-value added models, including 3D TVs, as well as the unique Power TV product line specially designed for the ASEAN market including Vietnam, Toshiba believes it can enhance its presence in the LCD TV market in Vietnam,” Shinya Fujita, chief representative of Toshiba Asia-Pacific Hanoi Office told VIR.

Late last year, the Japan-backed firm launched its LCD brand Power TV family which is the world’s first LED TV with integrated battery back-up. The product was designed with Vietnam and other Asian countries in mind and Toshiba is targeting sales of 1.2 million TVs in the region in the 12 months starting April 2011. This is a rise of about half a million sets.

The firm said it could not be specific about its targeted market share in Vietnam but was aiming for a 20 per cent market share in the ASEAN region this year. This would double the 10 per cent the company racked up last year.

According to GfK, one of the largest market research companies in the world, the TV market in South East Asia expanded in the first six months of 2011 with consumers in Vietnam, Indonesia, Malaysia, Philippines, Singapore and Thailand spending over $2.1 billion on 6.33 million televisions.

Jasmine Lim, regional account director for GfK Asia, was quoted by foreign media as saying: “The TV market registered healthy double-digit growth in the first six months of this year in Indonesia and Vietnam.”

Fujita said Toshiba was placing a great deal of emphasis on expanding the LCD TV business for the ASEAN market, and Vietnam was among the most strategic markets where the firm was aiming for strong growth.

“We also introduced a broad line-up of TVs in Vietnam to meet the rapidly growing demand for LCD TVs,” he added.

LCD televisions carry a price tag of around VND3 million to VND70 million in Vietnam depending on the model. Major market players include Samsung, LG, Sharp and Panasonic.

Toshiba used to have a small scale TV production operation in Vietnam but has shifted ASEAN production to Indonesia.

Last September, Toshiba started operating a new manufacturing facility for industrial motors in Vietnam. A major reason for locating the factory in Vietnam was the availability of excellent human resources.

Toshiba forecasts annual market growth of over 20 per cent for its televisions, refrigerators, washing machines and PCs in Vietnam.