Sold Out in 1 Minute During Three Pre-Sales
Untact Strategy Effective Amid COVID-19
High Demand from Cost-Conscious Customers
Official Sales on E-Platform Starting Mid-Month
[Asia Economy Reporter Dongwoo Lee] LG Electronics' 48-inch OLED (Organic Light Emitting Diode) TV recently sold out completely in all three rounds of online pre-orders. This success is attributed to the untact consumption trend driven by the spread of COVID-19 and an online sales strategy targeting specific consumers.
According to the home appliance industry on the 4th, LG Electronics' 48-inch OLED TV pre-order stock of 50 units sold out within one minute during the third round of sales conducted through the online mall '11st'. This follows early sell-outs in the first and second rounds held on the 25th and 27th of last month, marking the third consecutive complete sell-out.
An LG Electronics official stated, "Demand for the product surged from consumers who prioritize cost-effectiveness and customers looking for a second device for gaming and movie use." The company analyzed that the online sales strategy targeting internet-savvy users was successful, especially as the product became known among gamers for its 40-inch class size and gaming performance.
Accordingly, LG Electronics plans to officially sell the domestic 48-inch OLED TV through online platforms rather than offline stores starting mid-month. It is reported that discussions are underway with major domestic companies to select the online platform responsible for sales.
The industry attributes the attention on small- and medium-sized OLED TV products in Korea to their premium performance and price competitiveness. The new product is equipped with NVIDIA's 'G-Sync Compatible' feature to minimize screen lag during high-spec gaming. Another advantage is that it delivers clearer and sharper image quality by realizing 4K resolution on a smaller screen compared to existing large OLED TVs.
The price set at 1.89 million KRW is also evaluated to have significantly lowered the entry barrier to experience a high-spec premium OLED TV. Compared to the launch price of the 65-inch LG OLED TV in 2014, which was in the 12 million KRW range, the price competitiveness has improved to about one-fifth.
The global OLED TV market is also expected to support positive demand. According to market research firm Omdia, the OLED TV market, which was 2.51 million units in 2018, is projected to grow to 3 million units in 2019, 5.5 million units in 2021, and 6.7 million units in 2022. LG Electronics plans to significantly expand the online sales ratio in future new product launches and sales, starting with the 48-inch OLED TV.
An LG Electronics official said, "We plan to focus on domestic online sales of the 48-inch OLED TV based on price competitiveness and performance," adding, "We are also considering whether to concurrently sell through offline stores for customers who want to see the physical product in the future."
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