As Australians move to 200Hz and 600Hz TV’s Vivo is attempting to launch a 100Hz TV in Australia with the roll out of a 52-inch Full HD LCD TV at a price point of $2,199.
An unknown brand, the TV is being distributed by Vivo a Company that use to trade as Natcomp International. The move comes as several unknown brands attempt to grab market share in the bottom end of the flat panel market.
In Vivo’s case the Company is positioning themselves as a premium brand despite the fact that the LCD panel is only 100HZ and is selling at just over $2,000.
Harvey Norman, The Good Guys and JB Hi Fi are not stocking the Vivo brand as they focus on known brands such as Samsung, Sony, LG and Philips and in some cases house brands that they are importing themselves. Dick Smith and Tandy is stocking the brand according to the Companies PR consultant.
A Merrill Lynch analyst said “as the market for flat panel TV’s grow and the Federal Government funds education of the Digital switchover we are going to see a lot of bottom end players try and grab some share. It appears that Vivo which is a brand that I have never hear of is going to struggle as there are a lot of Chinese and Taiwanese as well as brands like TEAC, Palsonic and online brands like Kogan competing for share at the bottom end.” they said.
“Recently we German brand Telefunken grab significant share via discount retailers such as K Mart with a $899 52″ Plasma TV however the threat for unknown brands is going to come from brands like LG who will be able to match the pricing of an unknown brand particularly at the bottom end of the market”.
A Harvey Norman franchisee said ” We constantly get offered bottom end brands from China, Taiwan and from distributors who think they have a chance in the bottom end of the market. It is tough out there and as the market grows we are going to see a lot more brands. Consumers want known brands that they can trust and what we are seeing is major price declines from major brands such as Samsung and LG. This will over time hurt distributors who are bring in cheap brands with there margin added. The Chinese are making and selling direct without another layer of margin.
The new Vivo LT52FHD is being distributed by Vivo, who previously traded in the IT market selling components as Natcomp International.
Also selling the Vivo brand is online shop AV Outlet. It is not known whether the shop is linked to the distributor.
3 years ago a similar sounding TV brand called Vizio was launched in Australia and despite being a roaring success in the USA the brand failed with the distributor and the advertising agency Robot Blonde leaving behind a trail of debt.
Other Chinese brands that are being sold by the mass retailers include TCL and Haier, as well brands like Toshiba are building market share in the low cost TV market. Recently TEAC were the fifth largest TV brand in Australia according to GFK.