Internet TV sales have dropped by nearly 70%. Who will be the next winner after Xiaomi and Sharp?

2017 was a year of reorganization for China's Internet TV industry. The turmoil caused by LeTV's broken capital chain directly shook the market position of LeTV Super TV. Various Internet TV manufacturers coveted some of the market share lost by LeTV, and a major reshuffle in the Internet TV industry began.

The influx of foreign brands, the pursuit of traditional domestic color TV manufacturers, the funding problems of Internet brand manufacturers, and the continuous innovation of products in the industry have made the industry structure mixed, and the market dividends are enviable. So, who will win the first battle in this year's market competition?

According to data analysis by authoritative research organization Aowei Cloud Network, in the first three quarters of 2017, sales of Internet brands decreased by 11% year-on-year, while this figure was 20% in 2016. At the same time, sales of foreign brands and domestic mainstream brands increased year-on-year, squeezing the market share of Internet brands.

Foreign brands have an opportunity to turn around. According to data, in the first three quarters of 2017, the two major foreign brands, Sharp and Sony, grew rapidly. After Sharp joined the price war, its sales increased by as much as 330%, with obvious market expansion effects. Sony focused on the high-end market, with sales increasing steadily, especially after the release of the Sony A1 series, with a significant increase of up to 60%.

While Sharp and Sony, two major new forces, are expanding rapidly, Internet brands are losing market share one after another. Data shows that in the first three quarters of 2017, the overall sales of Internet brands fell by 67% year-on-year. The nearly 70% sales decline is a devastating blow to the entire Internet brand.

At the same time, Xiaomi went against the tide and successfully stabilized its sales with the Mi 4A series, with a sales growth of 253.9%. In the cold winter of Internet brands, it still achieved such an impressive performance, which is not only due to the high quality of its products, but also to its own marketing model.

According to data from Aowei Cloud Network, the national sales volume of color TVs in 2016 was 50.89 million units, while the sales volume in the first three quarters of 2017 was only 32.21 million units. Given the sluggish industry, it is difficult for sales to achieve a breakthrough in the fourth quarter.

In this environment of overall market shrinkage, Xiaomi and Sharp have taken their own share in the competition. It is worth thinking about that both Xiaomi and Sharp have achieved success through price wars, and the reason why Internet brands have lost their market competitiveness is that the shift in capital trends has made it difficult to gain an advantageous position in price wars.

In the Internet TV market competition in 2017, Xiaomi and Sharp were the winners, but other brands also had something to gain. The reshuffle of the Internet TV industry under the market economy will continue.

As a winner of Toutiao's Qingyun Plan and Baijiahao's Bai+ Plan, the 2019 Baidu Digital Author of the Year, the Baijiahao's Most Popular Author in the Technology Field, the 2019 Sogou Technology and Culture Author, and the 2021 Baijiahao Quarterly Influential Creator, he has won many awards, including the 2013 Sohu Best Industry Media Person, the 2015 China New Media Entrepreneurship Competition Beijing Third Place, the 2015 Guangmang Experience Award, the 2015 China New Media Entrepreneurship Competition Finals Third Place, and the 2018 Baidu Dynamic Annual Powerful Celebrity.