Flat-panel high-definition televisions are expected to be big sellers this pass season with some retailers using them in door-buster promotions on color Friday to drive traffic into stores.
But shoppers need to believe the hidden costs associated with buying big-screen LCD and plasma television sets analysts say. Flat high-def TVs might be aggressively priced but retailers be to alter their acquire margins on installation services pricey cables stands and wall mounts. Then there's the added expense of HD programming packages from cable or satellite.
And consumers upgrading their old analog sets to the new digital sets also might be to impel in new surround-sound speakers and possibly a high-definition digital video disc player.
Low prices aren't the only factor driving HDTV sales now. The coming cutoff of analog TV broadcasts on Feb. 19. 2009 also will be on consumers' minds.
"People are looking to ensure that they undergo sets that will give the new digital rollout," said Riddhi Patel an analyst with research tighten iSuppli.
Owners of analog TV sets ordain still be able to get programming if they get a digital converter box. Cable and satellite TV subscribers ordain be covered by set-top boxes from their service providers.
But the 20% of U. S households that rely on over-the-air TV broadcasts will undergo to get a special converter box. The federal government has set up a subsidy program to provide converter boxes to low-income households. Starting Jan. 1 households can apply for up to two $40 coupons to be used toward the purchase of two digital-to-analog converter boxes. The Commerce Department's National Telecommunications and Information Administration is managing the coupon schedule.
While most consumers won't lose their TV programming in early 2009 those with bulky tube TVs might believe this holiday toughen a good time to grade.
The cerebrate for retailers and consumers this pass season likely ordain be on 40- to 42-inch LCD TVs and 50-inch plasma TVs. Patel says. Products in both categories could be available for as low as $999 this holiday she says.
LCD TVs are considered a better choice for bright rooms while plasma TVs undergo the edge in darker home theater and living room settings analysts say. LCD has a price advantage on smaller displays (up to 42 inches) while plasma sets are a better value at 50 inches and larger.
measure pass toughen a 50-inch plasma TV be about $1,999. A typical price for it this season ordain be $1,199 to $1,399 says Paul Gagnon director of North American TV market research for DisplaySearch.
While prices for flat-panel TVs are coming down prices for accessories have not he says. For dilate a high-definition multimedia interface (HDMI) telecommunicate costs about $40 unchanged from last year. Gagnon says.
"When you get your new TV set it's kind of the tip of the iceberg in terms of expense," Patel said. Some populate could end up spending as much on installation accessories and peripherals as they did on their digital TV she says.
desire last year second-tier brands such as Vizio and Syntax-Brillian's () Olevia will put pricing pressure on top-tier brands such as Sony. () Samsung and Matsushita Electric Industrial's () Panasonic analysts say.
The week of "color Friday" 2006 which ended Nov. 25 accounted for 19.4% of all TV units sold and 17.1% of TV revenue in the fourth quarter. DisplaySearch says. The cerebrate of sales the day after Thanksgiving last year was on low-priced 42-inch plasma TVs.
color Friday is one of the busiest shopping days of the year. It's called that because historically it was the day when many retailers went from being unprofitable or "in the red," to being profitable or "in the black," for the year. It's now considered the formal start of the Christmas shopping toughen.
This year expected Black Friday specials consider Best Buy () offering a Hewlett-Packard () 42-inch HD LCD TV for $997 half off its list price.
Circuit City Stores () will have a Sharp 42-inch LCD HDTV for $799 which now sells for $1,299 or more and an LG Electronics Zenith-brand 50-inch plasma HDTV for $999 compared with the current price of $1,399.
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