Shift towards higher resolution and brighter large-format displays continues to accelerate in Wester

Revenues from large-format displays (LFDs) in Western Europe (WE) continued to grow in the early part of Q2 2018 – by almost +20% year-on-year – driven by segments including ultra-high definition (UHD) and high brightness displays, according to the latest distribution data published by CONTEXT, the IT market intelligence company.

Sales of high resolution LFDs almost tripled in the first seven weeks of Q2 2018, managing to offset the continuing decline of full HD (FHD) displays sufficiently to lead to an overall +12% year-on-year volume increase in WE.

“While FHD remains the dominant resolution, a constant demand for the best picture quality and enhanced customer experience both indoors and outdoors makes higher resolution displays much more attractive”, said Dominika Koncewicz, Senior Analyst at CONTEXT. “Moreover, UHD display prices are falling, helping to spur sales.” For example, in Q1 2017, the average selling price of a 65 inch display was 2400 euro but by early Q2 2018 it was below 1600 euro, -33% less. Nevertheless, UHD displays are still more expensive, so this product category continues to increase revenues for both vendors and distributors.

The other type of LFD seeing growing sales are those with high brightness. Previously, most LFDs sold by WE distributors were models with brightness below 500 nits, but sales of these declined almost 10% year-on-year in early Q2 2018 while sales of LFDs with brightness of 500–1000 nits grew by over +60%, and the brightest displays (over 1000 nits) were up by over +30%. This demand for brighter displays justifies vendors’ increased focus on indoor and outdoor Direct View LED displays, which offer not only much higher brightness and picture quality but also bigger form-factor flexibility.

“Interest in other types of LFD, such as those with stretched or ultra-wide screens or Direct View LED displays is expected to continue growing”, added Dominika. “The need to utilize niche spaces like store shelves, ceilings, corridors and spacious outdoor walls, will spur sales of unusual form factors and drive further innovation.”