Insights into the market drivers for TV in 2012

Lipstick sales used to be the bellwether for the economy. Now it seems, its televisions, as an evening at home in front of the widescreen connected TV has become the new Friday or Saturday night out.

Consumers are reigning in spending as a result of the tough economic environment. But according to the analyst community they are increasingly willing to invest in both large- and smart-TVs (perhaps the result of the need to create an engaging environment as they cut down on nights out to save on spending).

A recent study by analyst Frank N. Magid Associates found that 40 per cent of consumers are looking to buy a new TV next year, with more than three-in-five seeking internet TV features. Meanwhile, Digital Entertainment Group reports that US sales of HDTV sets with a 60-inches or larger screen are expected to have grown by 50 per cent this year to 1.3 million units.

Innovation is opening doors to new services for consumers. In 2012 we’ll see the emergence of more unified services connecting TVs to mobile devices, such as iPads and iPhones. Meanwhile we’re also witnessing greater levels of integration of TV services with gaming devices, such as Kinect for Xbox with its hand gesture navigation system shows the potential for future TV navigation.

Driven by the economic climate and growing technology innovation, the evolving TV experience is undoubtedly becoming an increasingly important feature in connected homes across the UK. As the industry casts its attention towards 2012, we’re excited to see what’s in store as this year draws to a close and a new one begins.