John Corn
07-21-03, 06:04 PM
NEW YORK (Reuters) - Consumer electronics chains are hoping to cash in this holiday season as falling prices pump up the sales volume on flat-panel televisions and home theater systems.
But with discounters like Wal-Mart in the market, competition will be stiffer.
Last year, prices for flat-panel televisions cost about $6,000, but prices have dropped and designs have changed, opening up the market to more consumers. Now it's not only the suburban mansion dwellers who are eyeing flat-screen televisions, but also people who live in studio apartments.
And the Consumer Electronics Association, a trade group for manufacturers, reported year-to-date flat panel sales were about 653 million in 2002, an increase from $163 million in 2001.
"Our 42-inch Panasonic and Sony models started at $5,000 last year, and now they are at $3,000. The price drop opens sales up to many more people," said Noah Herschman, vice president of video merchandising at electronics retailer Tweeter Home Entertainment Group Inc. (Nasdaq:TWTR - news).
http://story.news.yahoo.com/news?tmpl=story&cid=569&e=18&u=/nm/bizelectronics_dc
But with discounters like Wal-Mart in the market, competition will be stiffer.
Last year, prices for flat-panel televisions cost about $6,000, but prices have dropped and designs have changed, opening up the market to more consumers. Now it's not only the suburban mansion dwellers who are eyeing flat-screen televisions, but also people who live in studio apartments.
And the Consumer Electronics Association, a trade group for manufacturers, reported year-to-date flat panel sales were about 653 million in 2002, an increase from $163 million in 2001.
"Our 42-inch Panasonic and Sony models started at $5,000 last year, and now they are at $3,000. The price drop opens sales up to many more people," said Noah Herschman, vice president of video merchandising at electronics retailer Tweeter Home Entertainment Group Inc. (Nasdaq:TWTR - news).
http://story.news.yahoo.com/news?tmpl=story&cid=569&e=18&u=/nm/bizelectronics_dc