/ 19 June 2006

World Cup fever kicks off TV sales

World Cup fever is kicking up already-strong demand for flat-panel televisions as consumers desiring a sharper picture of matches are finding lower prices and marketing pitches honed for soccer fans.

At a Yamada electronics store in Tokyo, TVs are awash in blue — the Japanese national team’s jersey colour. Pictures of midfielder Shunsuke Nakamura are everywhere — splashed on banners hanging from ceilings and leaflets that say, ”Go Shunsuke.”

”Sales were going well even before the World Cup started,” says Yamada spokesperson Yoshihiko Kamiyashiki. ”But now that it’s finally begun, interest is high, and sales are growing.”

The same story is unfolding in soccer-loving locales around the world.

The British electronics chain Currys, which has 550 stores Great Britain, is selling a flat-screen TV every 15 seconds, spokesperson Mark Webb said.

Soccer’s month-long tournament in Germany comes as major electronics makers are boosting production of panels for slim TVs to keep up with global demand. It’s proving the perfect marketing opportunity.

Profits remain significant despite a recent price drop as consumers snatch up bigger models with high-definition features. A 81cm liquid-crystal display TV sells for about ¥250 000 ($2 200) in Japan, and under $2 000 in the US -‒ about half the price of a few years ago.

Global shipments of liquid-crystal display TVs during the first quarter of this year jumped 135% from the same period the previous year to 7,4-million TV sets, while global plasma TV shipments rose 87% on year during the first quarter to 1,7-million, according to DisplaySearch, which tracks sales.

In the United States, TV sales are strong — but don’t credit the World Cup. On Tuesday, US retailer Best Buy confirmed strong demand for the sets but didn’t mention soccer.

The number of liquid-crystal display TVs sold in Japan rose 37% in May over the previous year while revenue soared 52%, underlining the trend toward pricier models, according to Tokyo-based BCN, which monitors industry data.

Sharp, which led the LCD TV sales rush with 44% of the Japanese market, expects to sell 2,4-million LCD TVs in Japan during the fiscal year ending March 2007. That would be 500 000 more than the previous year.

Sharp credits World Cup fever for its 50% on-year increase in LCD TV sales in Japan in April and May.

”The quality is just incredible,” said Christopher Belton, a British freelance writer in Yokohama who bought a ¥460 000 ($4 000) 116cm high-definition Sony LCD TV to watch the World Cup. ”It’s better than actually being at the stadium.”

The buying spree is expanding to DVD recorders. The time difference with Germany is prodding soccer fans to buy gear to record games that air late at night.

Japan’s soccer team is threatening to make a first-round exit after losing to Australia and tying Croatia. But the country’s electronics makers will continue to win regardless.

In Brazil, retailer Casas Bahia gave plasma TV buyers a chance to win another one for the equivalent of 40 US cents — but only if Brazil wins the tournament.

”It was a success,” said sales director Michael Klein. ”In just seven days, we sold what would have normally taken seventh months to sell.”

British retail sales grew 4% in May on year, the strongest annual rate of increase since December 2005. Most of that is attributable to a surge in sales of electronics goods ahead of the World Cup, according to the Office for National Statistics.

John Lewis, a department store in Great Britain, reported that sales of flat panel TVs were up 118% from the beginning of February to the end of April compared to the same period the previous year.

”We get two opportunities this year to sell TVs,” says Sony spokesperson Mina Naito, referring to the World Cup and Christmas.

One reason the World Cup works as an incentive for gadget shopping: Companies time the release of new models to such events.

In case consumers miss out on the World Cup blitz, companies are looking to the 2008 Beijing Olympic Games to drive sales.

”We believe that even after the World Cup is over, the solid demand for bigger and flatter screens won’t change,” Panasonic spokesperson Akira Kadota said.

Watching television makes you fat

Meanwhile, watching television causes people to eat more and anybody who eats a meal while watching a football match is not concentrating on their food, says Andrea Schauff, a nutrition expert.

The distraction causes the viewer to eat faster, and because the body begins to feel full only after 20 minutes, the viewer eats more food.

Gazing for a prolonged period at the screen could also mean the viewer ignores the satiated feeling completely.

Anyone who wants to lose weight should take their time eating and be aware of what they are eating. Laying the table and switching off the television or radio are part of that process.

Chewing food encourages the production of saliva and causes the body to feel fuller faster.

”Extend meal times by having a friendly discussion or by having a long break between the starter and main meal,” advises Schauff.

About one third of all Germans read during meal times or watch television, the results of a survey conducted by the Berlin-based Forsa Institute for the Techniker health insurance company showed.

The survey found that breakfast time is when the most reading takes place and in the evening television is often running in the background. The survey polled 1 000 men and women over 14 years. ‒ Sapa-AFP, DPA