Market researcher sees Samsung and Osram in price war
In April, the price level for 40W equivalent LED light bulbs dropped globally by 5.7%, LEDinside reckons. The decline coincides with a phase of few new product introductions – normally, the roll-out of many new products is accompanies with a stable or climbing price level. During the observation period this was the case in China and Taiwan. Also the average sales price for 60W equivalents continued to decline albeit less steep at a rate of just 1,2%. The worldwide average ASP for 40W equivalents now reaches $16.10 and $23,80 for 60W equivalents.
In Germany and the UK the decline was much steeper that in the global average, with a drop for 40W equivalents of 13.2% in Germany and 5.7% in the United Kingdom. Two vendors were affected particularly hard – Samsung and Osram. The market was relatively quiet in this observation phase with no new LED product roll-outs. Both companies however broke the 10 euro line downwards with products that were sold as replacement for 40W incandescent bulbs. LEDinside expressed its belief that Osram’s move to drive the price lower shows its determination to seize the European lighting consumer market. Samsung has similar intentions, which could eventually lead to a price war between these two giants.
The price drop for 60W equivalents was less pronounced; UK and Germany saw a decline of 4.8% and 7.3%, respectively. In contrast to the 40W equivalent landscape, there has been a number of newly added 60W equivalents. Again, Osram and Samsung led the price level down.
Against the background of the increased competition between Osram and Samsung and the LED bulb penetration rate in Europe is expected to rise quickly, the market researchers said, adding that the economic recovery after the European debt crisis has brought additional positive impact to the market.
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