The Overseas Market of Rental LED Display Continues to Recover
The Overseas Market of Rental LED Display Continues to Recover
In the first quarter of 2022, the global rental LED display market shipments decreased by 22.3% month on month, but finally increased by 11.4% year on year. According to the previous seasonal characteristics of the Chinese market, the shipment volume in the first quarter was the lowest, while the shipment volume in the fourth quarter of each year was the highest. Due to the high global share of the Chinese market, the overall market followed the seasonal characteristics of China. However, from the analysis of shipments in the first quarter of 2022, the Chinese market showed a slight difference from the previous first quarter.
Due to seasonal lows and epidemic prevention and control restrictions, China's market share decreased from 64.8% in the previous quarter to 53.2% in the first quarter of 2022.
Since the novel coronavirus epidemic spread around the world in the second quarter of 2020, China has steadily occupied more than 50% of the rental LED display market. Although the first half of the year was a traditional off-season, China still maintained a market share of about 50% and more than 60% in the second half of the year. In fact, in the fourth quarter of 2020, which occupied the highest market share, its market share even reached 68.9%.
However, in the first quarter of 2022, in addition to seasonal factors, the epidemic prevention policies of local governments restricted the flow of industry personnel, reduced logistics capacity, increased logistics costs and other issues, resulting in longer business processes and order cycles. In March and April, problems such as the goods that should be delivered cannot be delivered and the parts that should be delivered cannot be delivered frequently occur. As the prevention and control measures are implemented in Shenzhen, Shanghai and other important cities, the transportation of products and parts between these cities and surrounding cities becomes difficult. Even if the transportation is completed, the installation and commissioning become not so easy. At the same time, some government projects and enterprise projects are inclined to epidemic prevention with the capital budget, resulting in the project demand decreasing again and again. In the fourth quarter of 2021, China's market share rose to 64.8%, but fell sharply to 53.2% in the first quarter of 2022.
In this case, China's major brands have once again turned their attention from China's domestic market to overseas markets to ensure the sales scale. Riad continued to develop overseas sales channels and successfully opened the Latin American market in this quarter. It installed more than 3000 square meters of rental LED screen products in the Brazilian market, which are mainly used in enterprise channels. Almost all Chinese brands, including Zhouming, abison LianJian and Lehman, have increased their market share in North America. Through communication with local channels and dealers, we know that although North America still has high freight and tight transportation capacity, the market demand is positive and optimistic for stage led screen
In North America, Samsung's outdoor product shipments have gradually recovered. Since the second half of 2020, its outdoor field (mainly prismview) has been in a downturn. In addition, the sales of stage led screen p3.91mm products with a point spacing of less than 2mm, including the wall, exceeded 1000 square meters, breaking the historical record. Dako, the most influential company in North America, also basically recovered to the level of the first quarter of 2020. However, Dako's products and shipments are still concentrated in outdoor and products with large point spacing (10-15mm point spacing). Although Dako launched 1.95mm and 1.2mm rental led display products two years ago, and actively promoted the rapid installation solutions for them, its shipment volume is still small so far.
