Grab a great AV deal while you can, companies warn of significant prices rises in 200

[The News Bot]

If you see a good deal on TV or AV this Christmas – go for it, as the days of cut-price electronics are about to come to a shuddering halt. Home Cinema Choice has talked to a number of CE companies, both specialist and mainstream, and all are now warning that their prices will rise significantly in 2009.

The weakness of the pound against the Euro and the strength of the yen are principal factors in what  read more »

[Jonstone]

If the current weakness of the pound continues then that should inevitably lead to higher prices.

The current economic climate however (I see novemebers retail sales as a blip) will lead to oversupply with companies falling over themselves to offload stock from over production.

The net effect will probably mean prices stay relatively static.

[xit2050]

Originally Posted by Jonstone

The current economic climate however will lead to oversupply with companies falling over themselves to offload stock from over production.

I wonder if they aren't just trying to scare people with talk of future higher prices in order to push people to go and buy now to get rid of all that surplus stock.

[Fulltopuk]

Oldest marketing ploy in the book to get people to buy current stock before new ranges appear. As stated above if there is a rise then people do not buy.

[andy1249]

It could well be a marketing ploy , but also margins are tight on AV products at the moment , and with currency issues as they are if prices remain the same then these companies will be selling at a loss.

And obviously in the current financial climate that wont be allowed to happen.
Over Supply issues are definitely being dealt with , my own ( large multinational) company , are currently idling all production machines till the end of january , meaning until then , I go to work and twiddle my thumbs because theres nothing to do. Hence an increase in posts here ! ( Redundancies are a distinct possibility)

The plan is to let all currently available stock run low before production ramps up again.

[BISHI]

I can't see anybody buying new AV equipment if the prices are going to go up. I suspect a marketing ploy TBH and anyway AV equipment in the UK has always been overpriced even when it was $2 to the pound ! The Japanese economy has been predicted to not grow at all in 2009 and with their economy so dependent on exports of cars and electronics ( both of which are struggling industries in most places over the world) I simply cannot see them putting prices up ............ it will simply make matters worse.
Better to sell at cost price or less then not sell at all.

[andy1249]

Better to sell at cost price or less then not sell at all.

With the pound falling in value even cost price means a rise in sterling price.

Pioneer had an abysmal year , losing an amount twice the value of the companies stock valuation... that cannot continue.
Pioneer are in great danger of going bankrupt in 2009.
Its the same across the board.

Its going to be less product , higher prices , these companies will slash jobs and production figures and raise prices simply to stay afloat.
Theres no doubt that we will see many dissappear altogether. Consolidation and less competition is inevitable in the AV market. That will mean higher prices eventually.
Premium products simply cannot continue at the current prices.

Its not a question of choice for most of them. If people want AV gear in the next couple of years its going to be the higher prices or nothing at all. No company can afford to produce goods for zero profit.

[Doctor Smith]

Boo Hoo we are all doomed yet again. Heres me thinking prices were low in the uk

I hardly call uk prices bargains anyway

This is just a ploy to boost sales. I will eat my underpants if prices go up in 2008, if they do a lot of shops and companies in the uk will be no more.

Happy Christmas everyone

[BISHI]

Well if Wall Street banks and Woolworths can go the way of the dinosaurs, and with the 3 USA auto giants on the brink of extinction then I see no reason why an electronics market over saturated with producers shouldn't shed a few household names. At the end of the day most of their stuff was probably sold on credit to people who couldn't afford it so some small liability for the now failed debt economy lies with them . Yin/yan..........Karma .....whatever you call it .

[punkymunky]

Manufacturers will cut costs and quality even further to keep prices stable and survive.

Pioneer prices will increase and they will go bust. So if you want one, get one now.

[akarit1]

Originally Posted by BISHI

Well if Wall Street banks and Woolworths can go the way of the dinosaurs, and with the 3 USA auto giants on the brink of extinction then I see no reason why an electronics market over saturated with producers shouldn't shed a few household names. At the end of the day most of their stuff was probably sold on credit to people who couldn't afford it so some small liability for the now failed debt economy lies with them . Yin/yan..........Karma .....whatever you call it .

hear hear...
In fact Pioneer have done good to last this long as their products are way too high in price compared to Sony/Panasonic and other brands. I know their stuff is good but so are Pannys, Sonys etc of this world!!!
My tuppence worth....

[Ricky27]

You mean like Woolies putting out to the press that everything was going to be 50% of from last thursday?

That got droves through the door and worked a treat too, not on me though!

[snooper]

If hi-fi bods reduced their prices like their av counterparts they might sell more anyway. Once people stop buying watch the prices fall AGAIN.

[DKenni]

It'll be interesting to see what way it goes. Prices of current mid to high range products will come down. That's always been the case so I'd expect next year to pick up 37" 1080P's for close to £400.

It's the new ranges that will most likely increase in price. I think I also read that development will cease for some time until the doom and gloom lifts. Organic LED's was something that was being worked on I think.

[andyj34]

I do hope that Hi-fi/av manufacturers bring down the prices for Blu Ray for the format to take off. If manufacturers do decide to raise prices in 2009 owing to the currency exchange, Blu Ray will never become a mainstream format for the home consumer. Consumers will persist with DVD and more and more people will download films legally or illegally from the 'net.