Despite current high-street prices dropping dramatically in an effort to entice customers ahead of the Christmas season, retailers may soon face further gloom as Asia's biggest TV manufacturers plan to raise prices.
Sony, one of Japan's leading manufacturers of consumer TVs, has stated that the plummeting value of the pound against the yen has left it unable to maintain current pricing. In a statement regarding forthcoming price increases, it announced last month that "it is likely that the vast majority of products affected will see increases of less than 33 per cent" and added that "Sony does not believe that it will be alone in taking this form of action".
We've already seen the knock-on effect of the fluctuating US dollar take its toll on the cost of PC hardware in the UK, and the unfavourable yen-to-pound exchange rate is expected to have similar consequences in the coming months. But why the sudden change?
Well, at present, it could simply mean that retailers are equipped with ample amounts of stock purchased back when the pound carried weight in value. When those retailers begin to buy new stock at the current exchange rate, they'll find that prices on products such as TVs will have to rise in order to prevent taking a significant hit on margins.
Following on from Sony's announcement, Sharp yesterday announced plans for a 10 per cent price increase and other big-name Asian brands such as Panasonic and Samsung are expected to follow suit.
With a widespread hike being forecast, this Christmas may just be the best time to make a purchase as retailers continue to make prices as attractive as possible.