Before we go into the whys, let’s first discuss the three tiers of digital display manufacturers:
Tier 1 -These companies design, manufacture and market their own HD displays. The companies should be familiar to you: Samsung, Panasonic, etc.
Tier 2 -Tier 2 includes known brands from established companies like Zenith (an LG company) or Magnavox (owned by Philips).
Tier 3 -Polariod, Vizio and TruTech are marketing companies who use outside vendors to build their display sets. Vizio is perhaps the most visible of the aforementioned companies.
Three Reasons to Avoid Tier 3 Brands
Reason 1: Price
The price gaps between the Tier 1 and Tier 3 brands have narrowed significantly in recent months (perhaps in part to some price fixing). In some cases, the price gap is down to $100 or less. This is not a significant enough gap to warrant saying, “look at all the money I’m saving by purchasing a crappy display.”
Reason 2: Quality
Tier 1 television companies own their own production facilities. This has several foreseeable benefits, only one of which is control over the entirety of the manufacturing process. Vizio, on the other hand, outsource for both the parts and the manufacturing. The Vizio displays are built under contract by factories in Taiwan, China, and Mexico.
Having outsourced manufacturing plants is not the only cause for concern with the Tier 3 display providers. Owners of the Tier 3 televisions (reported at HDGURU.com) say that products between the 14th and 30th month of ownership have suffered symptoms indicating failed power supply. This was particularly the case with the Vizio displays. And since one of the most expensive components of any display is the power supply, this is a high cause of concern. Perhaps Vizio is skimping on the quality of a power supply to cut manufacturing costs. Whatever the issue is here, it warrants concern from a digital signage network manager who would want a display to last in an “always on” mode.
Reason 3: Comparison
A recent evaluation of two of Vizio’s displays at Gizmodo indicated underperformance compared to a slightly higher priced Toshiba LCD display. The difference in performance was based on the panels. The Vizio television exhibited more visual noise interference and buried black detail on the display screen in a much greater fashion than did the comparable Tier 1 brands for 2008. This issue is somewhat reminiscent of plasma display’s performance from 3+ years ago. The tested LCDs also possessed a narrow viewing angle and purple cast in blacks when viewed off center.
Some suggest Vizio and other Tier 3 brands are perhaps purchasing older generation panels from old panel maker inventory, in part due to the fact that Vizio and other Tier 3s do not disclose where they are procuring their used panels.
Final Thoughts
Although the differences may seem somewhat insignificant, it’s something that can be easily remedied: don’t skimp on price and you won’t skimp on quality. However, since the price gap is quickly converging, it would seem the decision to purchase a Tier 1 LCD, especially for an industrial digital signage application, is obviously clear.
Below are excerpts of Vizio’s Latest One Year Limited Warranty (with bold highlights added by HD GURU). For the complete VIZIO warranty go to (Vizio):
“Labor
“During the one-year limited warranty period, VIZIO will provide, when needed, service labor to repair a manufacturing defect. Repairs required on displays which are thirty (30) inches or larger will generally, but not always, be made “on-site” where the display is installed. However, the decision to perform and on-site repair is dependent upon the manufacturing defect and is at VIZIO’s option and sole discretion. Repairs required on displays which are less than thirty (30) inches generally will be performed at a Vizio service center.”
“Parts
Repairs may be made with new or recertified parts, or the entire unit may be replaced with a new or re-certified unit, at VIZIO’s option and sole discretion. Replacement parts or replacement units provided under the is limited warranty are warranted for the remaining portion of the original warranty or for ninety (90) days from warranty service or replacement, whichever is later.”
“MAIL-IN WARRANTY REPAIR PROCEDURE
Mail-In Warranty Repair generally is performed on displays which are smaller than thirty (30) inches.” “If VIZIO Technical Support determines that a problem with a display unit may be within the terms and conditions of the VIZIO Limited Product Warranty and that a Mail-In Repair may be performed, the customer will be provided with a return authorization number and mail-in repair instructions. Proof of purchase is required to confirm the product is within the one-year limited warranty period and meets the terms and conditions of the VIZIO Limited Product Warranty.”
“The customer will be provided with instructions for packing and shipping the unit to the VIZIO service center. The original carton box and packing material, or an equivalent as designated by VIZIO, must be utilized. The cost of shipping to VIZIO’s service center is at the customer’s expense. After the product is repaired and tested or replaced, VIZIO’s service center will ship the unit back to the customer at VIZIO’s expense. VIZIO is not responsible for the de-installation or re-installation of the product. Please read VIZIO’s Limited Product Warranty for warranty terms and conditions.”
“WARRANTY REPLACEMENT
WARRANTY REPLACEMENT PROCEDURE
If VIZIO Technical Support determines that a problem with a display unit may be within the terms and conditions of the VIZIO Limited Product Warranty and that replacement is the appropriate solution based on the type of manufacturing defects in materials and/or workmanship (at VIZIO’s sole discretion), the customer will be provided with a return authorization number and replacement instructions. Proof of purchase is required to confirm the product is within the one-year limited warranty period and meets the terms and conditions of the VIZIO Limited Product Warranty.”
“For displays thirty (30) inches and larger, VIZIO will generally cover the transportation charges to perform an exchange of the original unit with the replacement unit. For displays smaller than thirty (30) inches, the customer is responsible for the transportation charges to VIZIO’s service center. In either case, VIZIO will be responsible for the return transportation charges from the service center to the customer. Please read VIZIO’s Limited Product Warranty for warranty terms and conditions.”
According to a Vizio spokesperson, if Vizio decides to replace your unit as per the warranty, VIZIO will, at its discretion, send you either a new or a “recertified” unit. Re-certified units are ones that are used, refurbished to VIZIO’s standards. The representative went on to inform me that VIZIO has supplied an independent parts distributors for warranty and post warranty parts access.
For comparison, the HD GURU checked out Toshiba’s HDTV warranty. Toshiba sells aggressively priced HDTVs designed to compete with Tier 3 HDTVs. Toshiba’s full US name is Toshiba America Consumer Products LLC (TACP). Here is an excerpt of its warranty. The complete Toshiba warranty for LCD Televisions 26” and larger can be found at (Warranty). Caps and bold are as printed by TACP.
Limited One (1) Year Warranty on Parts and Labor for LCD Televisions 26” and Larger
TACP warrants this LCD Television and its parts against defects in materials or workmanship for a period of one (1) year after the date of original retail purchase. DURING THIS PERIOD, TACP WILL AT TACP’S OPTION, REPAIR OR REPLACE A DEFECTIVE PART WITH A NEW OR REFRURBISHED PART WITHOUT CHARGE TO YOU FOR PARTS OR LABOR. During this period (boldface added by HD Guru), TACP Authorized Service Station personnel will come to your home when warranty service is required. Depending on the type of repair required, the service will either be performed in your home or the LCD Television will be taken to a TACP Authorized Service Station for repair and returned to your home at no cost to you.
