The continuing decline in DVD sales, and disc rentals at bricks-and-mortar stores and subscription services led by Netflix, continued to weigh the business down according to data out today from DEG: The Digital Entertainment Group. It reports that consumers spent $5.66B in Q4, a 1.5% drop vs the period last year. That resulted in a full-year total of $18B, up 0.23%. The total sell-through figure for packaged goods — largely discs — fell 8.4% to $3.1B in Q4. That’s due to DVDs: While the trade group doesn’t break out data for Blu-ray discs (it once did), it says that spending on the high-definition format was up 10% for the year. DEG doesn’t break out sales of UltraViolet-enabled discs but says that the initiative has “achieved significant milestones in industry and consumer adoption and is rapidly becoming an integral part of the home entertainment landscape.” Spending on digital downloads is up — 50% to $295M — but not enough to compensate for the decline in DVDs. READ MORE »
Consumer Spending On Home Video Fell 1.5% In Q4: DEG
Home Entertainment Spending Flat In Q3 As DVD Sales Continue To Dive: DEG
Consumers spent $3.9B in the quarter, up just 0.24% vs. the period last year, according to data out today from DEG: The Digital Entertainment Group. But the real story is about the continuing shift in where people spend. Sales of packaged goods — which includes both DVDs and Blu-ray discs — fell 4% to $1.67B. DVDs were the culprit; DEG says that Blu-ray disc sales were up 22% but doesn’t provide a dollar figure. In rentals, revenues from brick-and-mortar stores such as Blockbuster fell 18.7% to $286M, while subscription disc services including Netflix were down 50.4% to $301.5M. Read More »
DEG Elects New Board & Officers
The LA-based Digital Entertainment Group marked its 16th year as the home entertainment industry’s leading association with the announcement of its new Board of Directors and Officers. They serve as the Steering Committee for the 2012-13 fiscal year (August 1 – … Read More »
Home Video Spending Increases A Hair In The First Half Of 2012 Thanks To Netflix
By a hair, I mean a 1.4% gain in total consumer rental and purchase spending to $8.4B, according to data released today by DEG: The Digital Entertainment Group. Netflix and, to a lesser extent, Amazon and Hulu … Read More »
Home Video Spending Up 2.5% In Q1 To $4.45B; Subscription Streaming Soars
The data out today from DEG: The Digital Entertainment Group may suggest that the period of steep declines in home video spending — largely driven by the collapse of the DVD market — is over. But it also … Read More »
Analyst: Home Video Biz In Trouble Despite Industry Claim That It Has “Stabilized”
Nomura analyst Michael Nathanson doesn’t buy the spin from DEG: The Digital Entertainment Group this week that the clouds are beginning to part for the home video business. The industry group said that spending only fell 2.1% last year — … Read More »
Home Video Spending Up 4.9% In 3Q
The industry’s Digital Entertainment Group credits a 58% gain in spending on Blu-ray discs vs last year’s 3Q and a 12.8% pickup in electronic sell-though (to $135.9M) for much of the gain in 3Q consumer spending, to $3.93B. The … Read More »
Report: Plummeting Disc Sales Depress Home Video Business in 1H 2011
A spokesman for DEG: The Digital Entertainment Group says the trade organization didn’t deliberately choose a Friday afternoon to release its dreary new report about consumer spending on home entertainment in the first half of 2011. But from a PR perspective it probably doesn’t hurt to bury news that shows VOD and electronic distribution still can’t make up for the collapse in sales of DVDs. The headline number is that consumer spending on all forms of home video — including DVD and Blu-ray disc sales and rentals, VOD, and online — fell 5.1% vs the first half of 2010 to $8.3B. Last year, spending fell 3.3% in the first half of 2010. DEG says this year’s drop isn’t so bad because last year included Avatar. (It seems that the blockbuster was good enough to include last year when it made sales look strong, but is supposed to be treated as an anomaly now that it makes comparisons look weak.) Still, there’s no getting around the steep decline for DVDs. Consumers bought nearly $3.9B worth of DVD and Blu-ray content, down 18.3% vs the first half of 2010. At this time last year, disc sales were off 7.1% vs. 2009. DVDs are the culprit: Although DEG only reports figures for “packaged goods,” it notes that Blu-ray sales are up more than 10%. Read More »

