Home video still tops consumer spending

Even in light of a small decrease in overall consumer spending on DVD, the approximately $24 billion US home video market continued to be the largest segment of consumer movie spending by far, accounting for 49% of all spending in 2007, according to the findings of the 2008 Annual Report on the Home Entertainment Industry, released from the Entertainment Merchants Association.

In the video game market, game software sales increased by 34% in 2007, to reach a total of $8.6 billion. "Consumers remain enamoured with DVD and video games even as they incorporate new forms of entertainment media into their consumption patterns," notes Bo Andersen, president and CEO of EMA.

Other interesting facts contained in the report:

- Home video generated $15.9 billion in sales and $8.2 billion in rentals in 2007.

- Nearly 9 million high-definition discs were sold in 2007, on which consumers spent more than $260 million.
There were 12,177 DVD titles released in 2007, down from a peak of 13,950 in 2005.

- It is estimated that, in 2012, sales of Blu-ray Discs will exceed those of standard DVDs and will generate sales of $9.5 billion.

- Home video spending is projected to increase to $25.6 billion in 2012.

Story filed 10 July 2008

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