3rd Quarter Home Entertainment Spending (1 Viewer)

Patrick Donahue said:

DEG released numbers make for an always interesting read:


http://www.homemediamagazine.com/research/third-quarter-home-entertainment-spending-steady-gains-est-and-streaming-36998


One quote I wanted to get others opinion on was this:


"Packaged media sales are down 14%, to $1.15 billion. Factor in EST and the total amount of money consumers spent buying content came in at an estimated $1.58 billion..."


Now I am by far a math major but what I take from that is that in this age of streaming boxes and phones and tablets, when choosing to purchase a movie, consumers chose physical over digital 73% of the time. Right?

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bruceames said:

Well the good news is that the growth rate of Digital HD is slowing. However the bad news is that the decline rate of physical appears to be increasing. However the good news is that the growth rate of Digital HD is slowing at a faster rate than the physical decline rate (however confusing that may be, lol).


So you may be right. Digital HD will have a peak and physical will have a bottom. The question is, when will those occur and what will be the peak/bottom revenue?

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Towergrove said:

Hi bruce why would Digital HD growing slower be good news? I dont understand. If someone buys content via physical and digital a slowing down isnt very good in my book. I also wonder what Vidity will play into this when it ramps up next year. I have started buying digital media via itunes recently as I believe I like this format best so far when it comes to downloads and manageability for me and my collection. This is a complete swing from my prior feeling that UVs Vudu was best for the consumer. Lack of download option was the reason for my switching. Also from what I have read Netflix is slowing down when it comes to growth in late 2015 am I correct in that?


In addition I dont believe that physical will bottom out to very low numbers. I fully expect there to be a market for physical in the future even if its smaller in scale yet still in the billions. Its not going away.

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