Wednesday, April 20, 2011

Online Now 8% of Home Video Spending

Consumers are still using DVDs and Blu-ray Disc to watch movies more than all other digital-video options combined, says the NPD Group. . Over the past three months, 77 percent of consumers reported watching a movie on a DVD or BD, unchanged from 2010. Those who viewed movies from physical discs reported watching an average of four hours per week, which is also unchanged from the prior year, as well.

By comparison 68 percent watched a movie on a TV or cable network channel, 49 percent at a theatre, and 21 percent used paid video on demand through their TVs, says NPD.

Consumers reported that 78 percent of their home video budgets went to the purchase and rental of DVD and BD, including online and in-store retail purchases and rentals, while 15 percent was spent on video subscription services like Netflix that offer a mix of physical and streaming rentals.

Digital video downloads, paid streaming, paid transactional video on demand (VOD), and pay per view (PPV) comprised the remaining eight percent. Overall per-capita spending on home video fell by two percent, though.

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