Europe's online source of news, data & analysis for professionals involved in packaged media and new delivery technologies

UK video entertainment market: DVD, Blu-ray disc sales of new releases still growing

Figures presented at last week's 'Consumers, Content and Change Across the Video Category' event, hosted in London by the British Video Association (BVA) and supported by Entertainment Retailers Association (ERA) and Digital Entertainment Group Europe (DEG Europe), indicate that while the UK digital home entertainment market is at crucial mass market tipping point, physical product continues to hold its own and show resilience in the rapidly evolving UK video market place.

One in two of the UK population is familiar with downloading digital content and 55% of those that purchase digital content consider themselves converts to the format. Conversely, the BVA forecasts a swing of 10% in favour of new film releases on DVD and Blu-ray, suggesting sales within this element of the category are on track to grow by 2% across 2015 (2014 -8% vs 2015 +2%), bucking the trend of recent years.

Robert Price, Managing Director of Twentieth Century Fox Home Entertainment and Chair of the BVA said, "Since the Official Chart Company started tracking video in 1994, there have been 3.3 billion videos, DVDs and Blu-ray discs sold. If laid end-to-end they would reach half a million miles, the distance to the moon and back! The value of video sales today equates to £4m on physical and £2m on digital each day, illustrating that although physical ownership is still dominant, digital is an important driver of growth."

Kim Bayley, CEO at ERA added, "Video is the backbone of the entertainment business, accounting for 40% of total sales and nearly half of the market for physical product. Key to its success has been the collaborative approach of retailers and video distributors and a joint commitment to deliver the video content consumers want in the way that they want, both points typified by today's event."

Key Insights from the event

- In a major turnaround, sales of New Release films on DVD and Blu-ray are on track to grow 2% in 2015
- Half of the UK population (24m) buy videos to own every year
- The average spend per buyer, per annum on physical disc is £51.03
- 57% of all DVD and Blu-ray sales are impulse purchases
- 55% of all DVD and Blu-ray sales are for catalogue product
- The typical disc shopper is a C1, C2 male aged 25-54, with an average purchase of six discs per annum
- Those who buy Blu-ray discs to own are the most satisfied shoppers
- Amount spent per day in the UK video entertainment market: £3.5 million on disc to own; £400,000 on digital to own; £300,000 on disc to rent; £1.8 million on digital to rent
- Half the population is familiar with downloading video
- 55% of those that buy digital content are happy and intend to stick with this format
- Over 1 in 3 say that film is an important part of their life
- One in two Blu-ray buyers highly value receiving Blu-ray as a gift
- Consumers feel comfortable with DVDs, which cements their loyalty to this format
- 28% wish there was a way of watching a TV show or film any time, any place on any device
- Owners of 4K TV, Apple TV, Xbox One/PS4 (men aged 25-34) are the most knowledgeable and engaged with film

Source: British Video Association, The Nursery Research & Planning, IHS Kantar Worldpanel, Official Chart Company, West 10 Entertainment.

Story filed 21.07.15

Bookmark and Share

Article Comments

comments powered by Disqus