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Tuesday, January 11, 2005
Industry Boosted By $21.2 Billion In Annual DVD Sales And Rentals

Consumers spent a record $21.2 billion renting and buying DVDs in 2004, announced by DEG: The Digital Entertainment Group at the International Consumer Electronics Show.

DVD retail sales grew to $15.5 billion in 2004, an increase of 33 percent over last year. In addition, consumers also spent $5.7 billion renting DVDs.

When including VHS sales and rental, the dollars spent on home video was up nine percent over last year. Consumers spent $24.5 billion renting and buying DVD and VHS.

In the fourth quarter 2004 alone, nearly 530 million DVDs shipped to retail according to figures compiled by Kaplan, Swicker and Simha on behalf of the DEG. This is a 39 percent increase over the same period last year. More than 1.5 billion software units shipped throughout 2004, bringing the total number of units shipped since launch to nearly four billion discs. There are currently some 29,000 DVD titles available across a wide variety of genres.

DVD IN MORE THAN 70 MILLION U.S. HOMES According to figures compiled by the DEG based on data from the Consumer Electronics Association (CEA), retailers and manufacturers, 37 million DVD players were sold to U.S. consumers in 2004, a 10 percent increase over the previous year. More than 17 million DVD players sold in the fourth quarter alone.

Since launch, more than 127 million DVD players, including set-top and portable DVD players, Home-Theater-in-a-Box systems, TV/DVD and DVD/VCR combination players, have sold to consumers, bringing the number of DVD households to 70 million (adjusting for households with more than one player). Approximately 45 percent of DVD owners now have more than one player.

The DEG estimates that more than 80 percent of U.S. households will have at least one DVD player by year-end 2005.

When accounting for computers with DVD-ROM drives and DVD-enabled video game consoles, an estimated 79 million households currently have the capability to play DVD, approaching three-fourths of all U.S. TV households (CENTRIS).

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