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Friday, August 08, 2014
Optical Disc Sales Down

DVD continues its steady decline and Blu-ray's growth is not enough to offset falling sales, the Digital Entertainment Group (DEG) has reported.

DEG's sales report for the first half of 2014 shows that DVD sales continue to slide, while the slowdown in revenue is linked to dropping unit prices, as opposed to lower number of discs being sold. DEG reported a
8.2% decline in disc sales for the first half of 2014, compared to the same period in 2013.

On the other hand, Blu-ray sales remain healthy, with sales up 10% in the second quarter of 2013.

Total disc revenue was $3.26 billion for the first half of 2014, a drop of $300 million.

On the other hand, electronic sellthrough sales rose 37% to total $671.4 million, while spending on subscription video-on-demand rose 26% to $1.91 billion.

Total digital spending, which includes Electronic sellthroughs, SVOD and VOD, now account for $3.6 billion, up 16.7%.

Rental revenue continues to fall, down 37% to $346.8 million. Kiosk based renting was down only 3.1%, to $925 million.

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