DEG: Q3 2004 A Record Quarter for DVD19 Oct, 2004 By: Jessica Wolf
The third quarter of this year was a monster for DVD with software units shipped outpacing 2003 by 59 percent, according to figures released by the Digital Entertainment Group today at the second annual TV on DVD Conference in Los Angeles.
Suppliers shipped about 340 million DVDs in the third quarter and nearly 1 billion discs so far this year, according to DEG figures — the biggest quarter yet for DVD.
And there's no sign of slowing, said Amy Jo Smith, executive director of the DEG, the upcoming fourth quarter and spillover into January should be huge as well, fueled by a slew of high-profile theatrical titles. The theatrical slate for this year's fourth quarter represents $4 billion in box office hits from the year, she noted.
Hardware sales are expected to spike during the holiday shopping season as well, Smith said. More than 6 million DVD players were sold in the United States in the third quarter of this year alone, she noted.
Nearly 110 million DVD players have been sold since the launch of DVD in 1997, to yield more than 63 million DVD households. And now, according to DEG research, of those, 42 percent have more than one DVD player.
DVD software buy rates are holding, if not increasing, according to DEG research, which estimates current average sales of 16 DVDs per player per household.
DEG figures suggest buy rates are expected to increase this year as DVD prices continue to drop, Smith noted.