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Report: 2009 Global Packaged Media Revenue Projected to Rise 4%

By Erik Gruenwedel | Posted: 22 Jan 2009

Spurred by continued strong video game sales, global packaged media sales are expected to increase 4% to $64 billion in 2009, according to a new report.

Media Control GfK International said the DVD/Blu-ray market is projected to drop 4% to $27 billion (from $28 billion), despite a 150% increase in Blu-ray sales to $2.9 billion from $1.1 billion in 2008.

Blu-ray is expected to reach 11% packaged-media penetration by the end of the year, up from 4% in 2008.

BD pricing fell 14% in 2008 to an average retail price of $28.93, which represented a $13.19 premium on standard DVD pricing. Japan topped BD pricing at $55.47 for a title, compared to $24.19 in Australia.

Media Control said a 20% surge in sales of video games helped increase global packaged media sales 6% to $61 billion in 2008.

In 2008 video game software sales (53%) for the first time supplanted DVD/Blu-ray sales (47%) — the latter offset by a 6% decline ($500 million) in sales from $30.3 billion to $29.8 billion.

The report said increased game software sales largely were attributed to a 30% growth in console sales, driven by Nintendo’s Wii.

In the United States, Media Control said sales of DVD/Blu-ray titles dropped by 8% to 43% of packaged-media spending, compared to 45% in 2007.

The United States continued to dominate DVD/Blu-ray consumption with 43%, followed by the United Kingdom at 14%, Japan at 10%, France and Germany at 6% each, and Canada and Australia at 4% each.

Media Control said DVD/Blu-ray movie consumer sales in Europe fell 3% to $11 billion, with Italy (14%), Spain (10%) and France (8%) registering the largest percentage sales declines.

Warner Home Video continued to lead global market share among major studios.

Universal Studios Home Entertainment had the largest market share in the United Kingdom — the second largest global market for packaged media — and helped establish Mamma Mia! as the No. 1 selling title outside of North America, with 13 million units.

Warner’s The Dark Knight topped worldwide disc sales, with 15 million units.

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