Blu-Ray Discs Are up 506% Year to Date in UK

Sales of home entertainment discs are beating the credit crunch according to figures released by the British Video Association.

The half year results show total sales in 2008 are up 3.3% compared with the same period last year, thanks to the increased level of consumer choice provided by Hi-Def formats. Blu-ray discs are up 506% year to date.

A total of 111.6 million units have already been sold this year. Of this figure, Blu-ray has sold almost 1 million units, reflecting the growing importance of Hi-Def to the industry. The availability of DVD, Blu-ray and legal downloading means viewers now have more options when deciding how to consume their home entertainment. This increased supply of choice is one factor attributed to the growing demand.

A report recently issued by the Joseph Rowntree Foundation‘s (JRF) has examined what is acceptable as a minimum standard of living in 21st Century Britain. To assess what a minimum income standard might look like, 11 panels of people from different social groups – pensioners, single mothers, families with children – were asked to look at everything that a household would need. Where would they draw the line between luxury and necessity?

It is interesting to see that DVDs are now considered a necessity in everyday life. These results are reflected also in the recent announcement by HMV of their full year results where the retailer highlighted that they had seen total sales growth of 11.3%, including like for like sales up 7.3%.

Lavinia Carey, Director General of the British Video Association, said: “Last year proved a bumper year for the home entertainment industry with 250 million videos sold and DVD accounting for 99% of that. We are delighted to see that the half year 2008 figures reveal an increased demand for home entertainment, especially in the current challenging economic climate. History has shown that in times of economic hardship, consumers find even more value in home entertainment when the leisure pound is stretched as it is. As video is one of the most cost-effective forms of entertainment we would expect to see continued volume growth in our market as consumers tighten their belts in response to increasing economic uncertainty.”

Some of the key statistics outlined in the BVA half year results include:

• Total retail video sales, including DVD, Blu-ray, HD-DVD, UMD and VHS, saw volumes rise by 3.3% year to date.
• Ratatouille is the best seller of 2008 so far with over 1.2 million copies sold.
• Stardust, Atonement and The Golden Compass have also experienced high sales each exceeding 800 thousand copies on DVD alone.
• Hi-def accounts for a 1.2% share in the total video market.
• Titles such as Family Guy, Die Hard 4, Alien vs Predator and Alvin & the Chipmunks have made 20th Century Fox the best selling studio of the 2008 so far.