Blu-ray Sales Spike! (New Article)

[Blu Titan]

I am aware that we had articles regaring the sales of NCFOM in Blu-ray. It appears that there is an overall trend indicating that sales of BD movies are indeed gaining ground on DVD. A great article for Blu-ray supporters Tom Arnold rules From Home Media Magazine:

Blu-ray Software Sales Spike
Author: THOMAS K. ARNOLD
tarnold@questex.com
Posted: March 27, 2008

Blu-ray Disc software sales have seen a sharp spike in recent weeks, since the bruising format war against rival HD DVD came to an end in the middle of February. Walt Disney Studios Home Entertainment’s No Country for Old Men realized 9.8% of its total sales from Blu-ray Disc its first five days stores, according to an analysis of Nielsen VideoScan First Alert numbers conducted by Home Media Magazine’s market research department.

Hitman (view trailer), a 20th Century Fox Home Entertainment title also released March 11, fared even better, generating 12.6% of its total unit sales from Blu-ray Disc.

“That one hit the sweet spot,” said Steve Feldstein, SVP of marketing and corporate communications for Fox. “It’s a great action title that looks beautiful in high-def — and its right in the crosshairs of Blu-ray’s target demographic of young adult males.”

By comparison, while the format war was raging, unit sales of high-definition discs, either Blu-ray or HD DVD, generally accounted for no more than 2% or 3% of a title’s total sales.

Even in the busy fourth quarter of 2007, sales of high-profile new releases were overwhelmingly tilted toward DVD. Fox’s The Simpsons Movie generated just 2.8% of its total sales from Blu-ray Disc, while the BD version of Disney’s Pirates of the Caribbean: At World’s End accounted for 3.7% of total sales.

Only after Toshiba threw in the towel on HD DVD Feb. 19 did Blu-ray sales spike. Warner’s Michael Clayton, released that day, generated 5.5% of its total first-week sales from Blu-ray Disc. Sony Pictures’ 30 Days of Night, released Feb. 26, snagged 8.9% of its total unit sales from the Blu-ray Disc version.

Home entertainment industry analyst Tom Adams, of Adams Media Research, credits the end of the format war with igniting Blu-ray Disc sales, a trend he sees continuing throughout the year.

“Before, there was a tendency to play it safe and stick with the standard DVD,” Adams said. “But now there’s no longer anything to worry about.”

Fox’s Feldstein agrees. “Consumers in the high-def marketplace are now purchasing with confidence,” he said. “The confusion in the marketplace that you saw when there were two formats continues to work itself out, and once education campaigns begin and the retail presence [of Blu-ray] expands, we should start to see the numbers soar even higher.”

Fox market researchers estimate Blu-ray Disc sales will hit $1 billion in consumer spending in calendar 2008, up from an estimated $300 million for combined Blu-ray and HD DVD software in calendar 2007.

Adams expects to see a steady uptick in Blu-ray Disc software sales as more players come to market. He projects the year will end with 2.9 million dedicated Blu-ray Disc players in homes, up from 500,000 at the end of 2007, and another 8.4 million PlayStation 3s, with built-in Blu-ray drives, up from 3.2 million at the end of last year.

Adams said early adopters who are buying dedicated Blu-ray players now are likely to be rabid consumers of movies, driving up sales much as in the early days of DVD. At the same time, the expansion of PS3 beyond the hardcore gaming crowd should also lead to an increase in movie sales, since the new wave of PS3 buyers are likely “average consumers who consume movies as well as games.”

The sales gains that have been achieved so far, Adams notes, have come before Hollywood begins an all-out push to drive Blu-ray Disc sales, both through general consumer awareness and education campaigns and a specific effort directed at PS3 owners.

“The promotion to PlayStation 3 homes hasn’t really kicked in yet,” he said. “And assuming that works, when you’re talking 5 million homes, getting them to buy just one more movie a year can make a significant difference in a small market like this.”

Adams said studios are keen to derive a greater chunk of their sales from high-def software because of the price differential. The average street price for a newly released DVD over its first three months in stores is $20.57, Adams said, while the Blu-ray Disc version goes for $31.31. A similar effect was seen with titles released in the now-defunct HD DVD format.

“The biggest title of last year, in terms of high-definition disc sales, was Transformers (2007 High-Def Disc Awards 5), which derived a little more than 4% of its total unit sales from the HD DVD version,” Adams said. “But in terms of revenue, the percentage was 6% of the total.”

http://www.homemediamagazine.com/

[saprano]

stupendis!

[iNCREDiPiNOY]

I'm too lazy to read...

[Blu Titan]

Originally Posted by iNCREDiPiNOY

I'm too lazy to read...

It's good news. Blu-ray sales are becoming a large part of overall sales, for titles released after Toshiba pulled the plug.

[Herr Schmidt]

Ya it is looking good :}

[dialog_gvf]

Home entertainment industry analyst Tom Adams, of Adams Media Research, credits the end of the format war with igniting Blu-ray Disc sales, a trend he sees continuing throughout the year.

“Before, there was a tendency to play it safe and stick with the standard DVD,” Adams said. “But now there’s no longer anything to worry about.”

Fox’s Feldstein agrees. “Consumers in the high-def marketplace are now purchasing with confidence,” he said. “The confusion in the marketplace that you saw when there were two formats continues to work itself out, and once education campaigns begin and the retail presence [of Blu-ray] expands, we should start to see the numbers soar even higher.”

This certainly is a good explanation considering the Simpson/Pirates numbers, which were rather pathetic (and explains why the weekly HDM comparisons weren't as big in Blu's favour as expected).

I expect the ABB (Anything But Blu) rhetoric to really explode in coming weeks, given these results. There will be anti-BD agendas running scared out there.

Gary

[blu-rayfan101]

Come on Paramount and Universal what are you waiting for nows your time to cash in a really make the HD market explode!

[Blu Titan]

Originally Posted by dialog_gvf

I expect the ABB (Anything But Blu) rhetoric to really explode in coming weeks, given these results. There will be anti-BD agendas running scared out there.

Gary

The same losers will attempt to promote their FUDish theories, no doubt. Some people are not concerned with making the right choices, but attempt to have EVERYONE make the wrong ones.

[ACD]

https://forum.blu-ray.com/showthread.php?t=43971

Article was posted on Hollywood Reporter yesterday.

[Tanman19az]

Good article!!

[Blu Titan]

Originally Posted by ACD

https://forum.blu-ray.com/showthread.php?t=43971

Article was posted on Hollywood Reporter yesterday.

Good catch. I did search the forum Grubert is always on the ball.

[Mobe1969]

Haven't you guys heard the news? Overcompressed medium def 720p downloads and memory cartrige based movies are going to replace Blu Ray. It is all over.

I'm being sarcastic in case anyone is thinking I actually believe any of this bullshit rhetoric we keep seeing from all these rimjobbing shitheads that don't like Blu Ray.

[Grubert]

Originally Posted by BlueNeon

Good catch. I did search the forum Grubert is always on the ball.

Thanks. No problem - I had distilled the article into something even lazy forum members could read.

Short version - during the war BD sales of a title were pretty negligible vis-a-vis DVD sales. Now they are significant, as in one of every ten copies sold of No Country for Old Men was Blu-ray.