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Digital-media sales stalled in Q1

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Old 06-30-2009, 08:22 PM   #1
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Digital-media sales stalled in Q1
DIGITAL: Ad-supported revenue falls on economic downturn


Long expected to surge as demand for such packaged media as DVDs flattens, digital media sales stalled during the first quarter as the economic slowdown cut advertising spending needed to support many media-content Web sites, according to one report.

Sales of digital video, music and videogame content for the 12 months ended March 31 rose less than one percent from a year earlier, slowing from 3.4% and 6.6% trailing-twelve-month sales increases for the two previous quarters, Strategy Analytics said in a statement. Consumer paid digital sales rose 2.9% for the year ended March, while ad-supported digital-media revenue fell 0.7%, according to Jia Wu, analyst at Strategy Analytics and author of the report.
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Old 06-30-2009, 08:24 PM   #2
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I would imagine this is because BD player prices are dropping. For every household that purchases a BD player the odds of DDs gaining that particular customer are greatly diminished.
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Old 06-30-2009, 08:57 PM   #3
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Kinda makes Blu-ray's only 300% growth over last year that people are complaining about into perspective.
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Old 06-30-2009, 09:00 PM   #4
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Consumer paid digital sales rose 2.9% for the year ended March, while ad-supported digital-media revenue fell 0.7%
The ad supported drop will be especially worrisome as some of the download options try to go that way for more revenues.
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Old 06-30-2009, 09:23 PM   #5
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Originally Posted by Kosty View Post
Kinda makes Blu-ray's only 300% growth over last year that people are complaining about into perspective.

Blu-ray's 300% does look better than what digital media has accomplished, based on this article.
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Old 06-30-2009, 09:25 PM   #6
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Code:
Date Range              DVD    Blu-ray  DVD+BD  BD/(DVD+BD) BD/DVD*100  BD% of
Week Ending          revenue   revenue  revenue  revenue    revenue    top 20 units

TOTAL FOR PERIOD
01/04/09 - 06/21/09   4,678.12   410.64   5,088.76   8.07%   8.78  11.44%
01/06/08 - 06/22/08   5,035.37   180.27   5,215.64   3.46%   3.58   5.32%

WEEKLY AVERAGE FOR PERIOD
Average YTD 2009        187.12	  16.43     203.55   8.07%   8.78  11.44%
Average YTD 2008        201.41	   7.21     208.63   3.46%   3.58   5.32%
Current Blu-ray YTD growth for perspective
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Old 07-01-2009, 03:34 AM   #7
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Sorry, but what 300%?

When i compare the US$180 mil. of last year to this year's US$ 410 mil., i get something like + 227% increase. Which is great, especially since the last time i checked that number it was something like + 160% increase.

I hope the format can keep that growth rate though, as iirc my prediction for this year was between 200% - 250%
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Old 07-01-2009, 04:38 AM   #8
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I think Q4 this year is going to be the real teller. Either Blu-ray sales will explode, or be dissapointing. I think Q4 this year will probably start to show exactly what role BD is going to play in the grand scheme of home video (along with how the dust settles in Q1 2010).
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Old 07-01-2009, 05:21 AM   #9
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I think Q4 this year is going to be the real teller. Either Blu-ray sales will explode, or be dissapointing. I think Q4 this year will probably start to show exactly what role BD is going to play in the grand scheme of home video (along with how the dust settles in Q1 2010).
I think it will explode. Revenue growth of over 200% in these economic conditions would be spectacular.
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Old 07-01-2009, 05:33 AM   #10
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300% + was 1Q 2008 to 1Q 2009 growth for Blu-ray as reported , so it was the same period to compare with in the OP article.

I gave the most current stats for YTD Blu-ray as another benchmark for perspective.
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Old 07-01-2009, 05:40 AM   #11
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Quote:
Originally Posted by MikeRox View Post
I think Q4 this year is going to be the real teller. Either Blu-ray sales will explode, or be dissapointing. I think Q4 this year will probably start to show exactly what role BD is going to play in the grand scheme of home video (along with how the dust settles in Q1 2010).
Its going to explode upward in the 4Q 2009 period, the only questions is how high and how much market share it gains against DVD and if the combined DVD+Blu-ray revenues and units sold gains from last years numbers.



Top 20 Units










Revenues





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Old 07-01-2009, 06:04 AM   #12
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300% + was 1Q 2008 to 1Q 2009 growth for Blu-ray as reported , so it was the same period to compare with in the OP article.

I gave the most current stats for YTD Blu-ray as another benchmark for perspective.
Huh, i don't remember these reports Dang, i'll lose my cheerleader licence!
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Old 07-01-2009, 06:45 AM   #13
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Quote:
Originally Posted by Kosty View Post
Its going to explode upward in the 4Q 2009 period, the only questions is how high and how much market share it gains against DVD and if the combined DVD+Blu-ray revenues and units sold gains from last years numbers.
Oh we know for a fact that they're going to climb north, but I mean we're either going to see phonomenal numbers, or just a muted Q4 peak (which would be the dissapointment )

Indications suggest that the econmic downturn might be starting to ease now, which (as last Q4 was at the start of the biggest economic downturn in decades) could (and I hope does) mean that the Q4 explosion this year will be beyond even TDKs release window.
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Old 07-01-2009, 06:53 AM   #14
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Quote:
Originally Posted by MikeRox View Post
Oh we know for a fact that they're going to climb north, but I mean we're either going to see phonomenal numbers, or just a muted Q4 peak (which would be the dissapointment )

Indications suggest that the econmic downturn might be starting to ease now, which (as last Q4 was at the start of the biggest economic downturn in decades) could (and I hope does) mean that the Q4 explosion this year will be beyond even TDKs release window.
Did not really think about that much, but you are right.

Last years 4Q may even have been muted by the economic downturn, so if this year picks up a tad in general economic terms and lower Blu-ray hardware prices surges Blu-ray player sales and Star Trek Transformers ROTF et all happens then DVD + Blu-ray revenues may gain. Its all if if if .....though.
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Old 07-01-2009, 06:56 AM   #15
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Originally Posted by Nikopol View Post
Huh, i don't remember these reports Dang, i'll lose my cheerleader licence!


Well don't forget those blue pom poms either.
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