Originally Posted by Malanthius
How does DVD go up when there is a new and improved format that has been on the market for 5 years?
Originally Posted by bruceames
It's really odd Mal, an anomaly like Psound says. Blu-ray last year had a 19.7% average market share for Q1. So far this year it's only 3.8% higher, at 23.5%. It's like Blu-ray is constantly gnawing at DVD's share but never can really take a bite out of it.
The market share growth has been linear, but as new formats go, it should be exponential. At this rate it's going to be 2015 or even 2016 before Blu-ray overtakes DVD (on average overall, not for a single week or just in the top 20).
The studios and retailers would not mind a bit if Blu-ray lagged a bit there in overtaking DVD if it meant that DVD revenues were higher for a longer period of time and declined less.
Blu-ray is already large and successful enough to be sustainable for the long term and its survival is long past doubt. So there is less of a push to force consumers to migrate to Blu-ray or encourage them to move to Blu-ray than in the format war days or its recent aftermath.
Sure there is an incentive to have consumers move to higher margin Blu-ray for many reasons including longer sustained sales for the high definition format, but a new release DVD sale is still high margin and any sales for DVD is still money to retailers and the studios.
Plus there is a thought that laggard DVD consumers that have not upgraded to Blu-ray yet may upgrade to Blu-ray in the future and in the more distant future might be laggard Blu-ray users when Blu-ray inevitably sees its decline over time.