According to a recent online survey, consumers still prefer DVDs and Blu-ray discs to downloaded and online videos. The survey, conducted by market researcher NPD Group, revealed that in the past three months sales and rentals of the two formats represent 88% of consumer home video spending. In those three months, the average US consumer paid around $25 per month buying and renting videos. Broken down, it came to 63% on DVD purchases, 18% on rentals, 9% on video on demand, 7% on Blu-ray disc purchases, and a low 3% on digital downloads.
Although the sales of DVDs and Blu-ray discs are still going strong, there has been an increase in consumers who are watching videos online. Last year only 5% of consumers with Internet access reported watching movies online, while this survey shows that the number has risen to 9%. As for renting movies online, the numbers have moved from 4% to 8% in the past year.
Russ Crupnick, an entertainment industry analyst for NPD, stated that discs are still dominating the home video scene, but consumers are starting to be turned on to "digital options." He went on to say that consumers who are viewing and renting videos online are often those who still buy many DVDs and Blu-ray discs. Whether or not both discs and digital videos can thrive simultaneously is yet to be seen.