Annual Industry Report

FINALCoveR2013

EMA’s 2013 D2 Report: Discs and Digital – The Business of Home Entertainment Retailing is now available. This annual publication provides an overview of the home entertainment and video game industries from 2012 through mid-2013. Data includes sell-through and rental revenue from physical and digital formats for both industries, retailing trends, delivery methods, windows, consumer behavior and projections for growth and change over the next five years.


Highlights of the report include:

Overall Spending

  • In 2012 consumers spent almost $40 billion on DVD and Blu-ray Disc sales and rentals, electronic sell-through of movies and TV shows, transactional video-on-demand, subscription streaming, video game hardware, disc and digital games and game accessories.

Video

  • 2012 saw a small growth in consumer spending of 0.25% after seven years of decline.

          - Spending totaled in excess of $18 billion

  • The first quarter of 2013 saw continued growth with home entertainment spending up 5% over the first quarter of 2012.
  • Significant increases have been seen in:

          - Blu-ray Disc sales: 

                    - Were up 10% overall in 2012

                    - Were up 28.5% in the first quarter of 2013

          - Digital Growth:

                    - Video-on-demand increased 10.8% in 2012

                    - EST was up 51.5% for the first quarter of 2013 over 2012

                    - Subscription streaming was up 45.8% in 2012 (spending in 2012 $2.3 billion)

  • UltraViolet has 11 million individual accounts and offers over 9,000 titles
  • 56% of studio video revenue comes from video retail, video rental and VOD/EST.

Hardware

  • HDTV penetration exceeds 108.4 million households
  • Of Americans owning Smart TVs, only half are connected to the web
  • Game consoles are entertainment hubs
  • One in four U.S. adults owned a tablet by the end of 2012

Games

  • Longest life cycle of game consoles – 7 years
  • Hardware spending in 2012 was $4.04 billion - down 27% 
  • Spending on accessories totaled $2.51 billion – down 8%
  • Spending on digital game formats (full game and add-on downloads, subscriptions, mobile games and social network games totaled $5.92 billion – 16% increase over 2011
  • Other spending (used and rental) was $1.79 billion in 2012

Retail

  • Supporting Ultra Violet

          - Best Buy – through Cinema Now 

          - Walmart – through Vudu

  • Digital Retailing including Amazon, Cinema Now, Google, GameStop, Google, Netflix, Target Ticket, Toysrusmovies.com, and Vudu
  • Retailers as content creators including Amazon, Hulu and Netflix

The report is free and sent to EMA members.  

Non-members may purchase the report for $110.00.

The Report is available in print and PDF versions.

Copyright 2014, Entertainment Merchants Association
EMA is headquartered at 16530 Ventura Boulevard, Suite 400, Encino, CA 91436-4551 - Phone: 818.385.1500 - Fax: 818.933.0911