News Release - September 12, 2012

For Immediate Release:

Digital Entertainment Spending On The Rise According to EMA’s Annual Home Entertainment Report

Report Also Notes that Majority of Consumer Spending Comes From Physical Disc Sales and Rentals

ENCINO, CA (September 12, 2012) … Digital formats such as electronic sell-through, VOD, and subscription streaming grew 51% in 2011 and 74% in the first quarter of 2012 according to the D2 Report: Discs & Digital – The Business of Home Entertainment Retailing. The Report was released today by the Entertainment Merchants Association (EMA). The Report also details that 81% of customer spending on home entertainment comes from physical media, such as DVDs, Blu-ray Discs, and video game discs, and predicts that they will continue to dominate the market as the favored choice for consumers. When asked to choose between a physical and digital game, 75% of respondents said they would choose the physical product, according to the Report. 

“The growth of consumer spending in the first half of 2012 illustrates consumers’ continuing eagerness for home entertainment,” said Bo Andersen, President and CEO of EMA. “The concurrent growth of Blu-ray Disc purchases, streaming, VOD, and electronic sell-through shine a beacon of light that is bright and steady.”

The D2 Report: Discs & Digital – The Business of Home Entertainment Retailing, issued by EMA, brings together data from leading home video and video game industry analysts, including The Digital Entertainment Group, IHS Screen Digest, The NPD Group, and Parks Associates. This annual publication provides an overview of the home entertainment and video game industries from 2011 through mid-2012. 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. 

The report may be purchased from the Entertainment Merchants Association online at www.EntertainmentMerchantsAssociation.org.

The Entertainment Merchants Association (EMA) is the not-for-profit international trade association dedicated to advancing the interests of the $35 billion home entertainment industry. EMA-member companies operate approximately 35,000 retail outlets in the U.S. and 45,000 around the world that sell and/or rent DVDs, computer and console video games, and digitally distributed versions of these products. Membership comprises the full spectrum of retailers (from single-store specialists to multi-line mass merchants, and both brick and mortar and online stores), distributors, the home video divisions of major and independent motion picture studios, video game publishers, and other related businesses that constitute and support the home entertainment industry. EMA was established in April 2006 through the merger of the Video Software Dealers Association (VSDA) and the Interactive Entertainment Merchants Association (IEMA).

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[EDITOR: Complimentary copies of the complete report are available for news reporting purposes.]

For more information, please contact:

Grace Lee

EMA

818-385-1500 Ext. 244 or glee@entmerch.org

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