Revenue of the U.S. DVD, game and video rental industry 2012-2017
This timeline depicts the projected revenue of the DVD, game and video rental industry in the United States from 2012 to 2017. It is estimated that the revenue of the industry in the U.S. will amount to about 4.25 billion U.S. dollars in 2014.
DVD, game and video rental industry – additional information
The DVD, game and video rental industry has been considered a key dying industry in the U.S., as forecasts show a drastic decline in revenues. The industry’s revenue is projected to drop in almost 50 percent between 2013 and 2017, and it is forecast to reach the lowest figure to date by then, 2.8 billion U.S. dollars. Considering home entertainment is still a profitable and promising market, much of this decline can be attributed to changes in the American consumers’ behavior, and their preferred way of consuming video content and games. In 2012, for example, online subscription accounted for 30 percent of the movie and TV rental market revenue in the U.S., while kiosks and store rental held 34 percent of the market share together. By 2015, online subscriptions were estimated to account for almost 50 percent of all movie and TV rentals in the U.S. Together, stores and kiosks held an estimate of 24 percent of the market, showing rental services are losing market share for online services, but still have their space in the industry.
Netflix, the leading streaming provider in the U.S., illustrates quite well this overall trend in the American market. The company, which started out as a rental DVD-by-mail service, still offers the possibility of renting movies and TV shows on DVD and Blu-ray. The number of Netflix DVD subscribers in the U.S. has dropped since 2011, but still amount to nearly five million in the last quarter of 2015. In comparison, the number of Netflix streaming subscribers in the U.S. rose from about 21 million in the third quarter of 2011 to 44.74 million in the last quarter of 2015, the highest figure to date.
DVD, game and video rental industry – additional information
The DVD, game and video rental industry has been considered a key dying industry in the U.S., as forecasts show a drastic decline in revenues. The industry’s revenue is projected to drop in almost 50 percent between 2013 and 2017, and it is forecast to reach the lowest figure to date by then, 2.8 billion U.S. dollars. Considering home entertainment is still a profitable and promising market, much of this decline can be attributed to changes in the American consumers’ behavior, and their preferred way of consuming video content and games. In 2012, for example, online subscription accounted for 30 percent of the movie and TV rental market revenue in the U.S., while kiosks and store rental held 34 percent of the market share together. By 2015, online subscriptions were estimated to account for almost 50 percent of all movie and TV rentals in the U.S. Together, stores and kiosks held an estimate of 24 percent of the market, showing rental services are losing market share for online services, but still have their space in the industry.
Netflix, the leading streaming provider in the U.S., illustrates quite well this overall trend in the American market. The company, which started out as a rental DVD-by-mail service, still offers the possibility of renting movies and TV shows on DVD and Blu-ray. The number of Netflix DVD subscribers in the U.S. has dropped since 2011, but still amount to nearly five million in the last quarter of 2015. In comparison, the number of Netflix streaming subscribers in the U.S. rose from about 21 million in the third quarter of 2011 to 44.74 million in the last quarter of 2015, the highest figure to date.
