1. Market Research
  2. > Media
  3. > Motion Pictures and Movie
  4. > Movie and Video Distribution
  5. > DVD, Blu Ray Market Trends

The Global Blu-ray Media and Devices Market : Blu-ray Vendors will be Challenged by Competing Streaming Devices and Services in the Long Term

  • March 2015
  • 39 pages
  • Frost & Sullivan
Report ID: 2795967

Summary

Table of Contents

Key Findings

•This market insight is part of a series of insights on Blu-ray media and devices. It provides base year (2014) estimates and five-year revenue forecasts from 2015 to 2019 for the global Blu-ray media and devices market.
•This insight segments the market in terms of Blu-ray players and Blu-ray media. The Blu-ray players segment generated revenue of $ x million in 2014 and is estimated to reach $ x million by 2019. The Blu-ray media segment produced $ x million in revenue in 2014 and will increase to $ x million by 2019.
•In the last three years (2012 to 2014), the prices of Blu-ray players and media have reduced significantly, even as their features continue to be enhanced and expanded. Blu-ray devices are often sold as bundled entertainment solutions with smart televisions; this increases unit sales but negatively impacts the Average Selling Price (ASP). As market competition continues to intensify, a further decline in prices over the forecast period is anticipated.
•The growing affordability of Blu-ray players, combined with user-friendly features including built-in WiFi and Universal Serial Bus (USB) connectivity, makes these devices more appealing to a broader customer spectrum. This will improve unit sales across several regions until 2019.
•Blu-ray technology will have a high year-over-year growth rate in the near-to-mid term. In the second half of the forecast period, Blu-ray players and discs may be challenged by competing streaming devices and services (such as Netflix), which can result in low unit shipments.

Segment Overview

•A Blu-ray player is typically a standalone device that connects to a TV using cables and plays back High Definition (HD) Blu-ray optical discs. Most Blu-ray players are equipped with backward compatibility to play back older optical-disc formats such as DVDs.
•This segment only considers standalone Blu-ray players. Video game consoles that play Blu-ray discs (PS3, PS4, and Xbox One) are not considered. The report does not include aftermarket Blu-ray drives that serve as extensions to computer systems.
•Backed primarily by Sony, Blu-ray technology is the natural successor of the DVD. Blu-ray technology includes advanced functionalities such as 3D, HD, and built-in Wi-Fi. For the consumer, this provides a more compelling user experience on large-screen TVs and home theater systems.
•Additionally, Blu-ray technology is highly popular with movie studios because it provides superior protection against content copying and piracy. However, although Blu-ray players can provide an enhanced viewing experience, the costs involved in purchasing Blu-ray devices and associated media, mark Blu-ray technology as a high-end solution.
•Consumers are shifting from fixed-format-ownership models to online content. As a result, streaming and connected video services from Amazon, Netflix, and Vudu are rapidly gaining popularity and eating into the sales of Blu-ray players and discs.
•Over the forecast period, several business models are expected to coexist with streaming services and cloud-based content delivery to become ubiquitous. In the long term, consumer preference is expected to shift from having cumbersome physical media-content libraries to convenient cloud-streamed on-demand HD content collections.
•However, vendors of Blu-ray players will continue to ensure that physical media will not be entirely obsolete by adding value to Blu-ray media through various methods. Consequently, Blu-ray technology will continue to grow and remain relevant until 2019. Unit shipments will also continue to grow, although the growth rate is expected to fall gradually over the forecast period.

Market and Technology Trends

•In developed countries, the growth of over-the-top content (OTT) video consumption and digital download models is negatively impacting sales of Blu-ray players and media. However, increased popularity of the concept of “connected homes” has meant that Blu-ray playback capability is now integrated with living-room devices, such as gaming consoles (PS3 and PS4) and smart TVs from reputed brands including Samsung, LG, and Panasonic.
•Most movie studios have identified streaming video as the fastest growing sector in the home video space. Streaming video is expected to pose a sustained threat to Blu-ray media and devices. However, to address this challenge, key retailers such as Best Buy and Wal-Mart are connecting disc sales with perpetual digital-ownership models through online services (Disc-to-Digital). This helps extend disc lifespan and reduce total ownership costs of Blu-ray media for buyers.
•Vendors continue to re-launch Blu-ray players after adding new features, such as enhanced picture quality, improved connected home experience, and OTT-content streaming capabilities. Such value-added offerings include 3D support, proper HD upscaling, 1080p or full HD, Digital Living Network Alliance (DLNA)-PC streaming, premium content availability, DVD playback capability, and smart TV connectivity. Other features including file sharing from external devices to smart TVs, upscaling DVD content to HD, and support for 2D and 3D Blu-ray disc playback are also incorporated into Blu-ray players.

Pricing Trends

•In emerging economies, where quality is secondary to cost as a purchase-decision factor, DVDs and VCDs remain the predominant formats used for movies.
•Prices are aggressively discounted throughout the year (especially during the holiday season) and bundled offerings for smart TVs and Blu-ray players are also fairly common.
•Furthermore, revenue-share agreements between retailers and manufacturers tend to vary. As a result, it is extremely difficult to accurately estimate revenue derived from the sales of Blu-ray players.
•List prices are decreasing year-over-year by approximately x % for Blu-ray players from select vendors, reducing further to approximately x % per year for the total Blu-ray media and devices market because of the market share growth of low-cost alternatives.
•Although no existing smart TVs with built-in Blu-ray disc players are available, such product form-factors could be announced (and maybe produced and shipped) within the forecast period. This trend could place immense price pressure on standalone Blu-ray player vendors, especially in emerging regions.
•Blu-ray players will have a higher year-over-year growth rate over the near-to-mid term than in the latter half of the forecast period (2017 to 2019), when the value-proposition of Blu-ray players in the connected home experience is expected to be challenge by competing streaming devices.

Get Industry Insights. Simply.

  • Latest reports & slideshows with insights from top research analysts
  • 60 Million searchable statistics with tables, figures & datasets
  • More than 25,000 trusted sources
  • Single User License — provides access to the report by one individual.
  • Department License — allows you to share the report with up to 5 users
  • Site License — allows the report to be shared amongst all employees in a defined country
  • Corporate License — allows for complete access, globally.

Veronica helps you find the right report:

Testimonials

The research specialist advised us on the best content for our needs and provided a great report and follow-up, thanks very much we shall look at ReportLinker in the future.

Kate Merrick

Global Marketing Manager at
Eurotherm by Schneider Electric

We were impressed with the support that ReportLinker’s research specialists’ team provided. The report we purchased was useful and provided exactly what we want.

Category Manager at
Ikea

ReportLinker gave access to reliable and useful data while avoiding dispersing resources and spending too much time on unnecessary research.

Executive Director at
PwC Advisory

The customer service was fast, responsive, and 100% professional in all my dealings (...) If we have more research needs, I'll certainly prioritize working with ReportLinker!

Scott Griffith

Vice President Marketing at
Maurice Sporting Goods

The research specialist provided prompt, helpful instructions for accessing ReportLinker's product. He also followed up to make sure everything went smoothly and to ensure an easy transition to the next stage of my research

Jessica P Huffman

Research Associate at
American Transportation Research Institute

Excellent customer service. Very responsive and fast.

Director, Corporate Strategy at
Ingredion

I reached out to ReportLinker for a detailed market study on the Air Treatment industry. The quality of the report, the research specialist’s willingness to solve my queries exceeded my expectations. I would definitely recommend ReportLinker for in-depth industry information.

Mariana Mendoza

Global Platform Senior Manager at
Whirlpool Corporation

Thanks! I like what you've provided and will certainly come back if I need to do further research works.

Bee Hin Png

CEO at
LDR Pte Ltd

The research specialist advised us on the best content for our needs and provided a great report and follow-up, thanks very much we shall look at ReportLinker in the future.

Kate Merrick

Global Marketing Manager at
Eurotherm by Schneider Electric

Purchase Reports From Reputable Market Research Publishers

The 2018-2023 World Outlook for Blu-ray Discs

  • $ 995
  • Industry report
  • April 2017
  • by ICON Group

This study covers the world outlook for Blu-ray discs across more than 190 countries. For each year reported, estimates are given for the latent demand, or potential industry earnings (P.I.E.), for the ...

The 2018-2023 World Outlook for Blu-ray Media

  • $ 995
  • Industry report
  • April 2017
  • by ICON Group

This study covers the world outlook for Blu-ray media across more than 190 countries. For each year reported, estimates are given for the latent demand, or potential industry earnings (P.I.E.), for the ...

Motion Picture and Video Distribution in Australia - Industry Market Research Report

  • $ 965
  • Industry report
  • November 2016
  • by Ibisworld

Roll credits: Revenue continues to fall due to declining demand for Blu-ray Discs and DVDs Abstract Motion Picture and Video Distribution in Australia Firms in the industry lease or wholesale motion ...


ref:plp2015

Reportlinker.com © Copyright 2017. All rights reserved.

ReportLinker simplifies how Analysts and Decision Makers get industry data for their business.