Home Video Industry Enjoys Growth In Rental Revenue During First Quarter Of 2001

VSDA VidTrac Reports American Consumer Spending For Videos Increased 3.2 Percent Over Same Period Last YearDVD Rental Revenues Grew More Than 223 Percent

11-Apr-01

American consumers continued to spend more of their entertainment dollars renting home videos. Total first quarter rental revenues increased 3.2 percent in 2001, and rental revenue for the popular new DVD format grew an incredible 223 percent. The announcement was made by Bo Andersen, President of the home video and entertainment industryís international trade group - the Video Software Dealers Association (VSDA).According to VSDAís VidTrac program - the video industryís most accurate video rental retrieval system, based on actual rental transactions - video rental revenues for the first quarter of 2001 totaled $2.12 billion.VHS rentals totaled $1.83 billion, and the rapidly emerging consumer-favorite DVD format contributed $296.64 million. These combined figures represent a 3.2 percent increase from the same time last year when 2000 first quarter rental revenues totaled $2.06 billion.Worth noting is that VHS revenues declined 7 percent, from $1.97 billion in 2000 to $1.83 billion in 2001. However, this decline was more than made up by DVD rental spending which increased a whopping 223 percent. Last year at this time, DVD rentals contributed just $91.79 million in total rental spending. Twentieth Century Fox enjoyed the top renting VHS title during the first quarter of 2001 with ìMe, Myself & Ireneî ($54.7 million, January 9 release). A pair of titles from Universal - ìWhat Lies Beneathî ($52.1 million, January 30 release) and ìMeet The Parentsî ($50.7 million, March 6 release) - finished in the #2 and #3 positions, respectively.The top renting DVD titles were ìWhat Lies Beneathî ($12.7 million, January 30 release), ìMeet The Parentsî ($11.4 million, March 6 release) and Columbia TriStarís ìHollow Manî ($10.2 million, January 2 release).""The substantial increase in DVD rental revenues reflected in the first quarter of the year demonstrates the delight and the new discoveries consumers continue to find in this format,"" said VSDA President Bo Andersen. ""Compared to other movie delivery systems available, consumers continue to rank home video top in value, convenience and comfort while enjoying the widest selection of filmed entertainment available anywhere.""For more information about VSDA, visit www.vsda.org.

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