DVD Wows Consumers

DVD-Video players experienced a tremendous year in 1999, becoming the ""fastest selling consumer electronics product in history,"" and achieving a household penetration level of approximately 5 percent after only three years in the market. Now, in 2000, consumers have overwhelmingly voiced their satisfaction with those purchases, according to the results of the first and most comprehensive ""DVD Owner Study"" released by eBrain Market Research a service of the Consumer Electronics Association (CEA). The results of the study indicate a remarkable 85 percent of owners surveyed expressed satisfaction with their DVD-Video player. That satisfaction stems from several key buying expectations, but most important was enhancement of the viewing experience. Overall, 92 percent of owners stated that picture quality was very or somewhat important to their purchase decision, followed closely by sound quality and interest in digital technology. eBrain Vice President of Market Research, Todd Thibodeaux, commented, ""The fantastic growth of DVD sales in 1999 was due in large part to consumers' increasing interest in digital technologies. The results of this study indicate a great deal of satisfaction with the digital format, which we believe will lead to further digital entertainment product purchases, stimulating growth across all categories."" In terms of content, the average DVD household owns 13 titles. However, 31 percent of owners who have had their player for at least one year have more than 20 titles, demonstrating that many owners are still in the process of building their libraries. The tremendous DVD sales Have also impacted the rental market. Approximately seven out of 10 DVD-Video player owners rent between one and 10 titles per month, and 15 percent of owners stated an increase in their number of movie rentals. The growth of DVD has also had a tremendous effect on complimentary purchases in the home theatre market. DVD led to the creation of, or helped account for, 16 percent of all new home theatre systems during the 1997-1999 period. Prior to buying DVD-Video players, approximately 35 percent of current DVD households had a home theatre system, a penetration rate that confirms many DVD owners have room to further invest in home theatre equipment. That fact, combined with the 44 percent of DVD owners who have only recently bought their player, indicates a solid future for retailers in terms of complimentary purchases of audio/video equipment among owners lacking a full scale home theatre system. The survey was designed and formulated by eBrain Market Research, a service of CEA. eBrain is smarter research. The most comprehensive source of sales data, forecasts, consumer research, international research, and historical trends for the consumer electronics industry. The DVD Owners survey was conducted online with a sample of 1,056 DVD-Video player owners during January 2000. The complete study is available free to CEA member companies. Non-members may purchase the study for $499 by visiting eBrain.org or sending an e-mail to info@ebrain.org.