British Ditching DVD Players?

Heading into last week’s Black Friday retail weekend in the United Kingdom, tech shoppers apparently weren’t looking for DVD players, desktop PCs and MP3 devices.

New data from Ofcom, U.K.’s communications regulator, found that 64% of consumers shopped for a DVD/Blu-ray Disc player in 2018 – down from 83% in 2008. Another 27% bought a MP3 player, compared to 44% in 2008. Less than 30% bought a PC, down from 69%.

“As technology evolves and transforms how we live our lives, the devices we rely on are constantly changing,” Ian Macrae, director of market Intelligence at Ofcom, said in a statement. “The growth in popularity of streaming services has created tremendous demand for connected TVs, which for many people are replacing DVD players, and the smartphone is replacing several other devices at once.”

While smartphones (78%), smart TVs (42%) and wearables (20%) have increased in popularity among British shoppers, connected DVD/Blu-ray players affording physical and digital access still resonate.

In fact, excluding the ubiquitous smartphone, DVD/Blu-ray Disc players still top tablets, E-readers, digital video recorders, smart TVs and wearables on consumer purchases in 2018.

With Netflix favored by 44% of 765 million people globally who use an over-the-top video service, according to eMarketer.com, connected disc players remain an important conduit linking the living room TV with the Internet.

Indeed, through 2022, consumer spending on traditional home video and pay-TV will decline less than 2% to $11.5 billion, according to consulting firm PricewaterhouseCoopers (PwC).

 

Sony Brings E-commerce to TVs and Blu-ray Disc Players

Sony Electronics Oct. 2 announced a collaboration with software company Connekt to enable owners of select Sony Smart TVs and Blu-ray Disc players the ability to buy products directly through the television – dubbed “T-Commerce”.

Through a special embedded app, consumers with select Sony smart TV models will be able to securely purchase products directly from the retailers and brands. Fully optimized for ecommerce, “ShopTV” offers consumers the ability to purchase products from hundreds of brands and retailers, including Macy’s, Best Buy and Fanatics.

“TV remains the most prolific way for brands to reach consumers, and smarter TVs mean smarter advertising where brands can move consumers from awareness to a transaction without ever leaving their TVs,” Tripp Boyle, SVP of Connekt, said in a statement last year.

In the initial phase of the collaboration, consumers will be able to shop directly from the ShopTV app available in Sony’s smart TV app store. Sony and Connekt will work together to extend this capability to in-program purchasing, as well as to enable voice-driven commerce when that capability is deployed.

“Sony is committed to bringing value added features to our consumers,” Nick Colsey, VP, business development at Sony, said in a statement. “Our collaboration with Connekt allows us to offer owners of select Sony Smart TVs the ability to engage and shop directly from the biggest screen in their home.”

In a recent report, Connekt’s research demonstrated that over 75% of consumers would buy products directly from their TV if given the opportunity, while over 70% expressed an intent to use their voice to purchase products through the television.

“For decades, Sony has been a technology innovator,” said Mike Fitzsimmons, CEO of Connekt. “We are proud be partnering on this initiative to drive the convergence of television and commerce.”

 

 

DVD/Blu-ray Disc Player Ownership Continues to Decline

DVD/Blu-ray Disc player use remains in decline, with household penetration dropping to 67% in the first quarter of 2018 from 73% at the end of 2017, according to new data from Nielsen.

The drop underscores ongoing changes in consumer home entertainment behavior as fewer people watch, purchase and rent packaged media. Indeed, DVD players could be found in nearly 90% of U.S. households in 2008, despite the fact overall unit sales of DVD players actually declined 25% in the first half of that year, according to The NPD Group.

Among the coveted 18-34-year-old demo in 2018, DVD/Blu-ray player ownership has shrunk to 57.8%, compared to 69% among 30-49-year-olds and 58.6% among 50-64-year-olds, according to Statista.com.

Nielsen contends the average time an adult spent per day using a DVD/Blu-ray player was six minutes in Q1. That compared to 14 minutes with a video game console and 26 minutes with an Internet-connected device.

By comparison, live-TV viewing topped four hours daily, followed by the smart phone (2 hours, 22 minutes) and radio (1:46 hours).

Nine out of 10 U.S. adults use linear platforms in the average week. Live + time-shifted TV viewing reached 88% of persons in the first quarter of 2018, while radio had the largest reach across platforms at 92%.

A silver lining in the trends is that most Blu-ray players are connected to the Internet, thereby enabling access to over-the-top video and subscription streaming services such as Netflix, Amazon Prime Video and Hulu.

Indeed, Nielsen found that many households have access to more than one of the aforementioned SVOD services. Across the total U.S., 27% of TV households have access to only one service and 37% to more than one service. Eleven percent have access to all three.

Meanwhile, Nielsen reported that DVR penetration, which only a few years ago was rapidly expanding in U.S. homes, has seen its growth slow but is still present in 55% of TV households. Newer media, such as Internet connected devices and smart TVs, that enable streaming of content to the TV set, are showing strong year-over-year increases. Both device types are now in 37% and 38% of TV households, respectively.

One Billion Internet-Connected TV Devices in Use Globally

It’s a streaming video world. There more than one billion connected TV devices now in use worldwide, according to new data from Strategy Analytics.

Connected TV devices – including Smart TVs, Blu-ray Disc players, video game consoles, streaming media devices – enable users to stream over-the-top video content to the TV.

Smart TVs have been consistently gaining market share and now represent nearly 60% of the total Internet-connected media device installed base.

“The popularity of connected TV, in particular Smart TVs and dedicated media streaming devices such as Roku, Amazon Fire TV and Chromecast, has grown dramatically over the last few years and has led to a fundamental shift in how consumers view and engage with content on the TV set,” David Watkins, director at Strategy Analytics, said in a statement.

Spearheaded by Roku, Strategy Analytics expects more than 55 million streaming media devices to ship globally this year – about a third of 150 million Smart TV market.

“Sony has long been the global leader in connected TV devices in terms of devices installed in homes thanks not only to its strength in TVs and Blu-ray players, but also as a result of its leading position in the global game console market,” added David Mercer, VP at Strategy Analytics.

The report said Samsung now equals Sony at the top of the rankings in terms of overall installed connected TV device units, and the South Korean company is poised to take the lead in the second half of 2018.

“As Smart TVs take an ever-growing share of the overall market, Samsung will replace Sony at the top of the device footprint rankings later this year thanks to its dominant position in the world’s Smart TV market,” said Mercer.