3d theater

Reuters is reporting that for the first time since 2002, consumers in the United States spent more to see movies theatrically than purchasing films on Blu-ray and DVD. According to the figures from Adams Media Research, U.S. consumers spent an estimated $8.73 billion for movies on DVDs and Blu-Ray, a drop of 13 percent from the year before.

Blu-ray made up $1.1 billion of the year’s movie disc sales as the numbers of players in U.S. homes grew from 3 to 8 million. The 2009 domestic box office receipts added up to $9.87 billion, up nearly 10 percent from the previous year. 3D films and IMAX presentations may account for the rise in box office gross as tickets are usually one third to double the average matinee price. The movie disc business peaked in 2004 with $12.1 billion in domestic sales, and with digital distribution, it is not expected to rebound. Hollywood is quick to place blame on piracy and movie disc rentals like Redbox and Netflix, which grew to $8.15 billion from $8.11 billion in 2008.

A grand total of $28.38 billion was spent by Americans on feature films in 2009, down slightly from the $28.47 billion in 2008. This figure a includes $1.27 billion spent on rentals through cable and satellite services, and $361 million spent renting/buying movies online.

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  • hbhb
    Whatever happened to the ideas that cinemas will die?? NEVER!
  • plagueoftruth
    Tetsuo_man already mentioned this and I agree. I'm not buying a lot of films on DVD right now because I'm waiting for the blu-rays.

    Another thing that I have to admit has affected my buying habits is Netflix Watch Instantly. There are many films I've considered buying to have in my library but they're available on watch instantly so I can see them any time I want.
  • Joe
    Jesus, people. What's next, saying Avatar will cure cancer or help nerds move out of their parents' basements? I paid my $14 and wasn't too impressed.

    Stop saying everything positive happening in cinema can be attributed to Cameron. I was, you know, expecting people to discuss piracy here (drop in DVD sales = more people are going to the theater, then downloading the DVD if they want it), but keep the Avatar circlejerk going!
  • sideshowRaheem
    They are attributing this to Cameron because his movie made about 700 million dollars at the end of 2009. So his movie(good or bad) had a direct impact on these numbers it's pretty much what put theater ticket sales over the top.
  • John D
    This is about domestic sales and Avatar DID NOT make 700 million on the domestic front.
  • evilninjax
    Just crunching some numbers:

    $9.87B 2009 domestic BO -> $8.9B 2008 domestic BO > $8.7B 2009 shiny disc expenditures.

    So buying movies in 2009 has actually dipped below 2008 boxoffice receipts. No avatar effect here.
  • Tetsuo_Man
    Idk.... whenever I want to buy a film on DVD, I don't because in the future, I'm just going to have it on blu-ray when all the prices go down. There's probably a psych or business term for this.
  • John D
    It's an economics term - rational expectations theory. You expect future prices to be lower, so you withhold current purchases.
  • mbellerbrock
    Somebody paid attention, I couldn't remember that term and I just took Money and Banking Economics in which we discussed that theory.
  • Roland21
    James Cameron plan to bring back people to the cinema is working. That man is a genius!
  • roland22
    higher ticket price, higher ticket price, higher ticket price
  • ggJudas
    Or the headline could be…

    Sales of DVDs have dropped so low that people are actually seeing more movies in theaters.
  • nick
    my immediate thought was Avatar too. if it wasn't for that beast, where would these figures be?
  • Dangeresquetoo
    Avatar was expected....I'd have to say what really put things over the top was The Hangover and The Blind Side both grossing over 200 mill domestically. Totally unexpected.
  • thisguy
    AVATAR!
  • J.D.
    This is interesting. Maybe all the 24-hour BluRay deals on Amazon are cutting revenue as well!
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