More than 1.5 million 4K TVs and thousands of 4K Blu-rays sold so far in 2016, despite slow HDTV sales
Stephan Jukic – May 3, 2016
According to new information from the Digital Entertainment Group (DEG), consumer purchasing of 4K ultra HD TVs is expanding at a rapid, robust pace and the rush for 4K UHD content for these TVs is growing as well.
According to the research company’s quarterly home entertainment reporting and research, consumers in the U.S market have so far bought more than 1.5 million newer and older model 4K ultra HD TVs during the first three months of this year in which the sales figures were measured and this is a large fraction o the total quantity of 7 million 4K TVs sold across the U.S to-date.
Furthermore, in another good sign for the otherwise struggling home entertainment business, consumers are now picking up 4K UHD Blu-ray disc players and the 4K Blu-ray discs that are being steadily released as well. Both of these technologies hit the online and offline retail shelves just a couple of months ago but according to DEG research, more than 80,000 copies of the 26 existing (as of this writing) 4K Blu-ray disc movie titles now on sale have been grabbed up by buyers. For a bit of perspective, this is a figure twice as high as sales of HD Blu-rays when they first came out during the same three-month length of time.
What’s all the more impressive about the above is the fact that these robust sales figures are occurring during a period in which consumer spending on home entertainment has dropped by 2% to $4.55 billion, with sales of DVDs and conventional HD Blu-rays also down by a hefty 13% at $1.37 billion. In addition to these slumps, there is the largest decrease among these media formats of all, which is rental of physical disc media and which has fallen by 19% in the same year-over-year timeframe to $697 million. In part this last industry segment has suffered more heavily due to a major growth in online streaming options for most content that can be rented via physical disc media.
The numbers also support this, given that content companies have seen total consumer digital spending expand to $2.49 billion, amounting to a growth of 13% from 2015, with subscription spending on services like Netflix and Amazon up by 19% at $1.4 billion in subscription sales. The Direct electronic sales of content offerings like movies grew by 4% to hit $505 million in sales for the end of Q1, 2016.
As for HDTV household penetration, it still remains at a level of dominance far in excess of 4K UHD TV penetration, with a current total of 104 million HDTVs found in American households, amounting to 95% of homes in the U.S having at least one HDTV. Homes with HD Blu-ray media players amount to 84 million households.
Many other recent research studies on 4K TV sales and growth trends predict immense expansion for the new display resolution in the TV market by the end of 2020 at the latest. They also predict sales growth that results in numbers of units sold per year to reach well into the tens of millions.
Story by 4k.com