CHICAGO, May 1, 2023 – According to Circana, formerly The NPD Group and IRI, the U.S. DVD and Blu-Ray Disc (BD) industry generated $1.34 billion for the 12 months ending March 2023, with sales reaching 94 million units. Tent-pole titles, such as “Spider-Man: No Way Home” and “Top Gun: Maverick” continue to sell through as consumers show an ongoing interest in owning hardcopies. Collector’s editions are also driving growth, with year-over-year unit sales rising 85% to reach $80 million.
Granted the market size is not what it was in the mid-2000s when DVD sales reached their peak, but it’s clear that consumer demand for the DVD still exists. As of March 2023, 26 percent of U.S. households bought DVDs and BDs in the six months prior, according to Circana. This base of consumers is nearly the same size as it was a year ago; in part being propped up by households with children under age 18 as far more of them, 39% still buy DVD and BD.
“Consumers continue to show interest in the nostalgia and collectability of physical media, notable as Record Store Day just celebrated its 15th anniversary,” said John Buffone, vice president and industry advisor at Circana.” It’s no surprise that in the height of streaming video era the DVD still holds a place in consumers’ hearts and on retailers’ shelves.”
Geography also plays a role when it comes to DVD and BD sales. While all 212 designated market areas (DMAs) tracked by Circana show year-over-year sales declines. Certain larger markets continue to better sustain demand. The following three DMAs generated over one half million unit sales and showed declines of 20% or less, beating the industry average by 6 points: Miami-Ft. Lauderdale; New York; and Los Angeles.
“Some loyalists may be upset about the news that Netflix will be shuttering its DVD rental business this fall,” Buffone said. “It’s notable that the legacy packaged media DVD format still outsells BD with a 71% share of unit sales, a depiction of its market prowess for over 25 years.”
Stay current in your industry
The NPD Group
900 West Shore Road
Port Washington, NY 11050