Netflix Blu-ray Indicative of Industry?

We reported just a few days ago that Netflix is expecting about 500,000 subscribers, or 6% of their subscribers, to pay their Blu-ray premium. $1 a month to get Blu-ray movies delivered to your home. We thought that was good. 

However, a story on engadget tracked numbers from Nielsen VideoScan. They compare Blu-ray sales to DVD sales of recent blockbuster releases. According to their calculations, Blu-ray sales are closer to 10-12 percent of the market, with DVD making up the rest. (Does anyone sell VHS anymore? Didn't think so!)

Their reasoning is interesting . . .

While you would have thought more people would rent Blu-ray versus buying, the opposite is true. Once you've purchased a player, you're into the format. As in the past, people spend more on discs than on the initial player price. This is especially true as the price of players plummet.

It should be noted that Nielson VideoScan is based on $-sales, and at the moment, most Blu-rays cost more than DVDs. It would be more interesting if their numbers compared unit sales.

Do you buy or rent your Blu-rays? Let us know why. —Leslie Shapiro

Engadget

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