Andy Parsons, chairman of the Blu-ray Disc Association, openly stated that we don’t have to expect Blu-ray prices to go down any time soon. Parsons said this at the DisplaySearch/NPD HDTV conference in Los Angeles.
"There’s not enough market to lower the price," Parsons told PC World. This means that Parsons believes that the current demand for the technology is too low and the public isn’t aware enough.
Many believe that now is the time for Blu-ray to drop the prices since online downloads and Video on Demand (VoD) are competitors that can overrun the format.
Parsons says consumer awareness and eventually demand are key factors before selling any Blu-ray products at a lower price. But what about downloads and VoD? Can physical media and electronic downloads coexist or will consumers pick a side?
At 20th Century Fox they believe coexistence is the way, it’s even a mistake to believe one of the two will win. "It’s a mistake to think it’s either a physical or an electronic business," Danny Kaye, vice president of research and technology strategy at 20th Century Fox, told CNET.
Figures show that the majority of the customers spend their money on physical movies, instead of digital downloads. Fifty-two percent of the HDTV owners buy movies or TV shows on DVD, while 6% downloads.
Now that Parsons said he isn’t planning to drop Blu-ray prices anytime soon, the question is whether consumer demand will grow if the prices stay high. Is just being aware enough for a consumer to choose Blu-ray?
With 52% of the consumers buying physical DVDs, and Blu-ray trying its best to take a piece of that pie, many will say prices will have to go down. What do you expect? Will Parsons soon change his strategy, or is he right? Just being aware is enough for us to buy a Blu-ray player.