Blu-ray and DVD discs are still the largest revenue stream for movie companies. According to a report by research company NPD the discs were good for 61% of home-video spending on movies in 2012. In 2011 they accounted for 64%. Although the revenue of discs declined, the number of discs sold has likely stayed the same or increased. The revenue has mainly gone down because prices of Blu-ray discs declined with 7%.
“There is a significant base of video customers in the U.S. who continue to be comfortable with physical formats, and a large majority haven’t made the complete transition from discs to digital video,” a spokesman of the NDP group said. “For the time being, at least, consumers still like to own and rent movies and TV shows on DVD and Blu-ray, even in a world of where connected devices and digital rental, streaming, and ownership options are becoming more accepted and commonplace.”
Although discs remain popular, the market for digital video, including video streaming or digital renting is still growing. It accounted for 14% in 2011 and went up to 16% in 2012.