PC WORLD asks: Why doesn't anyone want a Blu-ray player?

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Why Doesn't Anyone Want a Blu-ray Player?

Blu-ray may have won the war against HD-DVD, but American consumers aren't exactly warming to the high-definition disc format.

I suspect that HD-DVD's slightly higher popularity is due to the fact that HD-DVD players were cheaper than their Blu-ray competitors, and hence were more appealing to early adopters. Of course, now that HD-DVD has gone the way of Betamax, it's certain to fade away quickly.

The popularity of high-def physical media gets a boost if you factor in the 9 percent of U.S. consumers who own a Sony PlayStation 3, which plays Blu-ray discs too. Still, consumers' lack of interest in Blu-ray is bad news for proponents of the HD disc format. Only 7 percent of survey respondents who don't own a Blu-ray player say they're likely to buy a Blu-ray unit within the next year, down from 9 percent in May 2008.

HDTV Yes — Blu-ray No

Nearly half of U.S. consumers now own a high-definition TV, according to the Harris poll. Add that to the fact that prices of both Blu-ray players and discs are falling rapidly, and consumer indifference to HD players is a telling sign.

The online poll by Harris Interactive surveyed 2,401 U.S. adults between April 13 and 21, 2009.

A statement by Harris Interactive vice president and senior consultant Milton Ellis nicely sums up the challenges facing Blu-ray:

"Blu-ray also faces competition from alternative technologies such as cable, satellite, and the Internet. Consumers today can easily watch high definition TV channels or use the Internet or video-on-demand to access high definition movies. In the near future, access to high definition movies may be a download or streaming delivery of one's favorite movies to a home media server that eliminates the need for a Blu-ray player and Blu-ray disc."

Bingo. Home theater buffs and early adopters may take to Blu-ray, but most consumers will likely bypass HD discs altogether and advance directly to movie streaming and download services.

Written By Jeff Bertolucci (PCWorld.com)
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(bonus article below)

Warner releases more Blu-ray, drops price
-Many catalog titles to carry $28.99 SRP

Warner Home Video is releasing a whopping 23 Blu-ray Disc catalog titles in September and October, responding to consumers' rising demand for reasonably priced high-definition content.

Blu-ray theatrical catalog unit sales have hiked 100% year-to-date in 2009 over the same 2008 period, according to the studio. That fact alone is likely motivation enough to launch a large batch of Blu-ray titles. But Warner is further attracting consumers by rolling out many titles at $28.99 SRP pricing — below the studio's current average tags for high-def catalog.

The studio hopes to answer consumer and retail complaints that there is too much of a premium on Blu-ray catalog over the same films on standard-definition.

On Sept. 8, Warner and its distributed label New Line Home Entertainment will unleash about a dozen $28.99 Blu-ray theatricals, including Snakes On a Plane, Catwoman, Creepshow, Dead Calm, Freddy vs. Jason, Friday and Menace II Society. Others on that date, at the same pricing, include Sphere, Over the Top, The Postman, Set It Off and The Texas Chainsaw Massacre.

Many outlets, such as Amazon.com, are retailing most of these titles around $20.

"There is a gap between Blu-ray and standard-def that is too big on catalog," said Jeff Baker, Warner executive VP/general manager of theatrical catalog. "So we are trying to reduce that gap."

Warner will still release elite Blu-ray catalog when the included amount of extra content warrants it. The studio will launch classic Willy Wonka & the Chocolate Factory with a 38-page exclusive booklet on Oct. 20 (prebook Sept. 15) for $34.99 SRP. Warner's $69.99-priced June 9 Woodstock: 40th Anniversary Collector's Edition has a slew of never-before-released concert performances. Also, the studio's upcoming deluxe The Wizard of Oz Blu-ray release will be tagged at an $85 SRP.

Although consumer interest in Blu-ray is climbing, Warner continues to be selective with which catalog titles it launches. The studio primarily bows male-oriented action films, underscored by its fall mix, which is heavy on horror and sci-fi.

Most Blu-ray households currently play their high-def content on PlayStation 3s, which skew toward the male videogame demographic. Additionally, films with lots of special effects make the best advertisement for the high-def format.

"The bulk of the releases in September and October are mostly geared to males," said Baker. "One of the challenges is that, because there is a premium for Blu-ray versus standard-def, consumers really ask themselves if they need advanced visual and audio for a sleepy drama. They might not feel as much of a need to make the upgrade if it's not something like [Warner's] The Dark Knight."

Baker is hopeful to release a wider array of catalog titles as Blu-ray households grow. But at this moment, the studio is acting for the current buyer, who is concerned about pricing.

"It's really about getting the consumer to rebuild their libraries, and we need to offer them some incentives in some cases for them to do that," Baker said.

Written by Susanne Ault
(Video Business, 6/19/2009)

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