Witness recent comments by BTIG Research analyst Richard Greenfield, who believes that the aforementioned companies, as well as Blockbuster Express, are at least partly responsible for the 11% decline in disc sales in the most recent quarter.
Greenfield believes that sales through the first three quarters of the year, which have declined 7% overall, would have been even worse if not for a strong showing by Avatar:
“In fact, we believe Avatar meaningfully skews the overall consumer spending on home entertainment for the nine-months, which is quite concerning when thinking about [the fourth quarter] and 2011,”
According to Greenfield, the 28-day new release windows imposed upon Redbox and Netflix by several major studios are having little effect and are serving to confuse consumers. Said Greenfield:
“The movie industry has fragmented to the point that the consumer does not understand it, meaning while Avatar may not [have been] available day-and-date at Netflix and Redbox, but Toy Story 3 and Alice and Wonderland were,”
Is Greenfield on the money here, Insiders? Is the evidence starting to mount that consumers just aren’t willing to buy movies like they used to, regardless of the windows that Hollywood attempts to force them into?
(via Home Media Magazine)