LOS ANGELES—Amidst the ongoing pandemic, consumers are continuing to shell out for SVOD subscriptions, which made up the majority of U.S. home entertainment spending in the third quarter of 2020, according to a new report from the Digital Entertainment Group (DEG).
Of the more than $7 billion that consumers spent on home entertainment in Q3 2020, SVOD subscriptions (i.e. Disney+, Netflix, HBO Max, Peacock and others) accounted for $5.515 billion. The quarterly spending on SVOD was an increase of 38.7% from Q3 2019.
However, electronic sell-through—the purchasing of content from platforms like Amazon, Vudu or others—was down in Q3. DEG reports a dip of nearly 14% from 2019, bringing in just over $600 million. In addition, VOD rentals only saw a minimal growth of 2.56% year-over-year, earning just over $459 million.
Still, in the first nine months of 2020, spending on all digital formats (SVOD, digital purchases and VOD rentals) totaled nearly $20 billion, a 34% increase over the same time period in 2019.
Year-to-date, the overall spending on home entertainment in the U.S. has surpassed $22.19 billion, 23.29% more than 2019 at this point.
For more information, visit www.degonline.com.
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