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Consumers Warming to Web-Enabled DVD Features


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Consumers Warming to Web-Enabled DVD Features
New Report from The Diffusion Group Examines Consumer
Interest in Web-Enabled Features for Next-Generation DVD Platforms

April 17, 2008 (Dallas, Texas) - According to a new report from TDG, consumers are warming to the idea of having web-enabled features on their next DVD player, a good sign for both studios and technology vendors looking to deliver truly interactive, customized media experiences to the home living room.

“Though there is much discussion about which CE platform is best suited to introduce next-generation web and PC-like functionality to the home entertainment center, very few platforms have the strategic legacy of the DVD player,” notes Michael Greeson, TDG President and author of the new report. “The DVD player diffused very deeply, very quickly, much more so than other types of video platforms. It has proven not only “in demand” but impossible to resist.”

It is this unique diffusion history, argues Greeson, which makes the DVD player especially suitable for introducing Internet functionality to the home TV and beyond. Competing platforms such as game consoles and PCs face significant challenges: game consoles are now experiencing a slowing of penetration growth (most purchases being replacement- or upgrade-driven versus first-time buys); PCs are still widely viewed as too complex to use for a “living room” experience. The DVD platform, on the other hand, does not face these same challenges – it’s seen as inexpensive, reliable, and very simple to use, notes Greeson. “Vendors still haven’t figured out that by adding Internet support and a few compelling web-enabled features into a mainstream living room platform like the DVD player will increase the uptake of media networking in general and particularly, TV-based Web video consumption.

Greeson does acknowledge that not just any web-enabled feature will fit the bill and that the appeal of different applications will vary by consumer segment and diffusion timeline. For example, at the present time, 37% of consumers are interested in having the ability to see updated movie previews or trailers (a benefit of the DVD player having access to a host of complimentary video stored on the web). On the other hand, new media communication features such as simultaneous IM or chat during DVD viewing was of interest to only 13% of consumers.

Consumer Receptivity to Web-Enabled DVD Features analyzes TDG's latest primary research regarding digital media behavior and preferences - in this case, consumer interest in a series of Internet-enabled features likely to be included in next-generation DVD players.

TDG selected a number of variables through which to analyze interest in these nine features including gender, age, tech-adopter status, advanced CE ownership (in this case, owning both a DVR and a home theater), and proclivity to purchase a new DVD player in the next six months. A key component of the report is a discussion of which of these factors are most strongly correlated with each feature or attribute.

 

About the Author

Michael Greeson
President and Principal Analyst

Michael covers a variety of topics related to consumer technologies with a particular focus on broadband adoption, home networks, value-added fixed and mobile services, and the future of the "connected consumer."

To date, Michael has authored or co-authored more than 50 reports on these topics, including seminal work in residential gateways and broadband diffusion. He is widely considered to be among the world's leading consumer technology and digital home analysts.

 
$2500
includes 30 minute consult with author

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This analysis evaluates consumer receptivity to nine Internet-enabled "next-generation" web-enabled features including:
 

• Accessing the newest previews or
   trailers.

• Viewing updated interviews with key
   actors in the movie.

• Accessing online fan sites related to the
   movie.

• Sharing favorite movie scenes with others
   on the Internet.

• Using IM or chat to communicate with
   other viewers.

• Downloading ringtones from the movie
   soundtrack.

• Downloading movie photos to use as
   wallpaper.

• Buying specific products featured in the
   movie.

• Downloading different language tracks
   (such as Spanish or French).


The report is available at TDG’s website or by contacting the firm at 469.287.8050.



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