TV, DVD Industries Expected to Ride Out Downturn

Oct 29, 2008  •  Post A Comment

The television and DVD industries are well positioned for the economic downturn, even though consumer spending on entertainment likely will drop by 11% to 15% in the months ahead, according to a study released today by Canadian firm Solutions Research Group.
In a broad study on the impact of the economic crisis on consumers, Solutions Research Group found that while most people will scale back on attending paid music and sporting events, they’ll turn more to television shows and rented movies on DVD. For those who do go to the cinema, they likely won’t be paying a visit to the snack bar for soda and popcorn, an expensive habit in these tough times.
Services least likely to be impacted by cutbacks are home Internet services. Most consumers view Internet access as an essential utility, the study found.
But cable operators should be on the lookout for disconnects, because 39% of study respondents said cable and satellite TV are possible places to trim expenses.


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