Premium programming still ‘value purchase’

20/02/2009

Nearly 40 per cent of US internet-enabled households subscribe to premium entertainment services that offer DVD delivery, music downloads or video games on demand, according to a report released Wednesday by market research firm The NPD Group.

The reason, according to NPD, is that consumers today are looking for value. "For just a few dollars a month consumers can get a vastly expanded library of movies, music or gaming options," Crupnick said, "and that represents real value, especially as many consumers are economising by spending more time at home."

he firm found that 18 per cent of web households subscribe to a DVD delivery service like Netflix, while six per cent subscribe to an online music service like Rhapsody or eMusic. Satellite radio claims 12 per cent of such households, while premium gaming offerings like Xbox Live attract 12 per cent as well.