No change in DVD prices since 2004

Did you think your new DVDs were getting cheaper? Not really. NPD’s research shows the prices for new DVDs have been stable since 2004. The average price dropped just 6 cent, from $17.27 in 2004 to $17.21 in 2007.

Retailers don’t want to take a loss to get buyers into their store, like they used to. “There was a time when you’d see $13.99 across the board [for a new release], but now it’s more like $17.99. I think they are finding they just aren’t the draw anymore, when people would come in for DVDs and you could drive them to other areas of your business. But if you maintain the higher price, and sell less, then you’ll do OK,” one retailer said.

Consumers don’t mind the pricing either. In a survey by the NPD, 62% said DVD prices were good to excellent. Just 2% said the value was poor. $15.50 was considered the optimal price for a new DVD, while $19.61 was the highest consumers would still pay.