Source: Tom's Guide | Keywords: Blu, ray, players, prices | Themes: Home Theater, Digital Entertainment, Business, Audio/Video Players
Pricewatch - HD DVD players are gone for almost half a year and the victorious Blu-ray format is plugging along, but there seems to be few convincing incentives for consumers to actually make the jump to the high-def format. Average retail prices are falling and have broken through the $400 barrier. The next barrier is $300 and it seems that most companies believe that a price of or around $300 is about right at this time.
As far as prices are concerned, the death of the HD DVD format was about the worst thing that could have happened to consumers interested in buying a high-definition playback device. Even the Blu-ray camp engaged in some price-focused competition - by giving away free movies and even free players with new HDTVs. With the competition being buried and no future rival (HD movie downloads?) in sight Blu-ray has been dominating the field. Prices are coming down, albeit at a pace that tells mainstream buyers to check back in 2009.
We consulted Pricegrabber.com’s pricing data to get an overview of the current market situation. The cheapest big-brand-name Blu-ray players you can buy today is Samsung’s BD-P1400 and Sony’s BDP-S300 model with average retail prices of $330 and $333, respectively. Some retailers are offering both players for just under $300 occasionally and if you are looking for a family room Blu-ray player now, then these are the two models to look for.
It will take much more than just a new generation of Blu-ray players to drive prices into a mainstream market below $200. Our sources told us that we should not count on a $199 Blu-ray player this year. A price reduction and new entry-level model should be possible for $299 and possibly $249, but certainly not below that.
The true price erosion appears to be happening in higher price regions. For example, Panasonic’s DMP-BD30K has fallen below $400 for the first time just recently. The high-positioned BD50K has come down from more than $700 to just under $600 within the past four weeks. Sony’s BDP-S500 has also dropped from an average retail price of about $600 to below $500 in a matter of eight weeks.
Considering the current market situation, the price conscious consumer has two clear choices - either to stay with an upscaling DVD player that will cost less than a third of a new Blu-ray player, or to simply purchase a Playstation 3 (which includes a Blu-ray player), which appears to remain the best value in this segment due to its simple upgradeability and its other well-known entertainment features.
Or you can just wait a few more months and find out about Toshiba’s big DVD player secret. The company has reportedly been working on a Cell-processor powered DVD player than can deliver near-HD quality video playback from regular DVDs. The first Toshiba players should be out by the end of the year.
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Good thing BD-ROM drives are pretty damn cheap. Mine was $150 when I bought it on sale. With the 8600GT my roommate has in the HTPC, its the perfect combo. And cheap too, assuming you already have the HTPC.
Blu-ray sales are up but still a tiny trickle compared to DVD.
If Blu-ray doesn't sell well this holiday season, it is going to go down the same path as HD DVD.
High prices + low consumer interest+ bad economy= DOOM for Blu-ray.
High prices + low consumer interest+ bad economy= DOOM for Blu-ray.
To elaborate on price I do not think the cost of the players has the huge influence. Rather the cost of the actual movies. Why would I spend $30 on a Blu-Ray title when I can get the same movie for $10-15 on DVD at Walmart, the pricing difference is much worse for movies 3+ years old. Then you compound it with the fact that a DVD player with good up conversion still produces a nice picture on HD TV's. Obviously Blu-Ray is better. But the noticeable difference between VHS and DVD is not as apparent with DVD and Blu-Ray. Especially with movies not heavy in special effects. Like Spiderman in HD is awesome while Ferris Bueler's Day Off does not gain much in HD.
Personally I am waiting until I can hunt for BD in the $7 to $13 bargains at Walmart. Rarely will I spend $20+ on a new release unless the movie is awesome like Lord of the Rings or Star Wars.
@Blackened144
Did your OEM player come uncrippled? My LG came with PowerDVD Ultra 7.3 OEM and is restricted to stereo audio only - so add $80 - $100+ for new software (oh, and PowerDVD Ultra 8 drops HD DVD support in the player, so add the cost of replacing those movies).
@HTFred
I believe the same happened with the VHS to DVD transition. There was a period there where DVDs were $20 or more and VHS bargain bins had them for only $5 - and people were saying you were crazy to switch. Velocityg4 echoes precisely this sentiment (by the way, the lowest retail I've seen was a week or two ago at Best Buy for $3.99 per DVD in their bargain bin, and many sales have been at the $6.99 mark).
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Although player cost is important, they could take a lesson from the console wars - cost per title and number of titles are more enticing. If history repeats itself, in two to five years the cost will come down and BD will be the mainstream.
As for the PS3 being an option, too many mass market consumers see it as a "game machine" and that will deter them from buying it even if it is a cheaper and simpler solution. Remember, its not about reality - its about image and perception.
What about the new Magnavox player at $280? Not a "brand-name", but it seems to be getting some good reviews, and surely a good indication of cheaper brands starting to appear on the market?
These numbers are skewed by the Sharp 20, Samsung 1400 & Sony 300, all dead models long since replaced.
Sony is lucky the majority of buyers are relatively ignorant about electronics. No informed person would spend $300 on a Blue-Ray player when they could spend the same amount for a PS3 that includes Blue-Ray, gameplay, internet access and a 40 gig hard drive.