To: Stoctrash who wrote (27100 ) 12/26/1997 2:55:00 PM From: John Rieman Respond to of 50808
Manufacturers Need to Raise DVD's Visibility; Consumer Awareness Is Less than 30 Percent.............................................ijumpstart.com DVD hardware and content companies need to raise the profile of their products if they expect to generate the kind of mass market sales that will make the technology as common in homes as the VCR. ASeptember study of 1,900 households in the United States conducted by the Yankee Group indicated that only 28.3 percent of consumers are even aware of DVD. "What surprised me is the awareness remains this low despite the negative publicity," said James Penhune, the group program manager who organized the study, referring to the format battles that predated the technology's launch. Mixed Blessing Consumers' DVD Awareness Yes No Have you heard of DVD? 28.3% 71.7% How likely are you to buy a DVD Player? Very likely 1.8% 0.5% Somewhat likely 11.1% 3.1% Source: Yankee Group But the lack of awareness may work in vendors' favor because at least they won't have to combat fears about the platform's compatibility with other media. Penhune isn't sure if DVD's low visibility ultimately will prove a positive or a negative for vendors. Of those people who knew about DVD, 1.8 percent said they were very likely to purchase a player and 11.1 percent said they were somewhat likely to buy one. The study also surveyed consumers' about Digital TV. Sixty five percent of respondents said they were aware of it, despite the fact that the technology won't be available until late next year at the earliest. "I think a certain part of that is misconceptions or phantom awareness," Penhune said. "There's been a lot of publicity attached to the issue of spectrum. If you look at the advertising of the DBS services, a lot say they have digital capabilities. There's tons of confusion," he said. (Yankee Group, 617/956-5000.)