To: Rarebird who wrote (34272 ) 7/13/1998 4:35:00 PM From: John Rieman Respond to of 50808
A DVD Christmas???????????????????????????????? Dealers Dreaming Of A Digital Christmas - -July 13, 1998 By Jill Bilzi Part strategic planning, part crapshoot, the critical second half has begun, with industry retailers betting heavily that DVD players, cheaper and faster computers, home theater-in-a-box systems, projection TVs, and the Titanic video will be under consumers' Christmas trees this year. With the anticipated excitement surrounding HDTV's rollout this fall and the growing availability of DVD software, many retailers are more optimistic about the second half of 1998 than they have been in previous years. "I think we'll have a very good Christmas this year," said Bob Lawrence, executive director of Associated Volume Buyers (AVB). "This will be a Christmas where people can start giving DVD software as a stocking stuffer." Among the other items retailers expected to be on consumers' Christmas lists: Dolby Digital receivers, direct-broadcast satellite systems, MiniDisc players, higher-end "lifestyle" shelf systems, high-capacity CD players, TV/VCR combos, LCD and digital camcorders, PDAs, dishwashers, and heavy-duty vacuum cleaners with HEPA or hypoallergenic filters. While many dealers said they expect to sell HDTV-ready sets this fall primarily to early adopters, they do think the coverage of the HDTV launch will bring customers into consumer electronics stores to at least see the new technology. Once there, sticker shock from the initial HDTV-ready sets could make big-screen analog TVs a strong seller this holiday season, according to many dealers. "Once we can show a few models of HDTV and people see how expensive it is, I think we'll move a ton of other stuff," said Jon Holzgrafe, owner of Jon's Home Center in Quincy, Ill. Bill Roland, president of the 29-store American Appliance chain, based in Pennsauken, N.J., had similar thoughts. "I think the early adopters will jump on HDTV this fall," Roland said. "But I think we'll end up selling more analog TVs once the consumer sees the prices on the first models." Several retailers said analog big-screen TVs will eventually become a strong "second room" seller, with consumers opting to go from a 19-inch analog TV to a 27-inch analog TV for their bedroom. Dealers nationwide said DVD software's increased availability, particularly in large national chains such as Blockbuster, has spurred their confidence in the technology and bodes well for DVD player sales in the second half. Few were concerned that Circuit City's Divx plan would cut into the technology's popularity. "I think DVD is going to be the hottest thing this Christmas," said Michael Blumberg, senior VP at Sound Advice, the 22-store chain based in Dania, Fla. "There are all sorts of price points and more and more titles out there." Blumberg, echoing the sentiments of many other retailers, said he expects digital products in general to be extremely popular late in the second half and right through Christmas: "Anything digital is going to be red-hot. From digital TV to DVD players, digital camcorders, Dolby digital receivers - there's just a lot of great product out there." More......twice.com