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US home cinema market dominated by Sony thanks to its strong reputation

Industry Sector



6 November 2012


Mike King

Type of News


The US home cinema market has been forecast to see volume and constant value sales fall by 4% and 5% annually through to 2016, with consumers increasingly turning to computers and other portable devices for their leisure time, meaning smaller and portable devices may become the preferred method of consumption.

The home cinema market refers to home entertainment systems that seek to reproduce a movie theatre experience and mood, with the help of video and audio equipment in or outside a private home.

Stores are selling more big-screen TVs and projectors for movies and games, creating a boom in sales of home theatre furniture, a surprising bright spot for the hard-hit furniture business. Revenue from sales of projectors for movies and games was expected to increase from $406 million in 2010 to $421 million last year, said the Consumer Electronics Association (CEA).

In 2011 Sony Corp of America was able to maintain its significant lead in the US home cinema market. Despite a consistent slide over the past five years, its 32% volume share in 2011 puts it safely out of reach of second-ranked Panasonic Corp of North America. Despite higher-than-average prices, customers are willing to pay Sony's premiums, due perhaps to the company's strong brand equity and reputation for quality and reliability.

The home cinema sector looks set to benefit from a new agreement which will see SIM2 projectoHome Cinemars sold as a supplement to Bang & Olufsen products. The new agreement between the two heavyweights will see SIM2 projectors available for sale at Bang & Olufsen's 900 stores located across the globe.

The DLP-based projector models from the SIM2 Multimedia range will be on sale alongside other product offerings, with both firms telling CEPro that the new partnership would 'create a wider product offer and a cutting edge marketing proposal, to meet the growing requirements of the demanding customers for the home entertainment.

For more information on the US home cinema market, see the latest research: US Home Cinema Market

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