Video clicks on the Internet: DVD, VHS online sales to reach $1 billion milestone in '02.

Video Business, December, 2002 by Frankel, Daniel

Despite increased competition from deep-discounting mass merchants, online retailers could see fourthquarter DVD and VHS sales grow as much as 50%, bringing the retail channel to more than $1 billion in video sales for the year. While some suppliers dismiss online retail as still "a small part of the business," Internet research firm comScore Networks reports that online sales of DVD and VHS increased 37% to $639 million through the first three quarters of 2002 compared with the same period in 2001.

Meanwhile, comScore analysts expect fourth-quarter Internet sales of these products to increase 50% from the same period a year ago, when they reached $228 million. Michelle David Adams, VP of comScore, said that with the notable exception of music CDs,...

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