Turnover in the German home entertainment market has more than doubled since 1999, when DVDs firstregistered significant business in Germany, according to figures compiled byGfK Panel Services Consumer Research for the video trade association BVV.

Revenues from sell-throughand rental videos and DVDs increased by 103% from 1999’s Euros 860m to a recordresult in 2004 of Euros 1.747 bn (which was 96% more than last year’s highlysuccessful theatrical box-office of Euros 893m).

GfK’s statistics showed thatthe number of DVDs or videos sold passed the 100m units threshold for the firsttime last year, with a total of 103.1m. 90m ofthese were DVDs - up 41% from 2003’s 64m -, while the decline of the VHSsell-through cassette continued -falling 38% from 2003’s 21m to 13m units.

Revenues from sell-throughDVDs and cassettes rose by 15% from 2003’s Euros 1.253 bn to Euros 1.440 bn,with the lion’s share of 92% (Euros 1.323 bn) chalked up by DVDs and only 8%(Euros 117m) posted by sales on cassettes.

After a period ofconsolidation and stabilisation and against the background of film piracy, therental sector managed to reverse the downward trend of recent years with a 1.4%increase in turnover (to Euros 306.4m) and a 2.3% rise in the number of rentaltransactions (to 116.2m). (In 2003, there had been a 15.4% year-on-yeardecrease in rental transactions compared to 2002)