video store 88.
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Video and DVD rentals are expected to soar ahead of Yom Kippur when Israeli television and cable broadcasting channels don't operate providing a boost for the movie rentals market, which has been hit hard by the rising availability of video-on-demand services and movie downloads available via the Internet.
Yet, despite the continuous sharp decline over recent years, Business Data Israel expects video and DVD retailers to receive a significant boost with rentals anticipated to soar 15 percent in the days leading up to Yom Kippur.
The Blockbuster chain said it expects 320,000 rentals for Yom Kippur reflecting a 20% increase over the same period last year. The average family rents four to five movies for the holiday.
Movie rentals, in particular movies for children, also rise sharply ahead of Pessah and Hannukah, when children are at home for the holidays.
According to research conducted by BDI, movie rentals dropped by over 20% in 2006 compared with 2005, while in 2005 rentals fell by 15%.
The drop in the movie library market was attributed by BDI economists to the emergence of more convenient and cheaper alternatives such as direct movie downloads over the Internet, ordering a movie via the cable company or the usage of VOD systems.
Conversely, economists at BDI found that in recent years the number of movies (DVD and video) sold increased by 10% to 15% every year, while the purchase price fell 10% yearby-year.
Leading categories in the movie sales market include children and teenager movies, which make up 30% of the sales market, movie compilations, popular television series and movies that contain nostalgic footage.