Marketwatch story out today ... 2 of the 10 things
Post# of 96879
http://www.marketwatch.com/story/10-things-no...2014-12-26
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UPDATE: 10 things not to buy in 2015
9:25 PM ET, 12/30/2014 - MarketWatch
By MarketWatch, MarketWatch
Yesterday's hot trend, tomorrow's buyer's remorse.
1. Cable TV
Though cable providers still have plenty of subscribers--roughly 101.7 million Americans, in 2014, according to research firm IBISWorld--those numbers are declining. The firm predicts that cable providers will lose a net of around one million subscribers for each of the next several years, reaching 97 million in 2019.
One of the reasons for this subscriber defection: Consumers are increasingly embracing (often cheaper) cable alternatives. Indeed, PricewaterhouseCoopers notes that subscriptions to cable alternatives like Netflix (up 25% over 2013), Amazon Prime (up 14%) and Hulu (up 3%)--each of which costs around $8 a month--are on the rise.
Next year, you may have more reason than ever to cut the cord, as cable TV rates are rising, even as more relatively inexpensive streaming options emerge. In 2015, research group NPD expects the average pay-TV bill (for basic and premium channels) will hit $123 a month, up from $86 in 2011.
What's more, in 2015, there will be even more streaming options to watch : In October, HBO, Univision and CBS all announced new stand-alone streaming services. "There are a lot more options out there so we don't all have to subscribe to cable anymore," says Sarah Kahn, an industry analyst for IBISWorld. -- Catey Hill
-MarketWatch; 415-439-6400; AskNewswires@dowjones.com
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5. DVDs and CDs
Compact discs and DVDs have going the way of the dodo, and streaming media will keep that trend going in 2015, experts say.
Sales of DVDs and high-definition Blu-ray discs dropped by 8% to $7.78 billion last year, and are expected to have fallen even further in 2014, according to Digital Entertainment Group, an industry trade group. Revenue for DVD rental subscriptions--from companies like Netflix(NFLX) and Red Box--plummeted 19% last year to $1.02 billion. And while digital movie purchases are playing catch-up on DVDs, revenue still soared by 47% to $1.19 billion last year.
Digital music tracks also declined for the first time in 2013, according to Nielsen SoundScan, and that slide continued throughout 2014. On-demand streaming of music rose 42% year-over-year to 70 billion songs in the first half of 2014, while digital track sales fell 13% to 594 million in the same period. Sales of compact discs dropped by 19% year-over-year to $716 million in the first half of 2014, according to by revenue in the Recording Industry Association of America, although vinyl LP sales surged 43% to $146 million in the same period. -- Quentin Fottrell
-MarketWatch; 415-439-6400; AskNewswires@dowjones.com
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