Otago Daily Times, Nov 25, 2004

Video gives way to DVD format

VHS video rapidly losing ground

By Blair Mayston

They say video killed the radio star, but the VHS video format is itself now under attack.

With DVD (digital versatile disc) players available from only $70 now, the VHS video recorder is losing ground in the retail trenches.

A large British chain store has reportedly decided to pull VHS machines from its shelves because of low demand, but retailers contacted yesterday felt it was too early to administer the last rites to the humble video cassette recorder.

“It’s quite amazing how many VCRs we do sell, along with recordable tapes. The market’s still there at this stage,” Dick Smith Electronics Great King St manager Ricky Bray, of Dunedin, said.

The VHS market still dominated, probably because it allowed the recording of television at a lower price than DVD, he said.

DVD players can be purchased for as little as $70, and most sold in New Zealand are multizone capable so they can play discs from anywhere in the world.

DVD recorders cost upwards of $600, against about $130 for a basic video recorder.

Mr Bray believed it was too early to predict the demise of VHS.

“They said cassettes for your stereo were obsolete when the compact disc came out, but that was 10 years ago and we still sell cassette players today.”

Noel Leeming national merchandise general manager Jason Bell said DVD players and recorders accounted for about 65% of the total market now, with combination DVD and VHS machines taking another 8%.

“Eventually, we will see the death of the [VHS] video cassette recorder. But as for how far away it is, who knows?”

The company had no plans to stop selling VHS machines, he said.

However, finding new movies to play in your VCR is getting harder and harder.

Video Ezy owner Jason McIlwrath believed the days were numbered for VHS: “Already you can’t get some things on video anymore.”

Mr McIlwrath said about 70% of his total stock was DVDs, while they made up 85% of his new releases.

That was a huge jump from three years ago, when he took over the Kaikorai Valley store: at that point DVDs accounted for 10% of turnover.

Mr McIlwrath said fewer films were being released on video now, while many old films were now being released on DVD.