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Tesco loses top spot in entertainment market to Amazon

New figures have revealed that Tesco’s share of the entertainment market dropped from 20.6% in the 12 weeks between June and September 2013 to 15.1% in the same period in 2014.


Tesco loses top spot in entertainment market to Amazon

This means that the supermarket has now lost the top spot to Amazon which has increased its share from 17.6% to 22.5%.

Fiona Keenan, strategic insight director at Kantar Worldpanel, said: “Amazon has continued to push forward and is enjoying its highest ever share since taking 25% of the market in the last quarter of 2013.  This success bodes well for its Christmas performance where it will be trying to capture spend from the 18.6 million consumers who will be shopping for entertainment products in the run up to the festive season.”

Keenan puts Amazon’s success down to a general shift towards online shopping within the entertainment sector.  In addition, Amazon’s range of Fire tablets has given it another platform to promote its offering directly to consumers.

Kantar found that supermarkets felt the effect of a quieter year.  All of the grocers lost market share compared with the same period last year, with the effect of their strong sales performance of Grand Theft Auto V in 2013 a key part of this.  The supermarkets accounted for 53% of the blockbuster game’s sales and without its success their share of the games market this year has halved. 

Keenan added: “Despite aggressive pricing strategies on this year’s smash hit game, Destiny, the supermarkets have been unable to take back share.  Leading video games retailers Amazon and GAME have performed strongly selling 54% of Destiny copies.  The supermarkets haven’t also been helped by increased competition from Argos, which has maintained its impressive performance in the video games sector, posting an 8.6% share, pushing it ahead of Asda for the first time ever.”  

Meanwhile, the Kantar figures show that the DVD and Blu-ray video market is the only physical entertainment market to have grown - up 3% despite a decline in volumes sold - thanks to high value new release films such as The LEGO Movie, and popular box sets like Game of Thrones.


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