Americans - and consumers worldwide - love their entertainment, and the content is flowing through broadband accounts, cable TV channels, Netflix subscriptions, gaming consoles, and mobile phones. In fact, according to a recent projection by the US Census Bureau (first tipped by the New York Times) the average household in the US will spend $997.07 on entertainment-related subscriptions for cable or satellite TV, gaming-related services like Xbox Live, and internet connectivity in 2010.
Actually, that figure doesn't even include mobile phones, and the surrounding cloud of texts, 3G surfing, and smartphone-related purchases. Here, the estimate is around $1,000, though the Census figure skips smartphone data plans and one-off purchases from iTunes (like songs, movies, apps, TV shows).
Either way, the yearly total is easily surging past $2,000 in the US alone. And, the recession appears to be boosting the figure - as part of broader reductions, consumers are second-guessing expensive outings, including restaurants, ball games, and high-priced concerts. In 2004, in-home entertainment expenditures averaged $770.95.
All of this introduces a serious question: why is music unable to get a substantial piece? Music subscriptions remain niche, paid downloads are flattening, CDs are tanking (perhaps another discussion entirely), and attempts to monetize the cloud (ie, Spotify) are faltering. Of course, ISP-related expenses often 'take care' of music for consumers, a dynamic that label groups are battling against. But perhaps the top-line figure offers some hope for monetization - though winning models remain elusive.
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