CD Format Keeps Spinning, CEA Finds

By Joseph Palenchar On May 19 2003 - 6:00am

The number of homes with component CD players, headphone CD players and CD boomboxes grew in 2002 along with the household penetration rates of MP3 portables, home CD recorders and A/V receivers, according to a CEA survey of consumers.

Penetration rates could rise again in 2003, based on non-owners' intent to buy, the survey found.

Based on a February 2003 survey of 2,000 U.S. adults, household ownership of single-play component home CD players rose to 46 percent from 39 percent. Ownership of multiplay component CD players rose to 37 percent from 33 percent, headset CD penetration rose to 52 percent from 46 percent, and CD boombox ownership rose to 57 percent from 55 percent.

With the exception of CD boomboxes, these CD categories posted the biggest percentage-point ownership gains of any of the surveyed audio categories, CEA said.

The uptick in consumers reporting component-CD ownership, however, is likely the result of growing penetration of home DVD players, which are often promoted as CD/DVD players, said Sean Wargo, CEA's industry analysis director.

The penetration of various CD categories is likely to grow again in 2003, given the percentage of non-owners who expect to buy one of the CD products within a year's time, CEA said. Like last year, 10 percent of non-owners said they expect to buy a headset CD in 2003, while 9 percent expect to buy a CD boombox (down from last year's 10 percent). In addition, 6 percent expect to buy a single-disc home CD player (down from 7 percent), and 5 percent expect to buy a home CD changer, down from 6 percent.

Twenty-three percent of households report owning a CD recorder for their home stereo system, up from the previous year's 20 percent. This year, 10 percent of non-owners plan to buy a CD recorder, up from the previous year's 9 percent.

In other findings:

  • Household penetration of MP3 portables rose to 10 percent from the previous year's 7 percent. Like last year, 6 percent of non-owning households plan to get one within a year.

  • 13 percent of households own a portable MiniDisc player, and the number of households planning to buy one within a year is 3 percent. Previous-year statistics were not available.

  • Ownership of surround-sound receivers rose to 28 percent from 25 percent, and 6 percent of non-owners plan to get one within a year, down from 7 percent.

U.S. Household Penetration
Portable CD boombox57%55%+2
Portable headset CD player52%46%+6
Single-play stand-alone component CD player46%39%+7
Multi-play stand-alone component CD player37%33%+4
Home theater speaker package consisting of at least 4 speakers29%25%+4
Audio/Video receiver with surround sound processor28%25%+3
CD recorder for your stereo system to copy audio CDs23%20%+3
Portable MiniDisc player13%n/an/a
Portable MP3 player10%7%+3
Don't know/None of these14%20%-6
Source: CEA, Arlington, Va. ©TWICE 2003

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