RCA sales of its capacitance videodisc players and discs are off to a very slow start. Projections for 1981 have recently been revised downward from 200,000 player sales to 60,000; disc sales are two-thirds of what was projected, two million units rather than three million. The one bright note has been that those who are buying the players are buying more than twice as many discs as expected.
Six RCA videodisc titles have grossed over $1 million each: Fiddler on the Roof, The Godfather, Grease, Heaven Can Wait, Rocky, and Saturday Night Fever. The RCA sales have lagged despite a major advertising campaign and a $50 manufacturer's rebate. Some dealers are discounting the players even further in an effort to boost sales of the discs, which are priced from $15 to $25 and carry a substantial dealer mark-up. In some cities it is now possible to purchase the player for $339. Discs are occasionally discounted up to 15%.
Aimed solely at the home entertainment market, the RCA videodisc venture is stymied by the limited range of materials available on capacitance discs- currently only 174 titles. Consumers interested in video entertainment appear to prefer the flexibility offered by the videocassette recorders and players. Sales of blank videotapes for direct off the air recording are reported to be excellent.
Sales of the laser-type videodisc players manufactured by Pioneer are closer to the projection of 65,000 sales for 1981, but the buyers are institutions rather than consumers seeking a home entertainment device. The interactive nature of the Pioneer player makes it an excellent machine for training/educational applications. Disc sales for the Pioneer, and other laser-type players such as the one manufactured by Magnavox, are "terrible" according to one New York dealer.
