DVD, Game & Video Rental in Canada - Market Research Report (2013-2028)
New York, United States
Last Updated: September 2023
NAICS 53223CARevenue
$326.6m
Past 5-Year Growth
Profit
$XX.Xm
Employees
1,001
Businesses
371
Wages
$XX.Xm
DVD, Game & Video Rental in Canada industry analysis
DVD, game and video rental stores have been experiencing steady declines for nearly two decades, as consumers have increasingly turned to other outlets for related media. The rise of online streaming services has been an insurmountable blow for many rental shops. Streaming services often offer consumers larger libraries, lower prices and greater accessibility, leaving little room for competition. The pandemic exacerbated negative trends, resulting in hundreds of shops exiting the industry. Revenue has been declining at a CAGR of 13.3% over the past five years and is expected to reach $326.6 million in 2023 when declines will temporarily slow to an estimated 1.0%.Surviving rental shops manage typically by serving a dedicated through severe cost cutting measures and serving a niche market. The average shops halved its workforce over the past five years, with many operating as a sole proprietor. For those specializing in rare or collectible media or related products, cost cutting measures were highly beneficial, as higher income households increased spending, driving profit up for many.Conditions are unlikely to improve for video rental stores, as few opportunities exist for such shops to innovate their services and appeal to consumers. Electronic media is becoming increasingly advanced and cloud-based, eliminating the need for even electronic copies of media. As technology continues down its logical course, the need for physical DVDs and video games will become increasingly archaic. Revenue is forecast to decline at a CAGR of 4.0% over the next five years, reaching $265.7 million in 2028. However, like record stores and arcades, niche markets in select pockets of the country will keep certain shops running.
Trends and Insights
- Rental shops have experienced declines for nearly two decades. As consumers increasingly turn to streaming services and other online substitutes for related media, demand for physical DVD and video game rentals has plummeted, resulting in dwindling number of shops.
- Wealthier consumers are willing to spend more on niche items. Households with higher income account for the largest share of revenue, as many are willing to pay large prices for rare or collectible items, but finding a steady market for such products is difficult.
- Few can survive outside the major cities. With demand dwindling and marketing disappearing, shops in areas with little foot traffic have little chance of getting by. Cities are an ideal location, but the high costs can be prohibitive, leaving many with a difficult choice.
- Rental shops compete fiercely for disappearing markets. With viable markets increasingly shrinking, rental shops experience rising levels of competition between one another. Yet, as the number of shops falls further, internal competition will likely follow, as establishments become increasingly spaced out.
Industry Overview
Market size and recent performance (2013-2028)
Industry revenue has declined at a CAGR of 13.3 % over the past five years, to reach an estimated $326.6m in 2023.
Trends and Insights
Near-universal adoption of substitute technologies causes monumental loss
- DVD, video game and video rental shops have been declining for nearly two decades straight, as consumers have increasingly opted for online streaming services.
- Additional trends and insights available with purchase
Source: IBISWorld
Industry outlook (2024-2029)
Market size is projected to decline over the next five years.
Trends and Insights
Few signs point to a DVD resurgence in the near future
- With technology's current evolution, from physical media to digital media to cloud-based streaming media, the need for physical media rental services is unlikely to rebound.
Biggest companies in the DVD, Game & Video Rental in Canada
| Company | Market Share (%)
2023 | Revenue ($m)
2023 | Profit ($m)
2023 | Profit Margin (%)
2023 |
|---|---|---|---|---|
Quebecor Inc. | 3.3 | N/A | N/A | |
Blockbuster LLC | N/A | N/A | N/A | |
Rogers Video | N/A | N/A | N/A |
To view the market share and analysis for all 3 top companies in this industry, view purchase options.
Products & Services Segmentation
Source: IBISWorld
Industry revenue is measured across several distinct product and services lines, including Nonsubscription rental services , Subscription rental services and Other. Nonsubscription rental services is the largest segment of the DVD, Game & Video Rental in Canada.
Trends and Insights
Non-subscription rental services continue to dominate sales
- Non-subscription rental services include the rental of DVDs, videos and video games to customers as a one-off or infrequent transaction.
- More insights available in the full report
Widen you competitive advantage with related industries
Competitors
- Consumer Electronics Stores in Canada
- Department Stores in Canada
- Warehouse Clubs & Supercentres in Canada
Complementors
- Movie & Video Distribution in Canada
International industries
- DVD, Game & Video Rental in the US
- Video & Game Rental in the UK
Table of Contents
About this industry
Industry definition
This industry comprises operators that rent out prerecorded media such as movies, TV and video games. This industry excludes revenue generated from mail-distributed, kiosk-distributed, on-demand and online streaming rentals.
What's included in this industry?
Renting video games, both computer and consoleRenting video cassettesRenting video DVDsRenting Blu-ray discsCompanies
Quebecor Inc.Blockbuster LLCRogers VideoPurchase this report to view all 3 major companies in this industry.
Related Terms
BLU-RAYVHSPERSONAL VIDEO RECORDERON-DEMANDULTRAVIOLETIndustry Code
NAICS 532210 - DVD, Game & Video Rental in Canada
Performance
Get an indication of the industry's health through historical, current and forward-looking trends in the performance indicators that make or break businesses.
Analyst insights
Rental shops have experienced declines for nearly two decades. As consumers increasingly turn to streaming services and other online substitutes for related media, demand for...
In this chapter (4)
- Current Performance
- Outlook
- Volatility
- Life Cycle
Key metrics
- Annual Revenue, Recent Growth, Forecast, Revenue Volatility
- Number of Employees, Recent Growth, Forecast, Employees per Business, Revenue per Employee
- Number of Businesses, Recent Growth, Forecast, Employees per Business, Revenue per Business
- Total Profit, Profit Margin, Profit per Business
Charts
- Revenue, including historical (2013-2022) and forecast (2023-2028)
- Employees, including historical (2013-2022) and forecast (2023-2028)
- Businesses, including historical (2013-2022) and forecast (2023-2028)
- Profit, including historical (2013-2023)
- Industry Volatility vs. Revenue Growth
- Industry Life Cycle
Detailed analysis
- Trends in supply, demand and current events that are driving current industry performance
- Expected trends, economic factors and ongoing events that drive the industry's outlook
- Key success factors for businesses to overcome volatility
- How contribution to GDP, industry saturation, innovation, consolidation, and technology and systems influence the industry's life cycle phase.
Products and Markets
Learn about an industry's products and services, markets and trends in international trade.
Analyst insight
Wealthier consumers are willing to spend more on niche items. Households with higher income account for the largest share of revenue, as many are willing to pay large prices ...
In this chapter
- Products & Services
- Major Markets
Key metrics
- Largest market segment and value in 2023
- Product innovation level
Charts
- Products & services segmentation in 2023
- Major market segmentation in 2023
Detailed analysis
- Trends impacting the recent performance of the industry's various segments
- Innovations in the industry's product or service offering, specialization or delivery method
- Key factors that successful businesses consider in their offerings
- Buying segments and key trends influencing demand for industry products and services
Geographic Breakdown
Discover where business activity is most concentrated in an industry and the factors driving these trends to find opportunities and conduct regional benchmarking.
Analyst insights
Few can survive outside the major cities. With demand dwindling and marketing disappearing, shops in areas with little foot traffic have little chance of getting by. Cities a...
In this chapter (1)
- Business Locations
Charts
- Share of revenue, establishment, wages and employment in each province
- Share of population compared to establishments in each region in 2023
Tables
- Number and share of establishments in each province in 2023
- Number and share of revenue each province accounts for in 2023
- Number and share of wages each province accounts for in 2023
- Number and share of employees in each province in 2023
Detailed analysis
- Geographic spread of the industry across North America, and trends associated with changes in the business landscape
- Key success factors for businesses to use location to their advantage
Competitive Forces
Get data and insights on what's driving competition in an industry and the challenges industry operators and new entrants may face, with analysis built around Porter's Five Forces framework.
Analyst insights
Rental shops compete fiercely for disappearing markets. With viable markets increasingly shrinking, rental shops experience rising levels of competition between one another. ...
In this chapter (4)
- Concentration
- Barriers to Entry
- Substitutes
- Buyer & Supplier Analysis
Key metrics
- Industry concentration level
- Industry competition level and trend
- Barriers to entry level and trend
- Substitutes level and trend
- Buyer power level and trend
- Supplier power level and trend
Charts
- Market share concentration among the top 4 suppliers from 2018-2023
- Supply chain including upstream supplying industries and downstream buying industries, flow chart
Detailed analysis
- Factors impacting the industry’s level of concentration, such as business distribution, new entrants, or merger and acquisition activity.
- Key success factors for businesses to manage the competitive environment of the industry.
- Challenges that potential industry entrants face such as legal, start-up costs, differentiation, labor/capital intensity and capital expenses.
- Key success factors for potential entrants to overcome barriers to entry.
- Competitive threats from potential substitutes for the industry’s own products and services.
- Key success factors for how successful businesses can compete with substitutes.
- Advantages that buyers have to keep favorable purchasing conditions.
- Advantages that suppliers have to maintain favorable selling conditions.
- Key success factors for how businesses can navigate buyer and supplier power.
Companies
Learn about the performance of the top companies in the industry.
Analyst insights
No major players exist. Since DVD, game and video rental services are largely going out of style in favor of digital rentals, industry revenue has been plummeting for more th...
In this chapter
- Market Share Concentration
- Companies
- Company Spotlights
Charts
- Industry market share by company in 2019 through 2023
- Major companies in the industry, including market share, revenue, profit and profit margin in 2023
- Overview of Quebecor Inc.'s performance by revenue, market share and profit margin from 2017 through 2023
- Overview of Blockbuster LLC's performance by revenue, market share and profit margin from 2017 through 2023
- Overview of Rogers Video's performance by revenue, market share and profit margin from 2017 through 2023
Detailed analysis
- Description and key data for Quebecor Inc., and factors influencing its performance in the industry
- Description and key data for Blockbuster LLC, and factors influencing its performance in the industry
- Description and key data for Rogers Video, and factors influencing its performance in the industry
External Environment
Understand the demographic, economic and regulatory factors that shape how businesses in an industry perform.
Analyst insights
Regulations are mostly standard fair for retail operations. However, since DVD, game and video rental shops deal with electronic forms of media that are susceptible to illega...
In this chapter
- External Drivers
- Regulation & Policy
- Assistance
Key metrics
- Regulation & policy level and trend
- Assistance level and trend
Charts
- Regulation & Policy historical data and forecast (2013-2028)
- Assistance historical data and forecast (2013-2028)
Detailed analysis
- Demographic and macroeconomic factors influencing the industry, including Regulation & Policy and Assistance
- Major types of regulations, regulatory bodies, industry standards or specific regulations impacting requirements for industry operators
- Key governmental and non-governmental groups or policies that may provide some relief for industry operators.
Financial Benchmarks
View average costs for industry operators and compare financial data against an industry's financial benchmarks over time.
Analyst insights
Rental shops slash costs amid substantial losses. The pandemic exacerbated decade-long trends, causing revenue to plummet at an accelerated pace. In response, shop owners red...
In this chapter
- Cost Structure
- Financial Ratios
- Key Ratios
Key metrics
- Profit margin, and how it compares to the sector-wide margin
- Average wages, and how it compares to the sector-wide average wage
- Largest cost component as a percentage of revenue
- Industry average ratios for days' receivables, industry coverage and debt-to-net-worth ratio
Charts
- Average industry operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2023
- Average sector operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2023
- Investment vs. share of economy
Data tables
- Liquidity Ratios (2016-2021)
- Coverage Ratios (2016-2021)
- Leverage Ratios (2016-2021)
- Operating Ratios (2016-2021)
- Assets (2016-2021)
- Liabilities (2016-2021)
- Cash Flow & Debt Service Ratios (2013-2028)
- Revenue per Employee (2013-2028)
- Revenue per Enterprise (2013-2028)
- Employees per Establishment (2013-2028)
- Employees per Enterprise (2013-2028)
- Average Wage (2013-2028)
- Wages/Revenue (2013-2028)
- Establishments per Enterprise (2013-2028)
- IVA/Revenue (2013-2028)
- Imports/Demand (2013-2028)
- Exports/Revenue (2013-2028)
Detailed analysis
- Trends in the cost component for industry operators and their impact on industry costs and profitability
Key Statistics
Industry Data
Data Tables
Including values and annual change:
- Revenue (2013-2028)
- IVA (2013-2028)
- Establishments (2013-2028)
- Enterprises (2013-2028)
- Employment (2013-2028)
- Exports (2013-2028)
- Imports (2013-2028)
- Wages (2013-2028)
Methodology
How are IBISWorld reports created?
IBISWorld has been a leading provider of trusted industry research for over 50 years to the most successful companies worldwide. With offices in Australia, the United States, the United Kingdom, Germany and China, we are proud to have local teams of analysts that conduct research, data analysis and forecasting to produce data-driven industry reports.
Our analysts start with official, verified and publicly available sources of data to build the most accurate picture of each industry. Analysts then leverage their expertise and knowledge of the local markets to synthesize trends into digestible content for IBISWorld readers. Finally, each report is reviewed by one of IBISWorld’s editors, who provide quality assurance to ensure accuracy and readability.
IBISWorld relies on human-verified data and human-written analysis to compile each standard industry report. We do not use generative AI tools to write insights, although members can choose to leverage AI-based tools within the platform to generate additional analysis formats.
What data sources do IBISWorld analysts use?
Each industry report incorporates data and research from government databases, industry-specific sources, industry contacts, and our own proprietary database of statistics and analysis to provide balanced, independent and accurate insights.
Key data sources in Canada include:
- Statistics Canada
- Industry Canada
- Canadian Business Patterns
Analysts also use industry specific sources to complement catch-all sources, although their perspective may focus on a particular organization or representative body, rather than a clear overview of all industry operations. However, when balanced against other perspectives, industry-specific sources provide insights into industry trends.
These sources include:
- Industry and trade associations
- Industry federations or regulators
- Major industry players annual or quarterly filings
Finally, IBISWorld’s global data scientists maintain a proprietary database of macroeconomic and demand drivers, which our analysts use to help inform industry data and trends. They also maintain a database of statistics and analysis on thousands of industries, which has been built over our more than 50-year history and offers comprehensive insights into long-term trends.
How does IBISWorld forecast its data?
IBISWorld’s analysts and data scientists use the sources above to create forecasts for our proprietary datasets and industry statistics. Depending on the dataset, they may use regression analysis, multivariate analysis, time-series analysis or exponential smoothing techniques to project future data for the industry or driver. Additionally, analysts will leverage their local knowledge of industry operating and regulatory conditions to impart their best judgment on the forecast model.
IBISWorld prides itself on being a trusted, independent source of data, with over 50 years of experience building and maintaining rich datasets and forecasting tools. We are proud to be the keystone source of industry information for thousands of companies across the world.
Learn more about our methodology and data sourcing on the Help Center.
Frequently Asked Questions
Unlock comprehensive answers and precise data upon purchase. View purchase options.
What is the market size of the DVD, Game & Video Rental industry in Canada in 2024?
The market size of the DVD, Game & Video Rental industry in Canada is $326.6m in 2024.
How many businesses are there in the DVD, Game & Video Rental in Canada industry in 2023?
There are 371 businesses in the DVD, Game & Video Rental industry in Canada, which has declined at a CAGR of 6.3 % between 2018 and 2023.
Has the DVD, Game & Video Rental industry in Canada grown or declined over the past 5 years?
The market size of the DVD, Game & Video Rental industry in Canada has been declining at a CAGR of 13.3 % between 2018 and 2023.
What is the forecast growth of the DVD, Game & Video Rental industry in Canada over the next 5 years?
Over the next five years, the DVD, Game & Video Rental industry in Canada is expected to decline.
What are the biggest companies in the DVD, Game & Video Rental market in Canada?
The biggest companies operating in the DVD, Game & Video Rental market in Canada are Quebecor Inc., Blockbuster LLC and Rogers Video
What does the DVD, Game & Video Rental in Canada include?
Renting video games, both computer and console and Renting video cassettes are part of the DVD, Game & Video Rental industry.
Which companies have the highest market share in the DVD, Game & Video Rental in Canada?
The company holding the most market share in Canada is Quebecor Inc..
How competitive is the DVD, Game & Video Rental industry in Canada?
The level of competition is high and increasing in the DVD, Game & Video Rental industry in Canada.
