How Much The Average American Spends on Entertainment

According to the United States Bureau of Labor Statics, the average annual expenditures during this period were $50,486. Northeast spending was $54,918, Midwest spending was $47,846, Southern spending was $46,823 and Western spending was $55,453.

The average annual expenditures break down as follows:

Housing- 33.9 percent, or $17,115
Transportation- 17 percent, or $8,583
Food- 12.8 percent, or $6,462
Personal insurance and pensions- 11.1 percent, or $5,604
Health care- 5.9 percent, or $2,979
Entertainment- 5.6 percent, or $2,827
Apparel and services- 3.6 percent, or $1,817
Cash contributions- 3.4 percent, or $1,717
Education- 2.1 percent, or $1,060
Miscellaneous- 1.7 percent, or $858
Personal care and services-1.2%, or $606
Alcoholic beverages- 0.9 percent, or $454
Tobacco products and smoking supplies- 0.6 percent, or $303
Reading- 0.2 percent, or $101

Entertainment costs included audio and visual equipment and services; pets, toys, hobbies and playground equipment; fees and admissions; and other entertainment spending.

expenses-by-us-region

Other spending (entertainment supplies, equipment and services): 16 percent, or $454

In the Northeast: 15 percent, or $439

South: 13 percent, or $328

Midwest: 21 percent, or $574

West: 18 percent, or $610

Fees and admissions: 21 percent, or $606

Northeast: 24 percent, or $714

South: 20 percent, or $515

Midwest: 21 percent, or $574

West: 22 percent, or $721

Pets, toys, hobbies and playground equipment: 25 percent, or $707

Northeast: 24 percent, or $714

South: 24 percent, or $609

Midwest: 21 percent, or $622

West: 28 percent, or $943

Audio and visual equipment and services: 38 percent, or $454

Northeast: 37 percent, or $1,098

South: 41 percent, or $1,030

Midwest: 36 percent, or $1,005

West: 28 percent, or $1,054

Total U.S. consumer units were 120,770,000 with an average annual before tax income of $63,563 and average annual expenditures of $50,486.

Average annual before tax income in the West was $68,031 before taxes and average annual expenditures were $26,941.

This included:

Food- 12.7 percent, or $7,043

Alcoholic beverages- 0.9 percent, or $499

Housing- 35.5 percent, or $19,686

Apparel and services- 3.4 percent, or $1,885

Transportation- 15.8 percent, or $8,762

Personal care and services- 5.5 percent, or $3,050

Miscellaneous- 1.8 percent, or $998

Tobacco products and smoking supplies- 0.5 percent, or $277

Entertainment- 6.0 percent, or $3,327

Reading- 0.3 percent, or $166

Education- 1.8 percent, or $998

Cash contributions- 1.8 percent, or $998

Personal insurance and pensions- 10.9 percent, or $6,044

Average annual before tax income in the Midwest was $61,063 before taxes and average annual expenditures were $27,786.

This included:

Food- 12.5 percent, or $5,981

Alcoholic beverages- 0.9 percent, or $431

Housing- 32.5 percent, or $15,550

Apparel and services- 3.4 percent, or $1,627

Transportation- 17.6 percent, or $8,421

Personal care and services- 6.4 percent, or $3,062

Miscellaneous- 1.5 percent, or $718

Tobacco products and smoking supplies- 0.7 percent, or $335

Entertainment- 5.8 percent, or $2,775

Reading- 0.2 percent, or $96

Education- 2.2 percent, or $1,053

Cash contributions- 3.6 percent, or $1,722

Personal insurance and pensions- 11.6 percent, or $6,550

Average annual before tax income in the Northeast was $70,436 before taxes and average annual expenditures were $22,348.

This included:

Food- 12.7 percent, or $6,975

Alcoholic beverages- 0.9 percent, or $439

Housing- 32.6 percent, or $19,551

Apparel and services- 3.6 percent, or $1,977

Transportation- 18.2 percent, or $8,897

Personal care and services- 5.5 percent, or $3,020

Miscellaneous- 1.7 percent, or $934

Tobacco products and smoking supplies- 0.6 percent, or $330

Entertainment- 5.4 percent, or $2,966

Reading- 0.3 percent, or $165

Education- 2.9 percent, or $1,593

Cash contributions- 2.7 percent, or $1,483

Personal insurance and pensions- 10.9 percent, or $5,986

Average annual before tax income in the South was $58,881 before taxes and average annual expenditures were $43,696.

This included:

Food- 13 percent, or $6,087

Alcoholic beverages- 0.9 percent, or $375

Housing- 32.6 percent, or $15,264

Apparel and services- 3.8 percent, or $1,779

Transportation- 18.1 percent, or $8,476

Personal care and services- 6.1 percent, or $2,856

Miscellaneous- 1.8 percent, or $749

Tobacco products and smoking supplies- 0.7 percent, or $328

Entertainment- 5.4 percent, or $2,528

Reading- 0.2 percent, or $94

Education- 1.7 percent, or $796

Cash contributions- 3.7 percent, or $1,732

Personal insurance and pensions- 11 percent, or $5,151

Consumers have cut back their overall out-of-town entertainment spending and have found many at-home entertainment replacements. Community-based and affordable entertainment options, including movies, museums and family entertainment centers (FECs) are faring better than extreme entertainment and major tourist destinations, due to the staycation phenomenon.

Changes in Expenditures

The decline of out-of-home entertainment expenditures from 2000 to 2008, adjusted for inflation, changed by -37 percent for the lowest 20 percent of income. The change was -29 percent for the second 20 percent of income, -10 percent for the third 20 percent of income, -5 percent for the fourth 20 percent of income and there was no change in spending for those with the highest 20 percent of income.

Annual North American Cinema Box Office Ticket Sales

movie-ticket-salesWhen consumers do spend on out-of-home entertainment, they are demanding more value for their dollar. This does not necessarily mean that price is the number one determining factor. Rather, the perceived value has to be there. An illustration of this is moviegoers have been willing to pay a premium price to see quality 3D movies such as Up and Avatar.

Box Office Sales

2005: $1,376,000

2006: $1,395,000

2007: $1,400,000

2008: $1,363,000

2009: $1,421,000

U.S. Consumer Home Entertainment Rental and Sell-Through Spending (In Billions)

money-spent-videoThe following are the amount spent on video entertainment, whether through purchase or rental. VHS/UMD represents both VHS tapes and DVD videos, while BD/Hi-Def represent Blu-ray discs, and digital spending represents online viewing.

In1999, spending on VHS/UMD was $12.2, DVD spending was $1.1, BD/HI-DEF was nonexistent, and digital spending was $0.6 for a total of $13.9.

In 2000, spending on VHS/UMD was $11.4, DVD spending was $2.4, BD/HI-DEF was still zero, Digital spending was $0.7 for a total of $14.5.

In 2001, spending on VHS/UMD was $10.9, DVD spending was $5.3, Digital spending was $0.7 for a total of $16.9.

In 2002, spending on VHS/UMD was $9.6, DVD spending was $8.6, Digital spending was $0.7 for a total of $19.0.

In 2003, VHS/UMD spending was $6.9, DVD spending was $13.1, Digital spending was $0.7 for a total of $20.7.

In 2004, spending on VHS/UMD was $4.4, DVD spending was $16.7, Digital spending was $0.7 for a total of $21.8.

In 2005 VHS/UMD spending was $2.1, DVD spending was $18.9, Digital spending was $0.8 for a total of $21.7.

In 2006, spending on VHS/UMD was $0.4, DVD spending was $20.2, Digital spending was $1.0 for a total of $21.6.

In 2007, spending on VHS/UMD was $0.1, DVD spending was $19.7, BD/HI-DEF came on the scene and spending was $0.3, Digital spending was $1.3 for a total of $21.4.

In 2008, VHS/UMD spending was $0.1, DVD spending was $18.4, BD/HI-DEF was $0.9, Digital spending was $1.6 for a total of $21.0.

In 2009, spending on VHS/UMD was insignificant enough to register as zero when tallying in the billions, DVD spending was $16.4, BD/HI-DEF was $1.5, Digital spending was $2.1 for a total of $20.0.

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