"e) you bought your nonname TV from Morissons/Adsa/Aldi"
That however is exactly the reason why Blu-Ray will never replace DVD. Contrary to what techno-geek readers of The Reg may buy, and even what is on sale in Currys etc, the vast vast majority of the UK public have basic TVs, many being noname cheapos, along with a £20 noname DVD player. And it does them fine.
It doesn't matter a flying fig whether the PS3 has a Blu-Ray player and the Xbox 360 does or doesn't. The audience for these two consoles is not 99% of the population. Probably not even 50% (the population does include women and OAPs after all!). However the vast majority of the population has a TV and a DVD player (and likely still a VHS machine), and it's good enough.
You could beat them over the head with a bat trying to tell them how spending £1k on a 50" TV and AV system will mean they can watch glorious Blu-Ray in high def, and even show them how amazing it is. "Oh, that's nice" they go, and return to their own world of mortgages, kids, pensions and other more important concerns and sit down to watch Celebrity Come Bloody Dancing on their 21" CRT.
The problem is here most people are blinkered to the real world.
The only real way DVDs will be replaced is if either the replacement is blindingly obviously of advantage to the consumer (e.g. like DVD was a smaller and more durable product than VHS, not that it was better quality), or if it is forced on them. You can't force Blu-Ray on people through PS3s and Xboxes.
Anyway, this is why the marketing bods at Microsoft, and it seems Toshiba (and maybe even Samsung), have realised the money isn't in distributing movies on optical discs any more. Neither may even bother much with movies in the long term anyway and concentrate on other more lucrative projects. The people who will make money in movie distribution are the likes of the satellite, cable companies and ISPs.