Analyst Says PVOD Likely to Persist After Stay-at-Home Orders Lifted

Premium VOD as a distribution concept may continue to stick around even after stay-at-home orders are lifted, wrote Colin Dixon, chief analyst and founder of nScreenMedia.

“People love the idea of an accelerated digital release for first-run movies,” he wrote. “Comcast/NBCU hopes the premium VOD (PVOD) approach will become permanent. With theaters likely to remain closed for longer than the industry would like, both groups may see PVOD persist for months to come.”

Citing data from Hub Entertainment Research, he wrote that 74% of respondents were very or somewhat interested in seeing new movies at home at the same price as viewing them in the theaters.

He also noted that attracting audiences back to theaters may be difficult.

“The idea that audiences will flock back to theaters once shelter-in-place orders are lifted is looking increasingly unlikely,” he wrote. “Movie theaters will be among the last to receive the green light to open their doors since they are non-essential and put people at increased risk of catching the virus. What’s more, it will take a while for audiences to feel comfortable sitting with a group of strangers for two hours.”

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