‘Lucifer’ Maintains No. 1 Spot on Parrot Analytics Digital Originals Chart

Netflix’s revival of “Lucifer” held onto the top spot on Parrot Analytics’ digital originals rankings the week ended May 18.

“Lucifer,” adapted from the DC Comics Sandman comic book, registered 57.4 million average daily Demand Expressions, the proprietary metric used by Parrot Analytics to measure global demand for TV content. According to Parrot, “Lucifer” grew 17% in expressions compared with the previous week, when it had 49 million.

YouTube Premium’s “Cobra Kai,” a sequel to 1984’s The Karate Kid, remained at No. 2, registering 34.6 million expressions, down 16.5% from the previous week.

Netflix’s “Stranger Things” jumped to No. 3 for the week with 33.6 million expressions, up 19% from the previous week, when it ranked fifth.

DC Universe’s “Titans,” remained at No. 4 with 30.8 million expressions, down 3% from the previous week.

Another DC Universe series, “Doom Patrol,” dropped to the No. 5 spot with 28.7 million expressions, down 7.7% from a week earlier.

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The Demand Expressions metric draws from a wide variety of data sources, including video streaming, social media activity, photo sharing, blogging, commenting on fan and critic rating platforms, and downloading and streaming via peer-to-peer protocols and file sharing sites.

A “digital original” is a multi-episode series in which the most recent season was first made available on a streaming platform such as Netflix, Amazon Prime Video or Hulu.

By comparison, the biggest TV show of any kind for the week was HBO’s “Game of Thrones,” which drew 617.7 million expressions in the lead-up to its series finale. CBS’s “The Big Bang Theory” was No. 3 with 65.8 million expressions, pushed by its May 16 series finale.

“Lucifer” was again the No. 6 overall show in expressions for the week.

Media Play News has teamed with Parrot Analytics to provide readers with a weekly top 10 of the most popular digital original TV series in the United States, based on the firm’s  proprietary metric called Demand Expressions, which measures global demand for TV content through a wide variety of data sources, including video streaming, social media activity, photo sharing, blogging, commenting on fan and critic rating platforms, and downloading and streaming via peer-to-peer protocols and file sharing sites.

Video Streaming Widens Appeal Over Pay-TV Among Telecom Customers

Video streaming expanded its lead over subscription TV service in terms of customer satisfaction, rising to a score of 76 on the American Customer Satisfaction Index’s 100-point scale.

According to the ACSI Telecommunications Report 2018-2019, subscription TV service stagnated at 62, tied with internet service providers for last place among all industries tracked by the ACSI — subscription TV, ISPs, fixed-line telephone service, video-on-demand service and video streaming service.

Video streaming topped all industries tracked.

“Video streaming once again proves itself to be the best of the telecom industries in customer satisfaction,” said David VanAmburg, managing director at the ACSI. “Traditional telecom providers have tried to step up their game, but they’re not providing original content the way video streaming is, and in part they suffer guilt by association — if customers aren’t satisfied overall with Comcast, they’re probably going to ding Comcast’s on-demand service too.”

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Among video streaming services, Netflix secured first place at 79 after sharing the lead with Sony’s PlayStation Vue and Amazon Twitch the previous year. Netflix ranked at the top for original content among all streaming services, according to the ACSI. Sony’s PlayStation Vue landed in second place at 78, followed by the Microsoft Store at 77. Hulu stepped up to match Amazon Prime Video and Apple iTunes at 76. Five services clustered at 75: CBS All Access, Google Play, Amazon’s gaming platform Twitch, Walmart’s Vudu and Google’s YouTube. Dish Network’s Sling TV was the most improved, meeting HBO at 74. Starz matched the combined score of smaller platforms at 72, while Showtime followed close behind at 71. AT&T’s DirecTV Now fell to 69, ahead of only Sony Crackle, which remained unchanged at 68.

For the past six years, customer satisfaction with subscription TV has languished in the mid-to-low 60s, according to the study. AT&T’s U-verse TV held the lead for subscription TV at 69, followed by Verizon’s Fios at 68 and Dish Network at 67. AT&T’s satellite TV service DirecTV came in at 66, Altice’s Optimum tallied 61, and Charter’s Spectrum came in at 59 to tie with Cox Communications. Frontier Communications and Comcast’s Xfinity came in at 57. Mediacom followed closely at 56. Altice’s Suddenlink tumbles to the bottom of the category at 55.

Customer satisfaction with video-on-demand service slipped to an ACSI score of 67 as viewers continue to turn toward streaming services such as Netflix and Hulu, according to the study. AT&T’s U-verse TV service held the lead a year ago, but this year shared the top spot with Verizon’s Fios at a score of 72. Satellite provider Dish Network dropped to 71 but remained just ahead of DirecTV, unchanged at 70. Frontier Communications debuted in the category with a score of 67, in line with the industry average. Three decliners met at 66: Cox Communications, Altice’s Optimum and Comcast’s Xfinity. Charter’s Spectrum remains unchanged at the bottom of the category with a 64.

Unchanged at a score of 62, ISPs remain at the bottom of the ACSI rankings. Most ISPs are still falling short of providing good service at an affordable price, according to the ACSI release. Verizon’s Fios was stable at the top of the category with an ACSI score of 70, but AT&T Internet closed in at 69. Altice’s Optimum fell to 63 but remained the leader among coaxial providers. Meanwhile, Comcast’s Xfinity inched closer to the industry average at 61. Cox Communications tallied 60, tying Altice’s Suddenlink. Charter’s Spectrum and CenturyLink came in at 59.

Study: U.S. SVOD Buyers Average 3.4 Services

Online video subscribers in the United States average 3.4 streaming services and pay an average of $8.53 per month per service, according to a new study.

The nScreenMedia study, “Keep My Customer — Why Consumers Subscribe To, Stay With, Cancel, and Come Back to Online Video Services,” also found that 70% of households in the United States and 40% of U.K. homes have a subscription to at least one streaming video service.

The study was commissioned by Vindicia, an Amdocs company providing business-to-consumer digital services monetization.

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Involuntary cancellation is a problem for the industry, according to the study. These payment failures occur when a credit card problem, such as insufficient funds, results in automatic cancellation of a customer. The study revealed that more than a quarter of U.S. and a third of U.K. online video streamers have had a SVOD service canceled due to a credit card problem. And of those groups, 30% did not return to the service.

“Involuntary cancellations are a huge problem for the SVOD industry, particularly among young subscribers,” said study author Colin Dixon, founder and chief analyst at nScreenMedia, in a statement. “Young adults from 18 to 34 years old are twice as likely to have experienced involuntary cancellation in the U.K., and three times more likely in the U.S.”

“For video streaming services, the ability to acquire and retain subscribers is vital to their success,” said Anthony Goonetilleke, group president, media, network and technology, Amdocs, in a statement. “However, streaming services are losing subscribers — and millions of dollars in annual revenue — due to involuntary credit card cancellations. This kind of customer churn is largely preventable. By leveraging the right technology, video streaming providers can recover failed payment transactions and capture revenue that would otherwise be lost, enabling them to better compete in a highly competitive market.”

In terms of overall cancellations, the survey looked at how often people cancel their service and their reasons for doing so. In the United States, 38% of the survey group said they have canceled one or more services in the last year. Of that group, two-thirds said they had canceled one service only, and just one in 10 have canceled three or more services.

Netflix users are slightly less likely than average to have canceled service in the last year, according to the study, while Hulu users are slightly more likely. Amazon Prime Video users are no more or less likely than average.

The top two reasons cited for canceling a video service: people couldn’t find enough content they liked and didn’t find the service a good value for their money.

Previous customers are the best new prospects, as the study found that 33% of U.S. and 25% of U.K. cancellers have been persuaded to sign up for service again.

Discounted subscriptions are an under-exploited opportunity for service providers to win new customers. The survey revealed that a 20% discount for a three-month commitment generated the highest interest level, with 66% of U.S. and 57% of U.K. subscribers saying they were likely or extremely likely to take the offer. Three months is an important milestone, because subscribers that stay this long are much less likely to leave the service. Surprisingly, the study found that offering more than a 20% discount did not result in more interest.

The study also found that free-trial abuse is not a serious problem for online video service providers. While 49% of U.S. and 62% of U.K. online video subscribers have canceled at least one service within the free trial period, only 5% in the U.S. and 2% in the U.K. have canceled within the free-trial period four or more times in the last year.

When it comes to retaining existing subscribers, content is king. The study found that 64% of U.S. subscribers and 55% of U.K. subscribers have been with their longest-tenured service for one year or more. When asked why they stay, respondents said having plenty of interesting content to watch was the top reason. Value for money was a close second place, and ease of finding something good to watch came in third. Interesting original content was the fourth reason, while providing plenty of new shows took the fifth-place spot.

Meanwhile, Amazon’s expanding influence in the VOD market is evident. The study found that one-third of U.K. and U.S. Prime Video subscribers have purchased an add-on video service, with higher income individuals more likely to use Amazon Prime Video and to purchase an add-on. In the United States, the most popular video add-ons are premium services such as HBO, Starz, Showtime and Cinemax. CBS All Access is also very popular. In the United Kingdom, the most popular video add-ons are Eurosport Player, Discovery, ITV Hub+ and FilmBox.

To learn more about the nScreenMedia study or to download a copy, visit here.

Disney Outranks Netflix and Amazon Prime in Brand Study

Disney ranked No. 1 followed by Amazon Prime and Netflix in the media and entertainment industry portion of MBLM’s Brand Intimacy 2019 Study.

The study is the largest study of brands based on emotions, according to the company.

Disney rose in the ranking from fifth overall in the 2018 study to first this year.

The remaining brands in the Top 10 for the media & entertainment industry were, in order, PlayStation, YouTube, Xbox, Nintendo, Hulu, HBO and WWE.

MBLM defines Brand Intimacy as “the emotional science that measures the bonds we form with the brands we use and love.” Top intimate brands in the U.S. continued to significantly outperform the top brands in the Fortune 500 and S&P indices in both revenue and profit over the past 10 years, according to the study.

“Media & entertainment continues to be our most intimate industry,” Mario Natarelli, managing partner of MBLM, said in a statement. “The need to escape reality, consume content on demand, and lose ourselves in stories is a powerful combination of factors. Disney is leveraging its nostalgic associations to cultivate stronger bonds with customers. It has also improved its performance with men, while continuing to innovate and expand its offerings.”

Additional findings in the media and entertainment industry were:

  • Disney was the No. 1 brand with both men and women as well respondents aged 45-64;
  • Disney was also the top brand for people making over $100,000;
  • YouTube ranked first for millennials;
  • YouTube also ranked first for those making $35,000-$50,000; and
  • Media and entertainment was also the No. 1 industry for millennials.

The Brand Intimacy 2019 Study is based on the responses of 6,200 consumers and 56,000 brand evaluations across 15 industries in the United States, Mexico and the UAE. To view the media & entertainment industry findings, please click here. To download the full Brand Intimacy 2019 Study or explore the Data Dashboard click here.

Amazon Ups Q4 Online Sales 13% to $39.8 Billion

Amazon Jan. 31 said it increased fourth-quarter (ended Dec. 31, 2018) online sales 13% to $39.8 billion from $35.3 billion during the previous-year period. Online sales include media products sold in physical (DVD/Blu-ray Disc) and digital formats, including books, games, videos and software.

Subscription revenue, which includes Prime (and Prime Video) memberships, audiobooks, e-books, digital music and other non-Amazon Web Services revenue, increased 25% to $3.95 billion, compared to $3.17 billion last year.

Other home entertainment highlights in the quarter included the launch of IMDb Freedive, an ad-supported VOD channel available in the U.S. on the IMDb website via laptop or personal computer and on all Fire TV devices.

Prime Video became available on Comcast’s Xfinity X1 in the U.S., giving Prime members with Xfinity access to thousands of additional premium shows and movies online. Additionally, Amazon launched NBA League Pass and PGA Tour Live on Prime Video Channels.

Prime members can now stream out-of-market NBA games live or on-demand with a subscription to NBA League Pass for $28.99/month or $169.99 for a Season Pass. Prime members in the U.S. can also subscribe to PGA Tour Live to watch live coverage across 28 PGA tournaments per year for $9.99/month or $64.99 per season.

Amazon Studios’ Cold War was recognized for three Academy Award nominations – Best Foreign Language Film, Best Director for Pawel Pawlikowski, and Best Cinematography for Lukasz Zal.

Amazon Studios was recognized with 10 Golden Globe Awards nominations and two wins: Rachel Brosnahan won Best Actress in a Television Series – Comedy or Musical for her performance in “The Marvelous Mrs. Maisel” for the second year in a row and Ben Whishaw won Best Supporting Actor in a Series, Limited Series, or Motion Picture Made for Television for his role in “A Very English Scandal.”

Prime Video Original Series, “Inside Edge” became the first Indian show from a video streaming service to be nominated for the International Emmy Awards.

Prime Video introduced localized Hindi, Tamil, and Telugu language user interfaces in India. Prime members can now stream movies titles and original series with a Hindi, Tamil, or Telugu user interface, including search, navigation, browse, and customer support.

 

Report: Amazon Prime Has 101 Million Members in the U.S.

Amazon reportedly has more than 101 million subscribers in the United States, suggesting that its Prime Video unit exceeds Netflix’s 57 million domestic subs by 77%.

As of Dec. 31, 2018, Consumer Intelligence Research Partners estimates that in the U.S., 62% of Amazon customers are Prime members. Based on this estimate, the Chicago-based research firm estimates that Amazon Prime has 101 million members nationwide.

Amazon last disclosed its Prime membership – which costs $113 annually and includes free two-day shipping, Prime Music, Audible audio books and Prime Video – in April at 100 million worldwide.

CIRP also said Prime members spend on average about $1,400 per year, compared to about $600 per year for non-Prime members.

“[Amazon] membership growth has slowed, but continued steadily in the holiday quarter. US membership grew 10% in the past year, slower than before, but still significant on a huge base and after years of rapid growth,” Josh Lowitz, co-founder of CIRP, said in a statement. “Membership doubled in three years, and almost quadrupled in five years, from 26 million members in December 2013.”

 

SVOD Contenders Score Big at 2019 Golden Globes

TV shows and movies from subscription streaming services made a big showing at the 76th annual Golden Globe Awards, presented by the Hollywood Foreign Press Association Jan. 6.

Programming available through SVOD services won a total of seven trophies, with two each coming from Netflix’s Roma and “The Kominsky Method.”

Roma won for Best Foreign-Language Film (representing Mexico) and Best Director for Alfonso Cuarón. Netflix has been pushing the film’s awards chances through a limited theatrical release in addition to its availability through the service.

Meanwhile, Netflix’s “The Kominsky Method” won Best TV Series — Musical or Comedy and Best Actor in a TV Series — Musical or Comedy for Michael Douglas.

BBC’s “Bodyguard,” available through Netflix in the United States, won Best Actor in a Television Series — Drama for Richard Madden.

Amazon Video’s “The Marvelous Mrs. Maisel” won Best Actress in a TV Series — Musical or Comedy for Rachel Brosnahan. And the BBC’s A Very English Scandal, available through Amazon in America, won Best Supporting Actor in a Series, Miniseries or Television Film for Ben Whishaw.

Universal’s Green Book led all winners with three trophies, including Best Motion Picture — Musical or Comedy, Best Supporting Actor in a Motion Picture for Mahershala Ali, and Best Screenplay.

Bohemian Rhapsody won Best Motion Picture — Drama and Best Actor in a Motion Picture — Drama for Rami Malek. Fox releases the musical biopic digitally Jan. 22, followed by a Feb. 12 release on DVD, Blu-ray Disc and 4K Ultra HD Blu-ray.

The Wife won Best Actress in a Motion Picture — Drama for Glenn Close. Sony Pictures releases the film digitally Jan. 22, and on Blu-ray and DVD Jan. 29.

Sony’s Spider-Man: Into the Spider-Verse won Best Animated Feature Film.

Warner’s A Star Is Born, due digitally Jan. 15, and on Blu-ray, DVD and 4K Ultra HD Blu-ray Blu-ray Feb. 19, won Best Original Song for “Shallow.”

The Neil Armstrong biopic First Man won Best Original Score for Justin Hurwitz. The film is due on digital Jan. 8, and on Blu-ray, DVD and 4K Ultra HD Blu-ray Jan. 22 from Universal Pictures.

Fox’s The Favourite won Best Actress in a Motion Picture — Musical or Comedy for Olivia Colman, while Annapurna’s Vice won Best Actor in a Motion Picture — Musical or Comedy for Christian Bale, and If Beal Street Could Talk won Best Supporting Actress in a Motion Picture for Regina King.

In the TV categories, FX’s “The Americans” won Best Television Series — Drama. All six seasons are available on DVD from Fox.

FX’s The Assassination of Gianni Versace: American Crime Story won Best Miniseries or Television Film and Best Actor in a Miniseries or TV Film for Darren Criss. The miniseries will be available on Netflix starting Jan. 17.

The BBC’s “Killing Eve” won Best Actress in a Television Series — Drama for Sandra Oh. The first season is now available on DVD and Blu-ray; season two arrives April 7 on BBC America.

HBO’s Sharp Objects, available now on Blu-ray and DVD, won Best Supporting Actress in a Series, Miniseries or TV Film for Patricia Clarkson.

Showtime’s Escape at Dannemora won Best Actress in a Series, Miniseries or TV Film for Patricia Arquette.

2018: Getting Along in a Multi-Platform World

Back in 1989, a State Department official named Francis Fukuyama wrote a controversial essay on the “end of history,” opining that the collapse of the Soviet Union and Eastern bloc communism, the reform movement in China, and the reunification of Germany signaled a triumph for Western democracy and a very real promise of freedom and liberty for all.

Fukuyama’s vision of a global utopia didn’t last long, but for a brief moment in time cultural and political differences seemed to be set aside in favor of everyone working together to make the world a better place.

Similarly, in 2018 the various factions in home entertainment seemed to set aside their differences and recognize that we’re living in a multi-platform world — and that a peaceful coexistence between disc and digital, subscription and transactional, was, indeed, possible.

“2018 saw the continued integration of technology and content at an even more accelerated pace, and, with that, the opportunity to engage fans with more focused and meaningful experiences that extend the life of our film and television properties,” said Keith Feldman, president of worldwide home entertainment for 20th Century Fox.

Indeed, studios cut back on selling content to Netflix — most notably Disney, which pulled all its movies off the service by the end of the year — in favor of issuing it on their own platforms. They rallied behind Movies Anywhere, a digital movie storage “locker” launched in October 2017, and saw digital movie sales soar, with an 18% gain reported in the third quarter of 2018, according to DEG: The Digital Entertainment Group numbers.

Netflix, meanwhile, vowed to spend $8 billion in 2018 on producing its own shows, with the goal of making its content library 50% original.

Studios that once sued Redbox for renting DVDs and Blu-ray Discs, claiming the kiosk vendor was cannibalizing disc sales, struck distribution deals in which prior holdbacks were either sharply cut back or eliminated. They also rallied behind Redbox On Demand, a digital movie store launched in December 2017.

On the retail front, big-box chains like Best Buy and Walmart put discs back into the spotlight, buoyed by the emergence of 4K Ultra HD Blu-ray.

And digital retailers like FandangoNow and Google Play revved up their promotional muscle and pumped up the message that they had fresh movies for sale or rent. FandangoNow even put up a notice on its home page, touting the fact that it offers “New releases not on Netflix, Hulu or Amazon Prime subscriptions.”

It was all part of a bigger picture, in a year dominated by major media mergers — AT&T buying Time Warner, Disney buying 20th Century Fox — suggesting it was high time to come together and restructure existing business models to reflect changing consumer habits.

Content, as always, was king, but the feuding fiefdoms of the past were at last coming to peace with each other — and with themselves.

Subscription streaming continued to dominate the home entertainment business in 2018. Indeed, in the first nine months of this year, according to DEG: The Digital Entertainment Group, consumer spending on Netflix and other subscription streaming services rose more than 30% to $9.4 billion, nearly $2 billion more than consumers spent on all other forms of home entertainment combined– disc purchases ($2.79 billion) and rentals ($1.37 billion); digital purchases, or electronic sellthrough (EST, $1.8 billion),  and digital rentals, or transactional video-on-demand (TVOD, $1.57 billion).

But where Hollywood once saw a threat, in 2018 the studios saw an opportunity. As consumers, thanks to streaming, became increasingly accustomed to viewing movies and other content electronically, studios focused on moving them toward on-demand digital purchases or rentals — driving home the message that new releases aren’t typically available through subscriptions.

“Our comprehensive and strategic efforts to drive digital ownership and bolster engagement such as leveraging the early window, offering exclusive extras and emphasizing the best viewing experience possible are proving to be very effective as consumers continue to move toward and embrace the digital experience,” said Chris Oldre, EVP of pay TV, digital and international distribution at Walt Disney Direct-to-Consumer and International.

“Movies Anywhere has had a tremendous impact on transforming digital consumption and is a testament to the strength of the studios and digital retailers that have joined forces on an unprecedented scale. This year Disney once again experienced remarkable growth as our digital sales exceeded expectations in conjunction with the studio’s unrivaled box office success. Disney has the top three bestselling digital titles to date with Avengers: Infinity War, Black Panther and Thor: Ragnarok. We’re also incredibly proud of our celebration of Marvel’s 10-year anniversary this year.  We promoted the Marvel Cinematic Universe home entertainment catalog with a special sales promotion across digital, which undoubtedly helped propel Avengers: Infinity War to the No. 1 live-action spot on the all-time digital sales chart in a record-setting period.”

Ron Schwartz, president of Lionsgate Worldwide Home Entertainment, said that as consumer habits evolve, digital movie sales and rentals – electronic sellthrough (EST) and transactional video-on-demand (TVOD) — remain a priority. “We saw a significant increase in industry spending in this area in 2018, up 20%, and we will continue to collaborate with our retail partners on fresh ideas to keep consumer interest alive,” he said. “We see a large and growing market with multi-platform and specialty releases and will continue to build our leadership in this area.”

At the same time, Schwartz notes, “Disc sales remain robust … 4K UHD BD is rapidly gaining in popularity, as spend is on track to double this year versus last. We are committed to serving our audiences across the full spectrum of the digital   and physical business and we will continue to be a first mover in adapting these businesses as they continue to evolve.”

For Bob Buchi, president of worldwide home media distribution at Paramount Pictures, 2018 was the year of 4K.

“More than 42 million homes now have a 4K Ultra HD television and roughly 400 titles are available on 4K Ultra HD Blu-ray Disc and over 600 on Digital 4K,” Buchi said. “The numbers keep growing and for good reason: 4K brings home entertainment to life like never before, delivering content that better represents filmmakers’ original vision.  We’ve seen this play out with the week one 4K sales of Mission: Impossible — Fallout, which delivered our highest number of UHD discs sold, as well as the highest percentage of our physical sales ever.”

Disney’s Oldre agrees. “4K Ultra HD is a robust line of business for us and we’re experiencing healthy growth,” he said. “We continue to receive solid support from our physical retail partners and are confident it’s a market that our customers will continue to embrace given the format’s premier resolution.”

Catalog sales were another bright spot in 2018, Buchi said. “We’ve seen our digital catalog sales growing in markets around the world, including a 35% increase domestically through October, which indicates that more and more consumers have become comfortable with the format and are returning to the concept of building collections.  In addition, physical catalog sales have exceeded our expectations, as we continue to make concerted efforts to celebrate anniversaries of classic titles and strategically promote films from our library.”

Retailers certainly did their part in pushing the transactional business. At Best Buy and Walmart, the emergence of 4K Ultra HD Blu-ray led to bigger disc sections and, in the case of Best Buy, placement back in the center of the store.

Redbox in 2018 relaunched its brand, which included some major ad campaigns and sponsorships, including the Redbox Bowl college football game on New Year’s Eve at Levi’s Stadium in Santa Clara, Calif. The company also revamped its loyalty program; negotiated more favorable distribution deals with studios; and expanded the availability of previously rented movies and video games at kiosks.

The Redbox On Demand digital service, meanwhile, celebrated its first birthday in December with a new app on Vizio SmartCast TVs. The company also expanded its selection to 12,000 titles, from 7,000 at launch. CEO Galen Smith in December told Media Play News that Redbox On Demand has “surpassed major milestones to become a real player in the competitive digital home entertainment space. We’re seeing hundreds of thousands of customers, including bringing back folks we haven’t seen in a while.”

FandangoNow, a business unit of movie-ticket seller Fandango, struck deals with most major studios that allow it to package movie rentals into “binge bundles” that let consumers watch multiple movies at a lower price. The new offering launched on the Labor Day weekend with more than 100 bundles.

FandangoNow also cross-promotes digital movie sales and rentals with ticket sales. In December, just before the holidays, consumers who spent $20 on FandangoNow received $8 toward a movie ticket.

In the end, studio executives agree, it all comes down to keeping consumers engaged — which requires constant work.

“From a functional solution like Movies Anywhere that allows consumers to build and enjoy a streamlined digital library, to premium viewing with 4K HDR, to story extensions through virtual reality and other emerging formats, keeping consumers invested and engaged requires constant experimentation and innovation,” says Fox’s Keith Feldman. “Our ongoing challenge is to exceed consumer expectations today and simultaneously deliver next-generation offerings that will continue that engagement in the future.”

Ampere: Global OTT Revenue to Top Box Office in 2019

It’s an over-the-top world, now with the box office living in it.

New projections from London-based research firm Ampere Analysis contend global revenue ($46 billion) from over-the-top video platforms such as Netflix and Amazon Prime Video will supplant the worldwide box office ($40 billion) in 2019.

With Netflix and Prime Video already driving SVOD revenue past the domestic box office in 2017, the trend is expected to repeat in the United Kingdom this year and in China in 2019.

Surprisingly, Ampere found that SVOD subscribers remain frequent moviegoers, with subscribers attending theatrical screenings twice as often as non-subscribers. The ratio increased by a factor of three in Japan – despite SVOD services costing about half as much as a theatrical ticket.

“Our analysis of consumers in 15 markets reveals that although there are differences in the cost of cinema attendance by country, there’s clearly an appetite for content amongst some consumers, whether that be on the big screen, or a smaller one,” senior analyst Toby Holleran said in a statement. “The key for cinema is to understand that while SVOD subscribers are more avid cinema goers, this may not always be the case. Therefore, the shared experience of watching a film on the big screen must remain an enticing — and realistically priced.”

 

 

 

Amazon Prime Jumpstarts ‘Aquaman’ Domestic Theatrical Release with $3 Million Sneak Screening

Amazon continues to flex third-party revenue opportunities through its Prime membership base.

The e-commerce behemoth reportedly helped generate almost $3 million in ticket sales for Warner Bros.’ upcoming DC superhero movie Aquaman, following a Dec. 15 sneak screening. The tally beat Amazon’s previous $1.8 million collaboration with Sony Pictures for Jumanji: Welcome to the Jungle.

Working with Atom Tickets, Amazon enabled Prime members to purchase up to 10 tickets for the special screening available at more than 1,200 theaters nationwide,including AMC, Regal, National Amusement Theaters and ArcLight Cinemas.

Paid sneak screenings – unlike free previews – reportedly offer studios a better estimate how movies will perform under general release.

Directed by James Wan (Saw, The Conjuring, Insidious), Aquaman stars Jason Momoa in the title role, in addition to co-stars Amber Heard, Willem Dafoe, Patrick Wilson, Dolph Lundgren, Yahya Abdul-Mateen II and Nicole Kidman, among others.

The movie, which opens Dec. 21, has already generated $261.3 million in foreign box office revenue.

Amazon, which has more than 100 million Prime members, first began leveraging its user base via Prime Video Channels (formerly Amazon Channels) affording third-party streaming video platforms such as Starz, Showtime OTT and HBO Now direct access to its members, while handling billing and backend support in exchange for a percentage of revenue.

Indeed, parent companies of Showtime, CBS All Access, Starz and HBO Now have attributed much of their subscriber gains to Amazon.