Observations on the Entertainment Market
Presented by: David Sidebottom
Principal Analyst, Entertainment Media
Futuresource Consulting
17th March 2016
www.futuresource-consulting.com
UK: 2014 & 2015: MOVIE MARKET PERFORMANCE
60%
UK YoY Retail Market Value Trends (%)
2014
2015
50%
40%
30%
20%
10%
0%
DVD s/t
BD s/t
-10%
-20%
2 | © 2016 Futuresource Consulting Ltd
EST Movies
iVoD
Pay-TV VoD
Box Office
OBSERVATIONS
FROM
FUTURESOURCE’s
DIGITAL MOVIE & TV TRACKER
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TITLE
Almost 70% of all EST Movies sold in 2015 were HD
+22%
Total EST Movie & iVoD Movie Sales in 2015 were up 22%
11 EST Movies “grossed” over £1 million in 2015,
•
Up from 4 in 2014
60% of EST unit sales were catalogue (12 weeks) in 2015
3 | © 2016 Futuresource Consulting Ltd
Source: Futuresource Digital Movie & TV Tracker
EST
BECOMING
IMPORTANT
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Source: Futuresource Digital Movie Tracker
STEADY
TRANSITION
TO DIGITAL
OWNERSHIP
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Consumers Still Holding onto Discs
55% (56%) of All UK Respondents Buy Any Type Video to Own, Of Which:
UK Packaged Video
Buyers
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78%
18%
(78%)
(19%)
4%
UK EST Buyers
(3%)
Source : Futuresource Living With Digital, Wave 11 Nov-15: 2000 UK respondents
Wave 9 (October 2014) in brackets
THE
IMPACT
OF SVoD
ON UK
SELL-THROUGH VIDEO
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% Change in Consumer Spend YoY
100%
Blu-ray
80%
60%
Launch launch
Dec 2011*Jan 2012
EST
re-launch
Feb 2014
40%
20%
0%
-20%
DVD
-40%
2009
6 | © 2016 Futuresource Consulting Ltd
2010
2011
2012
*Includes EST Movies & TV
2013
2014
2015
OBSERVATIONS
FROMMASTER
FUTURESOURCE’S
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TITLE LIVING WITH DIGITAL SURVEY
12% of UK respondents bought an EST movie or TV show in the last 6 months
•
•
One third amongst Netflix subscribers
Netflix subscribers 20% more likely to buy DVDs than the overall population,
70% more likely to buy Blu-rays
16% of UK Sky subscribers have tried Sky Buy & keep
•
Over 80% of these watched the DVD
Over one-third of Streaming Box/Stick Owners Buy ESTs
Over 40% of SVoD subscribers take more than one service
•
Totalling almost 10m individual subs (including Netflix,
Amazon Prime Video, Now TV)
7 | © 2016 Futuresource Consulting Ltd
Source : Futuresource Living With Digital, Wave 11 Nov-15: 2000 UK respondents
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TITLESTRONG BOX OFFICE IN 2016
Spectre and Star Wars to Drive H1 Sales
Available on DVD,
Blu-ray, EST,
TVOD early 2016
At Box Office &
DVD/Blu-ray in 2016
(Rogue One Box Office release Dec 2016)
8 | © 2016 Futuresource Consulting Ltd
SVoD HELPING STABILISE HOME VIDEO MARKET SPEND
Total EST to Overtake Total TVoD in 2016
UK Home Video Consumer Spend:
Total Physical & Digital (£M)
2,500
2,000
27%
1,500
9%
3%
7%
1,000
TVoD
EST
Packaged
Sell-Through
500
0
2010
SVoD
54%
2011
9 | © 2016 Futuresource Consulting Ltd
2012
2013
2014
2015
2016
2017
OUTLOOK
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| Continued growth expected in 2016 in home video market, including SVoD
| Key titles driving Q1/Q2, but some impact of DVD, Blu-ray & TVoD from EST
•
Multiple SVoD service uptake becoming more prevalent may also impact
| EST momentum expected to continue to grow, challenge to bring in new consumers
| Widening adoption and familiarity with connected devices to TV, e.g. streaming
boxes
•
4m streaming boxes/stick owners end 2015, 11m smart TV owners
| Increased availability of UHD content, emergence of Next-gen EST
| Another good year for Box Office – can it top 2015?
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talk to us…
David Sidebottom
Principal Analyst: Content
Futuresource Consulting
+44 (0)1582 500 127
[email protected]
www.futuresource-consulting.com
11 | © 2016 Futuresource Consulting Ltd