Physical Sales Decline; Individual Digital Transactions Trail
 Buying discs fell 5 points from YAG, and 11 points from 2 years ago.
 Kiosks maintain a strong position.
 SVOD use is up 6 points from 2013.
 Digital transactions continue to have narrow appeal.
Activities in the past 12 months
Disc Purchase
SVOD
Kiosk
CVOD
EST
Video Store
iVOD
Mar '13
Aug '13
Mar '14
Q9A Which of the following have you purchased in the past 12 months for yourself or for someone else?
Source: NPD’s Entertainment Omnibus – April 2015
Aug '14
Mar'15
1
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Netflix Reigns over Expanding SVOD Field
 Netflix is the predominant source for SVOD viewing, with a notable increase in usage
of Amazon Prime’s streaming option.
 Almost all other SVOD services gained ground vs. the prior year, reflecting growing
viewer appetites for this all-you-can-eat offering.
D YoY
% based to SVOD Users
Netflix
--
Amazon Prime
+7
HuluPlus
+3
HBO GO
+3
Showtime
Anytime
+3
Starz Play
+2
MAX GO
--
streampix
+1
Q15. When you pay to stream or download movies or TV shows, where do you regularly stream or download from?
Source: NPD’s Entertainment Omnibus – April 2015
2
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SVOD Has Grown as Viewers’ Default Option
 Viewers who have SVOD use it heavily, amidst the multitude of options they watch,
increasing 5 points vs. YAG.
 SVOD viewership in on pace to rival time spent watching live TV in these homes.
 Non-SVOD HHs primarily watch live and time-shifted TV.
No SVOD in HH
Share of viewing
per platform
D YoY
SVOD
With SVOD in HH
D YoY
--
+5
Watch live TV +3
-2
Watch shows on DVR --
-3
Movie on TV (not PPV/VOD) --
+1
DVD/BD movie on TV -1
-2
Video Sharing Site --
--
PPV/VOD -1
--
Free Streaming -1
+1
Q31b About how many hours did you spend in the past 7 days on the following entertainment activities?
Source: Entertainment Trends in America – April 2015
3
SVOD’s Share of Viewing Outpaces its Share of Spending
 SVOD increased its share viewing, gaining 4 points vs. the prior year.
 SVOD accounts for the vast majority of total viewing, but only a fraction of spending.
Share of viewing
1Q2014
1Q2015
SVOD
D YoY
Share of spending
March 2015
+4
Physical Rentals
-1
Physical Purchases
-1
EST
-1
VOD
--
iVOD
+1
Q1. For the past 7 days, we would like to know what specific DVDs or Blu-rays you purchased or rented? (cumulative data January – March 2014/2015)
4
Q10. Approximately, how many if any, of these products did you purchase and/or pay for in the past 3 months?
The
NPD
Group,
Inc.
|
Proprietary
and
Confidential
Source: NPD’s Entertainment Omnibus – April 2015; NPD’s VideoWatch, 2014
Use of Connected Devices is Up in Past 6 months
 Connected, video-capable devices are on the upswing; tablets, smart TVs and
streaming media players are becoming more commonplace, representing an increasing
number of available screens and viewing opportunities.
 DVD players are still widely used; however, fewer consumers used them vs. the prior
year.
Core Home
Entertainment
DVD player
HDTV
DVR
Blu-ray player
Smart HDTV
Home theater
UHD/4K TV
D
YoY
-7
+5
-2
-3
+5
-2
+1
Connected
Devices
Smartphone
Tablet
Game console
Streaming media
player
D
YoY
+7
+4
+1
*
*added to list Aug’14
Q18 Which of the following systems or devices have you personally used in the past 6 months?
Source: The NPD Group, VideoWatch, 2014
D
Ancillary Devices YoY
Desktop PC
-4
Windows laptop -2
Apple laptop
+1
Apple desktop
-E-reader
-2
5
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Streaming Device Ownership vs. Usage
 Smartphones are the most widely owned video-capable devices, but have not yet
reached their full potential as a movie streaming platform.
 Smart TVs, Gaming Consoles and Media Players are in fewer HHs, but are used for
streaming by the majority of their owners.
Among Streaming HHs
Device Used Past 3 Mos.
Device Used for Streaming
Smartphones
Tablets
Blu-ray
players
Smart TVs
Gaming
consoles
Media
players
Q40A Which of the following systems or devices have you personally used in the past 3 months?
Q40B In the past 3 months did you use [PIPE IN DEVICE SELECTED IN Q40A] to: watch a TV Show using a rental streaming subscription?
Source: The NPD Group’s Entertainment Trends In America study – April 2015
6
Incidence of Video Game Use by Device
 Mobile and computer games are increasing in penetration, reflecting a growing
universe of potential gamers; consoles are no longer a prerequisite.
Mar'15
Past 3 months usage
Mar'14
+1 YoY
+5 YoY
+3 YoY
-- YoY
Mar ‘15
Mar ‘14
Game Console
Mobile
Computer
Online Games
Mobile Gamer: Plays games on cell phones, smartphones, PDMPs, iPhone, iPod touch, game bought and downloaded to cell phone
Online Gamer: Plays online on gaming website
Q7. Please tell us all the ways you played video games in the past 3 months
Source: NPD’s Entertainment Omnibus – April 2015
7
Gaming Hours on Smartphones
 Gaming on smartphones has increased across ages and gender. Most notably,
Millennials reflect the greatest uptick in usage, although usage among Young Adults
also surged.
Mar'15
Mar'14
Mar Mar
‘15 ‘14
Male
Female
13-17
18-24
25-34
35-44
45-54
55+
*Among smartphone users that played at least 1 hour
Q31. About how many hours did you spend in the past 7 days on the following entertainment activities?
Source: NPD’s Entertainment Omnibus – April 2015
8
Contact Information:
Vincent Moy
Director, Industry Analysis – Entertainment
[email protected]
Kevin Sherwood
Vice President – Entertainment
[email protected]
www.npd.com
Subscribe to our blog!
www.npdgroupblog.com
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