Update on VOD markets and catalogues

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1 Update on VOD markets and catalogues A presentation of the European Audiovisual Observatory Gilles Fontaine February 2019

2 Update on market data VOD catalogues: structure, origin, links with cinema releases Visibility of audiovisual works on (T)VOD

3 UPDATE ON MARKET DATA 3

4 Pay-on demand growth by segment SVOD, main segment of pay-on-demand, in value and growth. Pay-on demand revenues in EU28 (meur) 77% 13% 10% Source: Ampere Analysis SVOD includes only OTT SVOD

5 Pay-on demand growth by segment UK, Germany and France account for 59% of the EU Pay On-demand market Share of SVOD significantly higher than on average in Sweden, Denmark, Romania, Finland Top 15 EU markets by on-demand revenues (2018, meur) Source: Ampere Analysis SVOD includes only OTT SVOD

6 Pay-on demand segments in context DVD still bigger than TVOD SVOD still a small fraction of pay-services Home video entertainment revenues (meur) Pay-services revenues (meur) 67% 87% 33% 13% Source: Ampere Analysis Source: Ampere Analysis SVOD includes only OTT SVOD

7 More on SVOD but over 1/3 of subscriptions for SVOD SVOD the main driver of the growth of pay-services Pay-TV vs SVOD (subscriptions) Share of SVOD 66% 34% Source: Ampere Analysis Source: Ampere Analysis SVOD includes only OTT SVOD

8 More on SVOD High penetration rates of SVOD in Scandinavia, UK, Germany, Netherlands Penetration of SVOD (% of TV households, end 2018) Source: Ampere Analysis SVOD includes only OTT SVOD

9 More on SVOD Netflix+Amazon: about 80% of EU28 SVOD subs With a series of strong local competitors Market share of Netflix+Amazon (subs, ) Market share of Netflix+Amazon (subs, 2018) 21% 33% 46% Source: Ampere Analysis Source: Ampere Analysis SVOD includes only OTT SVOD

10 VOD CATALOGUES: OVERVIEW 10

11 What s on offer on VOD? Over different films, TV content titles and TV content episodes Unique titles available at least in one TVOD or SVOD catalogue in Europe Base: 77 TVOD and 45 SVOD catalogues

12 What s on offer on VOD? TVOD catalogues as twice as big as SVOD catalogues when considering only TV titles Far more TV content when considering episodes Number of titles in VOD catalogues (1 TV series = 1 title) Number of titles in VOD catalogues (1 TV series episode = 1 title) Base: 77 TVOD and 45 SVOD catalogues

13 What s on offer on VOD? The share of EU works depends on the indicator chosen for TV content Origin of works in VOD catalogues (1 TV series = 1 title) Origin of works in VOD catalogues (1 TV series episode = 1 title) Base: 77 TVOD and 45 SVOD catalogues

14 What s on offer on VOD? SVOD has less EU 28 than non EU28/non US content Origin of works in SVOD catalogues (1 TV series = 1 title) Origin of works in SVOD catalogues (1 TV series episode = 1 title) Top 5: JP, KR, CA, TW, IN Base: 45 SVOD catalogues

15 DIVERSITY OF CATALOGUES 15

16 Focus on independent VOD services Diversity of the structure of catalogues Number of films in catalogues Share of EU 28 works Average year of production of films Base: 8 Independent/77 TVOD catalogues «Films» only

17 Focus on independent VOD services 50% of films (58% of EU28 films) found in at least 1 independent catalogue are not available elsewhere Exclusivity of film titles in independent VOD catalogues All films EU28 films Independent services (11 catalogues) 50% 50% 58% 42% Others VOD services (111 catalogues) Base: 77 TVOD and 45 SVOD catalogues Film only

18 WHAT ARE FILMS ANYWAY? 18

19 From European cinemas to VOD 65% of films (62% of EU28 films) released in cinemas are released in VOD in at least 1 country. Availability in VOD of recent films released in cinemas VOD Cinemas All films 35% 65% EU28 films 38% 62% Base: films produced and released in EU Availability in VOD in at least one country

20 From European cinemas to VOD EU28 films which do not made it at all to VOD made on average admissions Availability in VOD of recent films released in cinemas Number of country of release: 1,1 Cinemas VOD Admissions: Share of national admissions: 91% 38% Base: EU28 films produced and released in EU Availability in VOD in at least one country

21 From European cinemas to VOD On a country basis, cinema and VOD release overlap to an extent 34% of releases in VOD without a previous release in cinemas Breakdown of country releases all films Breakdown of country releases EU28 films Base: films (7 760 EU28 films) produced and released in EU Availability in VOD in at least one country

22 «Films» in VOD catalogues are not necessarily films released in cinemas Films released in cinemas account for only 31% of films in VOD catalogues Breakdown of recent film titles available on VOD VOD Cinemas 31% 69% Over titles labelled as films but with no release in cinema in Europe Base: «films» in VOD produced in Availability in cinemas in at least one country

23 «Films» in VOD catalogues are not necessarily films released in cinemas US TV movie Direct to DVD outside Japan US doc film US film, limited release in cinemas Indian TV movie US direct to Internet Indian film US direct to video BE doc festivals only GB TV movie IT direct to video DE/US, Festivals+direct to video

24 «Films» in VOD catalogues are not necessarily films released in cinemas The share of EU28 works is higher for films than for other films Share of EU28 works Base: «films» in VOD produced in Availability in cinemas in at least one country

25 VISIBILITY 25

26 What we measure Presence on the home page of the service (without scrolling) TVOD only 5 countries: UK, DE, FR, BE, NL 42 catalogues Data provided by AQOA

27 What is promoted on TVOD 87% of promotion for recent films 27% of promotion for European content Breakdown of promotional spots on a selection of TVOD services /AQOA Base: 42 TVOD catalogues from 5 EU28 countries

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