X-ray of VOD
The focus of much interest and concern related to film distribution and financing, video on demand (VOD) is the subject of a detailed study that has been conducted by the NPA Conseil at the request of the Centre National de la Cinématographie (CNC) and French professional film and audiovisual organisations (API, ARP, CSPEF, Procirep, SACD, SPI, UPF and USPA).
The survey analyses the rapid growth of VOD in 10 European countries (Germany, Austria, Spain, Finland, France, Hungary, Italy, Poland, Portugal and the UK) and reveals an increase in the number of providers from 2 in 2001 to over 40 in 2005, for a total of over 2,000 available features .
The majority of platforms now have at least 100 titles and the biggest suppliers have over 700. This increase – the result of the growth of digital and broadband – is accompanied by much variety in the payment methods (payment per unit, unlimited rate, streaming or progressive downloading) and is currently dominated by US films.
Approximately 60% of films are offered on VOD in Italy by OnTV/Fastweb (compared to 13% for domestic films and 15% for the remainder of European titles); 51% in France by CanalPlay (compared to 29% and 9%); 63% in Germany by Cine4 Movie; and 88% in the UK through FilmFlex. However, some operators distinguish themselves from their competitors by the number of local films, such as France’s Free TV (39%) and TF1 Vision (55%).
Up against the traditional players of the field (television stations, satellite channels, cable providers) and new hungry arrivals (telecom operators, electronic and IT companies, video rental specialists, search engines and Internet portals), VOD prices have now stabilised, with an average €2.50-3 for a catalogue film and €5 for a new film.
And even if the new European TVSF directive has reaffirmed the principle of a range of media, the trend is to shorten the distribution release of VOD films: 9-10 months after theatrical release in Germany, 8 months in Austria, 33 weeks in France, approximately 5-8 months in the UK, 7-9 months in Finland, and on a case-by-case basis in Spain and Italy.
France has been the first country to charge a financial contribution for VOD services.
The full study can be viewed at the CNC’s website.
(Translated from French)
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