Paying for VOD
Netflix is planning to spend $7 billion and $8 billion to release around 80 films in 2018 and get ahead of its competitors, and the video streamer continues to change the way audiences view their favourite TV shows and films.
“All traditional broadcasters, VOD services and online platforms must understand that the winner in today’s competitive industry will be the one that creates the most engaging, thought-provoking and interesting content,” says Josh Krichefski, CEO, MediaCom. “It’s this type of content that will be key to attracting and keeping viewers in the long-run; it’s also exactly the reason why content providers are increasingly investing in ‘own-brand’ ideas.”
He adds that this feeds into the on-demand generation, with MediaCom research finding that young people are watching TV most often on demand rather than live.
“VOD streaming content initially gained popularity because of how easy it was to access," says Krichefski. “While this is still a very important factor, market expansion means that quality content will become the key differentiator to attract viewers. There is overlap between Sky and Netflix audiences indicating that on-demand isn’t an either-or argument but purely about viewers accessing great programming. At the end of the day great television and movies have an ability to make us all stop what we are doing and pay attention to the screen – and investments in developing this type of content are crucial in an increasingly competitive market.”