The bad news for Hollywood and its preferred method of delivering online video to customers keeps on coming. A Centris Research survey of 40,000 adults revealed that 62% of respondents had either never heard of video-on-demand, never used it or weren’t able to access it.
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24% of survey respondents reported using either free or transactional VOD in the past month, which is a similar number to 2010 results from the Digital Entertainment Group that reveal a 20% market penetration for VOD.
Centris president William Beaumont opined:
“Respondents’ self-reported usage of free and paid VOD usage has remained relatively constant over the last six quarters,”
What do you think is keeping video-on-demand from stronger growth, Insiders? Cost? Bandwidth? Lack of compelling content? A couple of little companies called Netflix and Redbox?
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Visit the comments and tell us what you think.
(via Home Media Magazine)
As long as I have access to Blu-Ray Discs for $1.50 a night, I don’t think I’ll be going VOD anytime soon for the prices offered.
I’m not suprised that most people don’t know of VOD.
My TV has Vudu built in, but I just test-ran the beginning of a movie tonight and my internet service wasn’t fast enough for it to play without pausing every few seconds. It only seems to work outside of prime-time hours.
Are they not counting cable system’s PPV/VOD systems? I can’t imagine that most adults are ignorant of that.
They should have split the numbers (“[1] never heard of video-on-demand, [2]never used it or [3] weren’t able to access it”) and I bet they would find that it’s not a matter of ignorance (at least, not on the part of the consumers). There are a ton of issues with VOD and most consumers just don’t like it, it’s as simple as that. In my case, I have free and paid VOD via my satellite service’s DVR. I’ve used it once. All the paid movies are too expensive (and they’re either available at RedBox for a $1 or will be within weeks). In one instance (the 1980 “Airplane!”), they wanted a couple of bucks while the movie had been playing for free on Comedy Central!? As for the free ones, only once did I ever find what I was looking for. No, VOD is nowhere close to satisfying my family’s needs.
Agree,..they should have split the numbers for a more accurate finding. I’d say people have heard of VOD,… and could have accessed it IF THEY WANTED TO. The majority, however, have reviewed all the other options and made the decision/choice not to use VOD!
This will only make it more of a certainty that all movie studios need to push the windows on Netflix and Redbox. If they do that I promise you people will find ways to rent or buy the movies BEFORE they come out on Redbox or Netflix. These low cost platforms are a cancer on the movie industry.
I’m so sick of hearing that it is Netflix and Redbox fault. because movies are not making any money for the studio’s. Maybe the studio’s need to make better movies instead of damn remakes all the time. let the studio’s add more wait time i will not order it on vod or buy it on dvd or blu-ray.
You are part right. People will find ways to pirate the movies before they are available. Everyone knows that the MPAA has leaks and many movies are available before the rating is even finalized, much less out of the theatre.
Greed is killing the brick and mortar stores. You don’t have to make back full retail of the disc in the first week. Rent more at lower prices and your bottom line will be the same.
Most people don’t know that VOD is but everyone knows it as Pay per View.
All of the above. A lot of people with cable haven’t looked into it because they assume it’s just pay per view.
I’m not sure this report is worded properly. VOD technically includes Netflix and Hulu since it’s quite literally a video when you want it. If they mean only pay per view they need to explicitly say so.
Netflix and Hulu alone should have more than 20 percent saturation. Then factoring in the cable systems built in channels, anyone who uses Amazon for anything and see’s their ads (including free digital rentals with purchases) would push the numbers well over that.
As long as I have DVDOS (DVD on shelf) I could care less about VOD.
I’ll echo Movie Buffer… As long as I have Netflix, I could care less about PPV / VOD.
Price is a big issue. When I bought my new Blu-Ray / Netflix-enabled DVD player, I received & used a $5 voucher to “rent” a movie (my daughter & I chose Cats & Dogs 2) on CinemaNow to see how it worked. Guess how much I had left over to use on another movie? C’mon, you can figure it out. That’s right, almost nothing. The “rental” was $4.95 so I had a shiny, virtual nickel left over. Maybe if VOD drops to $1 and is easily accessible, things will be different. Until then, Netflix, Redbox, & Blockbuster Express rule!
Im looking to be a cord-cutter soon. I have amazon VOD on my ROKU and happy to have it. It works fine for me but I agree with the other posters that it is a little expensive. It may get better however. Examples where you might use it is if you wanted just to buy a favorite episode of a series and have it like a cd single ( as VOD purchases stay in your library forever). I found other items which where out-of-print or not available on DVD yet available on VOD( expensive still). Sure you can find pirated copies if you choose to go that way. Another example was the Walking Dead series..you could buy the whole season for $10 vs paying $70 or more for cable.
Recent comments say Amazon may be in negotiation with Redbox and HBO for possible streaming rights. It could be a good deal. Surprized to hear that many people dont know what VOD is though.