Magazine article Variety

Netflix Disrupts Local Vod Market

Magazine article Variety

Netflix Disrupts Local Vod Market

Article excerpt

Netfllx's September launch of its SVOD service in France is expected to shake-up the country's VOD sector and usher major changes in the country's online platforms.

Until now, French broadcasters have seen VOD services as a way to build viewer loyalty and source new talent Total VOD viewing has risen steadily, jumping 50% between 2011 and 2013, according to data from the CNC film org.

Revenues nonetheless remain muted; the total paid VOD market was worth euro245 million ($309 million) in 2013 and the SVOD market $34 million in 2012. Subscribers to SVOD services of the main payTV operators - Canal Pius and OCS -are less than 10% of their pay TV subscribers.

Netflix's entry into France will increase competition for content as demonstrated by Netflix's investment in its first show, "Marseille," a "House of Cards"*style political thriller set in Southern France.

Locally, M6, France's secondlargest commercial broadcaster, has been active in Web platforms and outpaces its rival TF1 in terms of VOD viewing. …

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