Blockbuster film releases are supporting industry revenue growth
London, United Kingdom (PRWEB) July 24, 2012
Motion Picture Distribution revenue is largely driven by DVD and Blu-ray releases, TV releases and cinema releases. According to IBISWorld industry analyst Alen Allday, “changes in the amount distributed are influenced by the number of films released during a year, the popularity of these films in cinemas and the desire of consumers to own these films on DVD or Blu-ray”. A large proportion of major films released each year are sequels to other popular films and film franchises, such as the Harry Potter and James Bond movies. These films are more likely to be blockbuster films and therefore benefit from greater advertising and marketing for their theatrical release than some other films.
Over the past five years, industry revenue has fluctuated significantly due to large variations in film numbers, film popularity, DVD and Blu-ray sales and prices, and TV licensing numbers. During this period, industry revenue in estimated to increase by an annualised 4.4% to £2.98 billion in 2012-13. For the five years through 2017-18 industry revenue is expected to increase marginally. Allday adds, “growth is expected to be steady as increased demand for cinematic releases and higher prices to view 3-D films offset weaker DVD demand and prices”. TV demand is expected to remain high, which will benefit film distributors.
Market share concentration within the Motion Picture Distribution industry is moderate due to several large US-based film production and distribution companies operating within the industry. The four largest companies operating within the industry are estimated to account for a joint market share of 38.4% in 2012-13. Major companies include The Walt Disney Company, Time Warner, NBC Universal, News Corporation and Bertelsmann.
For more information on the Motion Picture Distribution industry, including latest industry trends, statistics, analysis and market share information, purchase the full report from IBISWorld, the nation’s largest publisher of industry research.
IBISWorld industry Report Key Topics
Companies in this industry distribute films and movies to cinemas, motion picture theatres, TV networks, TV stations and film exhibitors. The industry also includes companies that acquire film distribution rights and those that distribute DVDs and Blu-rays to retailers and wholesalers.
Key External Drivers
Industry Life Cycle
Products & Markets
Products & Services
Globalisation & Trade
Market Share Concentration
Key Success Factors
Cost Structure Benchmarks
Barriers to Entry
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