Video Postproduction Services Procurement Category Market Research Report from IBISWorld has Been Updated

Share Article

As the economy has continued to recover, demand for video postproduction services has grown, allowing suppliers to increase service prices; however, buyer power has been bolstered by the market’s low barriers to entry, which provide buyers with a diverse market from which to select quality service providers. For these reasons and to help procurement professionals make better buying decisions faster, business intelligence firm IBISWorld has updated a report on the procurement of Video Postproduction Services in its growing collection of procurement category market research reports.

News Image
In the three years to 2017, the price of video postproduction services is expected to continue to rise due to increasing demand for special effects and high-end services

Video postproduction services have a buyer power score of 3.5 out of 5. The market has low barriers to entry with numerous suppliers for buyers to choose from. IBISWorld market research analyst Jesse Chiang says, “In the absence of a dominating player in the market, buyers can carefully select from a variety of suppliers and seek the lowest price.” Moderate switching costs and levels of specialization give buyers even more leverage. However, driven by the recovering economy, demand for video postproduction services has continuously grown since 2011, which allows suppliers to raise prices, thus limiting buyer power. Major vendors in the market include Deluxe Entertainment Services Group Inc., Point.360 and Technicolor SA.

“Buyers can choose from a variety of operators because video postproduction services typically require minimal investments in software and hardware,” says Chiang. With multiple operators in the market, buyers can easily choose from different suppliers of video postproduction services that meet both quality and price requirements. Although there are moderate switching costs and a medium level of specialization, these specific factors apply to buyers of high-end services. Buyers of services for low- to medium-quality videos do not have many switching costs because they can easily find lower-end video postproduction tutorials and services on the internet. Thus, there are limited quality risks for buyers of such services. The low risk gives most buyers significant leverage when selecting an operator because they do not have to settle based upon quality or price.

Still, buyer power is somewhat limited by the rising price of postproduction services. Recovering economic conditions have financially empowered consumers, who have increasingly consumed media content. In particular, consumers have increasingly demanded higher-quality media with special effects and high-quality resolution, which leads to even more demand for video postproduction services. In the midst of favorable demand conditions, suppliers are able to continuously increase prices without risking loss of demand. As such, buyers are recommended to engage in contracts when possible to lock in lower prices or seek discounts based on breadth of services. For more information, visit IBISWorld’s Video Postproduction Services category market research report page.

Follow IBISWorld on Twitter:!/IBISWorld
Like IBISWorld on Facebook:

IBISWorld Procurement Report Key Topics
This report is intended to assist buyers of video postproduction services. Video postproduction services include editing audio and video, refining previously recorded video, adding special effects and creating graphics, animation and credits.
Executive Summary
Pricing Environment
Price Fundamentals
Benchmark Price
Pricing Model
Price Drivers
Recent Price Trend
Price Forecast
Product Characteristics
Product Life Cycle
Total Cost of Ownership
Product Specialization
Substitute Goods
Quality Control
Supply Chain & Vendors
Supply Chain Dynamics
Supply Chain Risk
Competitive Environment
Market Share Concentration
Market Profitability
Switching Costs
Purchasing Process
Buying Basics
Buying Lead Time
Selection Process
Key RFP Elements
Negotiation Questions
Buyer Power Factors
Key Statistics

About IBISWorld Inc.
IBISWorld is one of the world's leading publishers of business intelligence, specializing in Industry research and Procurement research. Since 1971, IBISWorld has provided thoroughly researched, accurate and current business information. With an extensive online portfolio, valued for its depth and scope, IBISWorld’s procurement research reports equip clients with the insight necessary to make better purchasing decisions, faster. Headquartered in Los Angeles, IBISWorld Procurement serves a range of business, professional service and government organizations through more than 10 locations worldwide. For more information, visit or call 1-800-330-3772.

Share article on social media or email:

View article via:

Pdf Print

Contact Author

Gavin Smith
IBISWorld Inc.
+1 (310) 866-5042
Email >
Visit website