Movies On Demand® On Cable Success Bolsters Outlook for Major Studios, Cable Co.’s

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Industry Launches Marketing Campaign Sequel Asking Consumers to “Push It”

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The current movie rental climate is a pivotal time for us to join together and promote a long list of hit titles to avid movie fans and frequent On Demand viewers, along with light users and customers who are still unaware of the service.

In the wake of dramatic shifts in the movie rental business, 12 of the top U.S. cable companies and 10 major movie studios are demonstrating their commitment to cooperatively driving growth in Movies On Demand® on cable. After successfully stimulating use of the service in 2010 with the first collaboration of its kind in the entertainment industry, this year the collective is investing $10 million in a new, national integrated marketing campaign.

The year-long 2011 campaign features latest hit movie titles, many of which are available on Movies On Demand on cable the same day as DVD and 28 days before most other rental options, thus offering consumers the simplest and best way to rent movies. The ads employ an up-tempo message asking consumers to “Push It”— evoked by the Grammy® award-winning song by rap group Salt-N-Pepa and referring to the digital cable remote button customers use to access On Demand service.

“An increasing number of consumers are interested in renting movies at home on demand on cable, said Michele Edelman, vice president, worldwide marketing, programming and acquisitions, Warner Bros. Digital Distribution and Movies On Demand initiative co-chair. “So we plan to be there with the hottest titles at the earliest opportunity. We’re excited to communicate about it in such a unique way.”

There have been major changes in the availability of new movies to the cable set-top box, which used to be 30 days or longer after the DVD release. National VOD distributor iN DEMAND reports a significant increase over the past four years in the number and percentage of movie titles premiering on cable’s MOD platform day-and-date with DVD. In 2010 alone, there were 132 films released day-and date, more than double the number in 2009.*

According to Rentrak 2010 set-top box data, paid video on demand (VOD) transactions grew 11 percent to 116 million, with revenue up 15 percent in the first half of 2010 versus the same period in 2009. Directly attributable to the 2010 campaign, Rentrak reported a 36 percent increase in average monthly revenue among light users, an 18 percent increase among new purchasers to the category, and sustained elevated usage rates among both groups following the campaign. Lastly, in a post-campaign survey conducted by Frank N. Magid Associates, 81 percent of respondents reported enjoying the convenience of Movies On Demand and nearly two-thirds said it was a good value for the money.

“Cable companies and movie studios have demonstrated we can provide customers with a product they want, when they want it and at a price they can afford,” said Joe Rooney, senior vice president, branding, advertising and social media, Cox Communications and co-chair of the Movies on Demand initiative. “The current movie rental climate is a pivotal time for us to join together and promote a long list of hit titles to avid movie fans and frequent On Demand viewers, along with light users and customers who are still unaware of the service.“

With 60 titles featured in the ads throughout the year, the opening slate includes: “The Dilemma” starring Academy Award® winner Jennifer Connelly and Golden Globe® winner Wynona Ryder; “The Green Hornet” starring Seth Rogen and the four-time Golden Globe-nominated Cameron Diaz; “Gulliver’s Travels” starring Jack Black and “No Strings Attached” starring Ashton Kutcher and Academy Award winner Natalie Portman.

“We have seen significant growth in VOD transactions especially with day and date releases like ‘Black Swan’ which is currently one of the top VOD titles in the country,” said Jamie McCabe, executive vice president, worldwide pay per view, video on demand, and electronic sell-through, Twentieth Century Fox Home Entertainment. “Fox’s continued participation in the Movies On Demand campaign reflects our commitment to growing the VOD category with our cable distributers and raising consumer awareness of the benefits of VOD.”

The cable companies in the initiative include Atlantic Broadband, Armstrong, BendBroadband, Bright House Networks, Charter, Comcast, Cox, Insight, iO TV, Mediacom, Suddenlink and Time Warner Cable. The studios include 20th Century Fox, Image Entertainment, Lionsgate, NBC Universal, Paramount, Relativity, Sony/Columbia, Summit Entertainment, The Walt Disney Studios and Warner Bros. Entertainment, Inc.

The Facebook fan page is http://www.facebook.com/moviesondemand.

For more information, please contact:
Don Ciaramella
The Lippin Group
Office: 212-986-7080
Mobile: 203-246-7228

The Cable & Telecommunications Association for Marketing (CTAM) Marketing Co-op leads the effort, supported by iN DEMAND’s marketing team. Media Com is managing the media placement, Blast Radius will handle social media, and The Lippin Group is leading the public relations efforts.
(*Data represents only movie titles with more than $1MM DBO.)

The Movies on Demand® initiative is an integrated marketing campaign made possible by the Cable & Telecommunications Association for Marketing (CTAM) Marketing Co-op. The cable companies include Atlantic Broadband, Armstrong, BendBroadband, Bright House Networks, Charter, Comcast, Cox, Insight, iO TV, Mediacom, Suddenlink and Time Warner Cable. The studios include 20th Century Fox, Image Entertainment, Lionsgate, NBC Universal, Paramount, Relativity, Sony/Columbia, Summit Entertainment, The Walt Disney Studios and Warner Bros. Entertainment, Inc. The CTAM corporate website is http://www.ctam.com.

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Don Ciaramella
The Lippin Group
212-986-7080
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