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Netflix is 'Killing' DVD Sales, Research Finds (torrentfreak.com)
Netflix has become the go-to destination for many movie and TV fans. The service is bringing in billions for copyright holders, but it also has a downside. New research shows that the availability of content on Netflix can severely hurt physical disc sales, which traditionally have been the industry's largest revenue source. From a report: A new study published by researchers from Hong Kong universities provides some empirical evidence on this issue. Through a natural experiment, they looked at the interplay between Netflix availability and DVD sales in the United States. The experiment took place when the Epix entertainment network, which distributes movies and TV-shows from major studios including Paramount and Lionsgate, left Netflix for Hulu in 2015. Since Hulu has a much smaller market share, these videos no longer reached a large part of the audience. At least not by default. The researchers used difference to examine the effect on DVD sales, while controlling for various other variables. The results, published in a paper this week, show that DVD sales increased significantly after the content was taken off Netflix, almost by a quarter. "Our difference-in-difference analyses show that the decline in the streaming availability of Epix's content leads to a 24.7% increase in their DVD sales in the three months after the event," the paper reads.
I don't see this as a downside at all, or even an upside for that matter. Should I care? I don't like to own dvds, I rarely watch the same movie multiple times. If I can rent and watch it, so much the better - less cost, less waste. Clearly, I'm not alone in this, given the figures. If dvd sales are replaced with streaming rentals, who is affected adversely? Apart from the handful of companies that produce the dvds and their packaging?
It is bad because this type of research could lead to less availability of movies on streaming services. If the studios have hard proof that Netflix is costing them money, why would they allow their movies to be shown on Netflix? Either we would see far less movies available, or the prices would go up.
-- All that is necessary for the triumph of evil is that good men do nothing. -- Edmund Burke
No, I will not purchase a dvd when a HD is available.
No, I will not purchase a blu-ray because I don't want to damage the blu-ray, store the blu-ray, purchase additional blu-ray players or get off my lazy ass to find a blu-ray and put it in the player.
Yes, I'll pay for a movie in one of the common streaming services for $10-$20 per movie.
It's clearly a generational thing. Many older individuals can't seem to understand that dvds are inconvenient.
I'll pay for a service if the cost and content is there and for me Netflix just isn't worth a monthly fee in the face of the likes of Youtube, Crunchy roll, Crackle etc.
Nor will I pay for "ownership" of digital goods.
I will buy physical goods that I truly do own. I'm not much of a movie guy but DVD and Bluray are great if there is something I wish to watch.
Same goes for videogame (consoles) and music (cd sometimes vinyl), if I'm going to spend real money I expect a real product.
On the Oregon Cost born and raised, On the beach is where I spent most of my days
Movies I want to watch more than once? I buy it.
Problem is there is only 2 movies in the past 2 years I wanted to buy. Most of the others I only wanted to watch once or did not even bother watching.
MAybe if Hollywood would make things that were not crap they would sell more? NAH, let's do a movie about a 1980's TV show instead.
Do not look at laser with remaining good eye.