Lionsgate Eyes Streaming Medium
Lionsgate, CEO Jon Feltheimer told analysts that the company is exploring digital streaming medium for its vast Horror theme library. The announcement was released during the company’s November 10th fiscal call. Lionsgate Entertainment, the Santa Monica, California based film and television distributor is known for its contributions to Horror cinema. The “Saw” franchises, “Cooties” and most recently “The Vatican Tapes” were distributed as part of Lionsgate Horror division. The announcement by Lionsgate, CEO Jon Feltheimer comes on the heels of AMC’s recent venture as a horror SVOD (Subscritption Video On Demand ) provider. The American basic cable and satellite television channel offers a selection of horror film though its service called; Shudder.
Jon Feltheimer reinforced Lionsgate’s digital endeavor with the following statement:
“We think it’s a great area for direct-to-consumer and actually to do content that’s way edgier, because you don’t have to worry much about various content restrictions in terms of ratings…It’s something we’re definitely looking at.”
Theatrical to VOD Streaming platform
Paramount experimented with the option of porting theatrical releases to SVOD (Subscritption Video On Demand) platform seventeen days after the screen count drops below three hundred. The found footage film, “Paranormal Activity: Ghost Dimension” became the prototype for Paramount’s streaming endeavor. However, Regal and Cinemark theaters boycotted the movie and opted not to show the film in their theaters despite being offered a percentage of streaming purchases. The boycott severed distribution in the North American market by a margin of one thousand four hundred (1,400 ) screens as opposed to an average of two thousand eight hundred-eighty three (2,883) screens.
Paramount studio’s vice chairman, Rob Moore had this to say on the dramatic move from theater to SVOD (Subscritption Video On Demand) platform.
There is no question that we are going to do less theatrically, but I believe we will make it up digitally. This is about the long-term health of the business, so there is not this long period of time when a consumer can’t watch a movie.
Although Lionsgate praised Paramount Studios for its theatrical to SVOD (Subscritption Video On Demand) platform business model release windows, Rob Friedman, co-chairman of the motion picture group at Lionsgate said:
“..We think it is a real opportunity in our business to look at all sorts of optionality as it relates to bringing our product to the consumer. Whether [Paramount’s test] worked financially well doesn’t really matter. What’s happening with exhibition and the conversation that is going on with distribution partners we think is very healthy..”