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VOD; PPV Another rapidly growing market: Video On Demand (VOD). There are many VOD providers in Canada and the significant players are evolving as the market matures. Pay-per-view (PPV) is similar to VOD, but it is not as flexible in terms of timing and so – even though it is a revenue stream – it is not a growth area. Pay TV Canada's Pay TV market has undergone a change as well, with the introduction of a national Pay TV license. On May 18, 2006, the CRTC announced that Allarco was granted a license for a national English-language general interest pay television programming undertaking. This development will create a renewed level of competition with Canada's two regional pay TV players: Movie Central (Corus Entertainment) and Movie Network (Astral Media) TV: conventional and cable Conventional TV is a very difficult environment to compete in today. Very few conventional players license any films and those that do tend to choose only films that have had a very significant theatrical release and achieved big box-office success. Cable TV is a happier story. At least for now, it has an appetite for films. Thanks to the expansion of digital networks in 2001, many basic cable tier companies have other umbrella channels to feed. These channels typically license many films in packages so they can use each film on the many different channels under their control. “Canadian Content” titles (i.e. films that qualify as Canadian under CAVCO and/or CRTC requirements) and box office successes tend to get licensed again and again – which means revenue, for many years to come. And finally… There is also revenue potential from non-theatrical rights – typically defined as airlines, ships, oil rigs, hospital, universities, colleges, hotels and Armed Forces bases. And there are other “customary allied and ancillary rights” – a category including such possibilities as soundtrack, merchandising, screenplay publication and live stage rights.  |
