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NPD: Cable Still Dominating VOD

24 Sep, 2012 By: Chris Tribbey

Internet VOD rental is growing by the day, but cable and satellite still are dominating the paid VOD movie rental market, according to research from The NPD Group.

During the first half of the year, 48% of all paid VOD rentals were generated by cable operators, with Comcast alone representing 23% of the market. DirecTV came in second with 14%. Satellite and cable operators grew their VOD rental numbers 24% year-over-year.

“When it comes to paying for on-demand movies on an a-la-carte basis, cable companies are by far the primary conduit, due in large part to their widespread penetration and usage in Americans’ homes,” said Russ Crupnick, SVP of industry analysis for The NPD Group. “Even as [Internet] VOD, and VOD from satellite-media companies and telcos grow in popularity, cable companies continue to dominate the VOD movie rental market.”

Outside of the TV operators, Apple’s iTunes owned the highest market share with 8% of all paid video rental transactions. Verizon and Dish Network each had a 7% share.

Men account for 70% of Internet VOD movie rentals, according to the report, with 44% of all Internet VOD rentals made by men age 25 to 44.

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