The decline of premium VOD and its aftermath
With Wonder Woman 1984 debuting here in Canada as a $30 CAD rental, I can’t help but consider the premium video on demand (VOD) market on shaky, unstable ground. Long term I suspect it’s more of a stopgap action out of studio desperation than viable future for movies.
At a glance it shouldn’t be this way. Premium VOD is a great value alternative to theaters. While VOD means the loss of a theater level screen and sound you avoid the time and coordination of commute, loud audience members, and pay a lot less. Here in Toronto, a $30 CAD rental matches two tickets at $15 a pop. Add in transportation costs and expensive concessions and there’s a significant savings with premium VOD. Also, by swapping out the theater middlemen in exchange for streaming distributors like Apple and Amazon, studios ensure a higher percentage of box office income from every sale.
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