Photo: Associated Press
Another reason Netflix’s subscription-based movie business is in better shape than some may think: Because people can stream a lot of movies for the same monthly price, and that seems to be a popular value.NPD Group said today that Netflix’s share of movies streamed or downloaded in January and February reached 61%.
That’s 15X the 4% share that Apple’s iTunes movie store reached, although it’s a different business — at iTunes, you have to pay for each movie rental or download individually. (And they’re not very cheap, given that they are often newer titles, versus older movies from Netflix.)
And that’s almost 8X the 8% share of Comcast cable video-on-demand. (Not including free movies streamed on Comcast VOD or premium-subscription-channel VOD like HBO or Starz, which NPD doesn’t measure, for some reason. We’ve reached out to Comcast to try and figure out what per cent of its VOD movie streams are being neglected by this study, but haven’t heard back.)
For context, Comcast had about 20 million digital video subscribers at the end of 2010 — about the same size as Netflix’s subscriber base.
Digital video is now almost 1/4 of all home video volume, according to NPD.