HOME ENTERTAINMENT
MARKET REVIEW(2020 & Q4)

INDUSTRY FORUM | YEARBOOK LAUNCH AND AWARDS

Document Index

INDUSTRYFORUM
AHEDA QUARTERLYMARKETYEARBOOK LAUNCHREVIEW AND AWARDS

Page 3:Market Executive Summary

Page 4-14:

Industry Data

Page 15:

Theatrical

Page 16:

Subscription & Pay TV Services

Page 17-18:

AHEDA Committee Updates

Page 19-20:

Copyright & Piracy

Market Executive Summary
Total Physical & Digital Transactional Home Entertainment Market generating $537M insales value in 2020
Physical & Digital Transactional Markets both experiencing declines in Q4 due to thesignificantly lighter New Release Slate

2020 Digital Market EST (-6%) & VOD (-3%)
2020 Physical Market -23%, while TV -11% & Film Catalogue -15% performed ahead of theoverall physical market decline.
#1 TITLES for Q4 2020 were Trolls World Tour (EST), Unhinged (VOD) & Mulan (Physical)#1 TITLES for 2021 YTD are The Undoing S1 (EST), Tenet (VOD) & Rams (Physical)
Wonder Woman ($24M) & The Croods ($18M) were the top performing box officereleases in Q4
17.3M Australians now have access to some form of pay TV or SVOD service (+16% YOY), with allproviders experiencing growth
ANZSA piracy reduction strategies proving effective 2016 - 2020. Estimate that the volumeof piracy has fallen by 30-40% in that period.

INDUSTRYFORUM
AHEDA QUARTERLYMARKETYEARBOOK LAUNCHREVIEW AND AWARDSAUSTRALIA ENTERTAINMENT SPEND$861 MILLION SPENT IN 2020
Physical DiscDigitalCinema

$311M

$226M

$324M

-23%-4%

-72%

$861M
INDUSTRYFORUM
AHEDA QUARTERLYMARKETYEARBOOK LAUNCHREVIEW AND AWARDS

Source: GFK Retail Sales Tracking Physical Sales Value (Jan 20 to Dec 20), OMDIA Digital Market Sales (Jan 20 to Dec 20), MPDAA Theatrical Box Office (Jan 20 to Dec 20)

AUSTRALIA ENTERTAINMENT SPENDOVER $200 MILLION SPENT IN Q4
Physical DiscDigitalCinema

$83M

$43M

$88M

-27%

-25%

-71%

$214M
INDUSTRYFORUM
AHEDA QUARTERLYMARKETYEARBOOK LAUNCHREVIEW AND AWARDS

Source: GFK Retail Sales Tracking Physical Sales Value (Oct 20 to Dec 20), OMDIA Digital Market Sales (Oct 20 to Dec 20), MPDAA Theatrical Box Office (Oct 20 to Dec 20)

CONSUMERS CONTINUE TO ACCESSCONTENT IN MULTIPLE WAYS
WHICH OF THE FOLLOWING HAVE YOU
WATCHED IN THE LAST MONTH : Q1, 2021
CONSUMPTION UPDATE
8%

Digital & Physical

28%

13%

Digital only
8%

Physical only
TV only (incl. Pay TV)

43%

INDUSTRYFORUM
AHEDA QUARTERLYMARKETYEARBOOK LAUNCHREVIEW AND AWARDS

Source: GFK ConsumeSscope Q1 2021

• Consumers continue to access content in a variety of ways,
with several factors driving choice (gifting, only want towatch once, ownership, special features, value)• ‘TV Only (Incl. Pay TV)’ Segment fell from 18% in Q1 2020
to 13% in Q1 2021. ‘Digital & Physical’ also increased from23% in Q1 2020 to 28% in Q1 2021. COVID lockdowns saw
consumers expanding their viewing options leading toincreases in both these segments

None

Base: Nat rep sample in the period specified (aged 14-65)*
Please note: Digital includes: EST, VOD, SVOD, CUTV, Piracy (indirect+direct)*Please note: All segments may/ may not have consumed TV/Pay TV as well

TOTAL HOME ENTERTAINMENTREVENUE CONTINUES TO SHIFT

Total Digital
43%

$537M

$126M

(-11%)(-21%)
17%

23%

Total Digital
34%

17%

20%

66%

57%

2020 Full Year
Physical

INDUSTRYFORUM
AHEDA QUARTERLYMARKETYEARBOOK LAUNCHREVIEW AND AWARDSESTVOD

Source: GFK Retail Sales Data & OMDIA Digital Market Data

Q4PhysicalESTVODDIGTAL EST MARKET UPDATE
2020 Full Year
1234TOP 5 Film
51TOP 5 TV
12345-6%
2020

$105M

23452345EST UPDATE-19%
Q4$21M
INDUSTRYFORUM
AHEDA QUARTERLYMARKETYEARBOOK LAUNCHREVIEW AND AWARDS

1Q4

Please Note: Title rankings based on GFK Digital Data (Global Accounts Only)
Source: OMDIA Digital Market Data 2020 & Q4. GFK Digital Market Data used for title lists (Global Accounts Only)• Whilst the EST market performed strongly during the initial
pandemic period in Q2, with April (+55%) & May (+29%), Q3 &Q4 saw the impact of less new releases in the market, which led
to a slight full year decline of -6%.
• EST movies performed slightly better at -2% Vs. TV on EST at-12% for 2020
• Amazon Transactional (EST & VOD Film only) launched in May2020

DIGTAL EST
DISTRIBUTOR UPDATE2020

EST DISTRIBUTOR UPDATE• Warner, Roadshow, Sony, Paramount & Defiant all
experiencing Full Year EST market share growth• No major monthly share shifts across the Q4months, with the absence of major slate
fluctuations

2020

Distributor

MarketShare%

MarketShareChange(+/-)

OCTNOVDEC

MarketShare %

MarketShare %

MarketShare %

NBCU

21.1%

-1.9%

22.9%

24.1%

21.4%

Disney

26.6%

-3.0%

24.6%

23.0%

22.1%

Warner

18.4%

+2.6%

22.4%

19.6%

22.8%

Roadshow

8.1%

+1.0%

7.4%

6.7%

8.8%

Sony

14.2%

+2.8%

11.8%

12.7%

9.5%

HBO

4.3%

-3.0%

5.0%

4.2%

7.2%

Paramount

4.9%+1.4%

4.1%

6.7%

6.1%

Madman

1.4%

-0.1%

1.4%

1.6%

1.3%

Defiant

0.4%+0.2%.06%

1.0%

0.4%

Digital Market Share % = Number of Transactions (Volume)
INDUSTRYFORUM
AHEDA QUARTERLYMARKETYEARBOOK LAUNCHREVIEW AND AWARDS

Source: OMDIA Digital Market Data

DIGITAL VOD
MARKET UPDATETOP 52020 Full Year
12354Q412345

Please Note: Title rankings based on GFK Digital Data (Global Accounts Only)

VOD UPDATE-3%•

VOD market performed strongly during the pandemic, with April(+49%) & May (+43%). However similar to the EST market, Q3 &Q4 was heavily impacted by the reduced New Release slate,leading to a full year VOD decline of -3%•THE GENTLEMEN, GEMINI MAN & HUSTLERS performed wellwithin the VOD space, with consumers more willing to digitallyrent these titles•

BORAT featuring in the Q4 VOD charts, benefiting from Amazon
Prime new BORAT release•Amazon Transactional (EST & VOD Film only) launched in May
2020

2020

$121M

-30%
Q4

$22M
INDUSTRYFORUM
AHEDA QUARTERLYMARKETYEARBOOK LAUNCHREVIEW AND AWARDSSource: OMDIA Digital Market Data 2020 & Q4. GFK Digital Market Data used for title lists (Global Accounts Only)DIGTAL VOD
DISTRIBUTOR UPDATEVOD DISTRIBUTOR UPDATE••

Roadshow, Sony, Madman & Defiant all
experiencing Full Year VOD market share
growthNo major monthly share shifts across themonths of Q4, with the absence of major slate
fluctuations

2020

2020

OCTNOVDEC

Distributor

MarketShare%

MarketShare
Change(+/-)

MarketShare %

MarketShare %

MarketShare %

NBCU

18.7%

-0.5%

19.1%

25.1%

22.4%

Disney

24.9%

-3.2%

26.3%

23.5%

27.3%

Roadshow

15.1%

+3.9%

13.8%

11.2%

11.6%

Sony

16.9%

+1.0%

12.5%

11.6%

13.8%

Warner

12.5%

-1.5%

18.1%

13.0%

14.6%

Paramount

7.0%

0.0%

6.0%

6.2%

5.9%

Madman

2.7%

+.04%

3.0%

5.4%

1.7%

Defiant

1.7%

+0.2%

1.0%

3.7%

2.4%

Digital Market Share % = Number of Transactions (Volume)
INDUSTRYFORUM
AHEDA QUARTERLYMARKETYEARBOOK LAUNCHREVIEW AND AWARDS

Source: OMDIA Digital Market Data

PHYSICAL
MARKET UPDATETOP 52020 Full Year

Q41234512345(148k)(91k)

(88k)

(87k)

(79k)

(34k)

(24k)

(20k)

(19k)

(18k)

DISC UPDATE

-23%
2020

$311M

-27%

Whist the physical market had significant challenges within the Film New Releasesegment, due to the impact of COVID & theatrical slate changes, the TV & Film
Catalogue market remained relatively buoyant•

Film Catalogue segment performed better than the overall market decline at -15% in
2020, with ‘Deep Catalogue’ (>12 months old) performing at -9%. HARRY POTTER& LORD OF THE RINGS Box Sets top selling catalogue titles in market•TV segment also performed better than the overall market at -11% in 2020.
GAME OF THRONES, OUTLANDER & NCIS top franchises in 2020

•Q4 saw steeper declines for the physical market versus the full year performance,
this decline driven by the significantly reduced new release slate. New Release Filmwas -70% in Q4, while Film Catalogue was -12% for the same period

Q4

$83M
INDUSTRYFORUM
AHEDA QUARTERLYMARKETYEARBOOK LAUNCHREVIEW AND AWARDS•Source: GFK Retail Sales Tracking Physical Sales Value (Jan 20 to Dec 20 & Oct 20 to Dec 20)

PHYSICAL
DISTRIBUTOR UPDATEPHSYICAL DISTRIBUTOR UPDATE••2020

2020

2020

Q4

Q4Q4

Distributor

MarketShare%

MarketShare
Change(+/-)

Value %
ChangeMarketShare%

MarketShare
Change(+/-)

Value %
Change

UNIVERSAL SONY (inc. PHE)

39.0%

+5.2%

-11.%

38.1%

+1.0%

-25%

DISNEY (Incl. Fox)

20.6%

-7.0%

-43%

17.9%

-5.3%

-44%

ROADSHOW

22.5%

-3.1%

-32%

22.5%

-3.2%

-36%

MADMAN ENTERTAINMENT

11.2%

+4.3%

+24%

14.4%

+6.6%

+35%

DEFIANT

1.2%

+0.3%

-1%

1.2%

+0.5%+28%

BEYOND

1.3%

-0.7%

-50%

0.2%

-2.4%

-95%

SHOCK RECORDS

2.8%

+0.9%

+14%

4.5%

+2.5%

+63%

OTHERS

1.4%

+0.2%

+14%

1.2%

+0.1%

-18%

Universal Sony, Madman, Defiant, Shock & Others allachieving 2020 market share gains
Universal Sony, Madman, Defiant, Shock & Others
also achieving market share gains within Q4 2020

TOTAL
INDUSTRYFORUM
AHEDA QUARTERLYMARKETYEARBOOK LAUNCHREVIEW AND AWARDS

Source: GFK Retail Sales Tracking Physical Sales Value

-23%

-27%

4K ULTRA HD
GENERATING OVER $13M IN 2020UHD 4K Sales Value By Quarter
4K ULTRA HD UPDATE

5,000,000
4,500,000

4,000,000•

The UHD 4K market was down -12% in 2020,
while Q4 saw slight YOY growth of +4% in Q4•

While New Release was a challenging segment
for the 4K market due to the limited slate,catalogue generated some exceptional growth+28%•

STAR WARS EPISODE IX THE RISE & JOKER
top selling UHD 4K titles in 2020, while TENET
led the way in Q4

3,500,000
3,000,000
2,500,000
2,000,000
1,500,000

1,000,000
500,000
0Q1 2020

INDUSTRYFORUMAHEDA QUARTERLYMARKETYEARBOOK LAUNCHREVIEW AND AWARDS

Q2 2020

Source: GFK Retail Sales Tracking Physical Sales

Q3 2020

Q4 2020

THEATRICALUPDATETOP 52020 Full Year
1234512345($23M)($23M)($20M)($18M)($16M)($24M)($18M)($10M)

($6M)

($4M)

-72%
2020

$324M

THEATRICAL UPDATE-71%•Following a buoyant January period which saw box office up by 9%,2020 saw significant declines due to cinema closures across the nationin Q2 due to COVID lockdowns•Q3 saw the reopening of theatres across the nation, with consumers
slowly returning to cinema, Tenet & Trolls World Tour led the box officeresurgence. Wonder Woman & Croods also performed exceptionallywell in Q4•Australian films grossed $22.6m in 2020, The Invisible Man ($9m) &Rams ($4.4m)•Expecting a strong pipeline of theatrical content to hit theatres in 2021,
once the US & UK rollout COVID vaccinations

Q4

$88M
Theatrical Box Office
INDUSTRYFORUM
AHEDA QUARTERLYMARKETYEARBOOK LAUNCHREVIEW AND AWARDS

Q4

Source: MPDAA Theatrical Box Office (Jan 20 to Dec 20)

SUBSCRIPTION & PAY TV SERVICESUPDATE

17.3m

SVOD & PAY TV UPDATE

83% Australians had access to some form ofpay TV or SVOD service (+16% YOY)

INDUSTRYFORUM
AHEDA QUARTERLYMARKETYEARBOOK LAUNCHREVIEW AND AWARDS•SVOD services have all seen growth in the pandemic, withNetflix, Stan, Amazon Prime Video and Disney+ all recording
significant gains in viewership•

New entrants ‘Disney +’ & ‘Amazon Prime’ have added
significant market share in a short amount of time•‘Binge’ (May 2020) & ‘BritBox’ (Nov 2020) both launching in2020

14.1m

7.7m

4.9m

3.2m

2.8m

+19%+44%+46%+190%

New

Source: The Roy Morgan Research three months to September 2020 (How many people have access to a service, either through their own orsomeone else’s service). Sample Size: 50,000 (Note: Foxtel includes either Foxtel, Foxtel Now, Kayo or Binge)