AUSTRALIAN HOME ENTERTAINMENT
MARKET REVIEW(Q4 & Full Year 2022)

INDUSTRY FORUM | YEARBOOK LAUNCH AND AWARDSAUSTRALIAN HOME ENTERTAINMENT MARKETEXECUTIVE SUMMARYTotal Physical & Digital Transactional Market••$3.6B in sales value in 2022 (Incl. SVOD)$311M in sales value in Q4 (Excl. SVOD)

Digital Transactional Market••EST -2% & VOD -18% in 2022
Q4 saw the EST segment decline at -1% & VOD -11%.

Physical Market••

Declined at -12% in 2022 & -17% in Q4. The Physical New Release Film segment was up +17% in 2022
The UHD-4K market remained in strong growth +23% in 2022.

Theatrical Market••

Increased by +54% in 2022 & -4% in Q4.
‘Top Gun Maverick’ & ‘Avatar 2’ have been now become the 3rd & 4th biggest theatrical releases of all time.

Subscription Market••

81% of Australians have at least one subscription service.
1 in 4 households plan to cancel an SVOD service within the next 3 months.

Top Selling Titles 2022
•INDUSTRYAHEDAFORUM
Market Review
YEARBOOK2022
LAUNCHAND AWARDS& Q4‘Top Gun Maverick’ (EST, VOD & Physical New Release)

TOTAL ENTERTAINMENT SPEND$3.6 BILLION IN 2022
Physical DiscDigitalCinema

Subscription

$164M

$214M

$899M

$2.3B

-12%

-10%

+54%

$3.6B
INDUSTRYAHEDAFORUM
Market Review
YEARBOOK2022
LAUNCHAND AWARDS& Q4

Source: GFK Retail Sales Tracking Physical Sales Value (Jan 22 to Dec 22), OMDIA Digital Market Sales (Jan 22 to Dec 22), MPDA Theatrical Box Office (Jan 22 to Dec 22). 2022
Futuresource Consulting Subscription DataTOTAL TRANSACTIONAL & THEATRICAL SPEND$311 MILLION IN Q4
Physical DiscDigitalCinema

$44M

$42M

$225M

-17%

-7%-4%$311M
INDUSTRYAHEDAFORUM
Market Review
YEARBOOK2022
LAUNCHAND AWARDS& Q4

Source: GFK Retail Sales Tracking Physical Sales Value (Oct 22 to Dec 22), OMDIA Digital Market Sales (Oct 22 to Dec 22), MPDA Theatrical Box Office (Oct 22 to Dec 22)

TOTAL TRANSCATIONAL SPENDREVENUE SPLITS

Total Digital
54%

$356M

$86M

(-11%)(-11%)

27%

24%

27%

25%

46%

51%

2022

Q4

Physical

INDUSTRYAHEDAFORUM
Market Review
YEARBOOK2022
LAUNCHAND AWARDS& Q4ESTSource: GFK Retail Sales Data & OMDIA Digital Market Data

VOD

PhysicalESTTotal Digital49%VODDIGTAL MARKETEST UPDATE
Insight•

The EST market was down -2% in 2022 & -1% in Q4•Film accounted for 79% of the EST segment & was in growth +11%, while TV EST was in decline at -27%.

•COVID lockdowns last year leading to a strong Q3 in 2021, contributing to significant declines this year.

-2%
2022

$98M

21%-1%Q4$20M
INDUSTRYAHEDAFORUM
Market Review
YEARBOOK2022
LAUNCHAND AWARDS& Q4

Source: OMDIA Digital Market Data 2022. GFK Digital Market Data used for title lists (Global Accounts Only)
Please Note: Title rankings based on GFK Digital Data (Global Accounts Only)

2022
79%FilmTV

DIGTAL MARKET EST TITLE PERFORMANCE
Q4-21

Q4-22

TOP 512345

INDUSTRYAHEDAFORUM
Market Review
YEARBOOK2022
LAUNCHAND AWARDS& Q4

Source: OMDIA Digital Market Data 2022. GFK Digital Market Data used for title lists (Global Accounts Only)
Please Note: Title rankings based on GFK Digital Data (Global Accounts Only)

2021

2022

DIGITAL MARKETVOD UPDATEInsight•The VOD market was down -18% in 2022 & -11% in Q4•Although transactions in 2022 generated by the Top 100 releases were higher Vs. 2021, last years 100 to 500 top
releases generated more transactions, creating stronger a breadth of range in 2021..

•

COVID lockdowns in 2021 saw consumers engaging in more digital rentals, contributing to significant declines in 2022

-18%

80,00070,0002022$94M

Top 500 Avg. Transactions (LY Vs. LY)

60,000

-11%
Q4

$22M

50,000
Average of LY

40,000

Average of TY

30,00020,00010,0001-100

INDUSTRYAHEDAFORUM
Market Review
YEARBOOK2022
LAUNCHAND AWARDS& Q4Source: OMDIA Digital Market Data 2022. GFK Digital Market Data used for title lists (Global Accounts Only)
Please Note: Title rankings based on GFK Digital Data (Global Accounts Only)

101-200 201-300 301-400 401-500

DIGTAL MARKET VOD TITLE PERFORMANCE
Q4-21

Q4-22

TOP 512345

INDUSTRYAHEDAFORUM
Market Review
YEARBOOK2022
LAUNCHAND AWARDS& Q4Source: OMDIA Digital Market Data 2022. GFK Digital Market Data used for title lists (Global Accounts Only)
Please Note: Title rankings based on GFK Digital Data (Global Accounts Only)

2021

2022

DIGTAL
DISTRIBUTOR UPDATE
2022

22 Vs. 21

Distributor

Market Share %Market Share
ChangeMarket Share %Market Share
Change

Sony

18.7%

5.0%

17.9%

2.1%

Disney

13.2%

-6.0%

8.3%

-12.6%

NBCU

21.3%

2.0%

24.0%

5.0%

Warner

16.4%

-3.6%

16.6%

-1.5%

Paramount

16.3%

7.6%

18.7%

8.7%

Roadshow

9.9%

-3.1%

10.2%

-0.9%

Defiant

1.5%

-0.4%

1.3%

-0.8%

Madman

1.4%

-1.3%

1.4%

-0.2%

HBO

1.3%

-0.2%

1.5%

0.2%

2022 Q4

Q4/22 Vs. Q4/21Insight•

INDUSTRYFORUM
AHEDA QUARTERLYMARKETYEARBOOK LAUNCHREVIEW AND AWARDS

Sony, NBCU & Paramount achieving market share growth within the total digital transactional market
for 2022 & Q4

Source: OMDIA Digital Market Data.
Note: Digital Market Share % = Number of Transactions (Volume)DIGITAL MARKETQUARTERLY UPDATE
Digital Sales Value By Quarter & Month70
60-5%+5%$ Million

50-7%

17.4

40
12.0

16.2

14.3

16.2

1014.321.2

30
20-27%

20.7

16.7

12.3

15.3

15.9

11.4

16.8

15.4

16.6

16.5

Q1 2021

Q1 2022Q2 2021

Q2 2022

12.3

11.1

11.6

15.6

15.2

14.0

Q3 2022

Q4 2021

Q4 202220.70JanFebMarAprMay

Jun

Q3 2021

JulAugSepOct

NovDecInsightQ3 saw the largest quarterly decline at -27%, due to COVID lockdowns in 2021 & strength of slate.

INDUSTRYAHEDAFORUM
Market Review
YEARBOOK2022
LAUNCHAND AWARDS& Q4

Source: OMDIA Digital Market Data.

DIGITAL MARKET
FORMAT SPLITS
Digital Format Splits Sales Value

53%

54%

54%

49%

VODEST
47%

46%

46%

51%

20192020

2021

2022Insight2022 saw an increased share of EST within the transactional digital market. Consumers trading up from
PVOD to PEST within the premium window

INDUSTRYAHEDAFORUM
Market Review
YEARBOOK2022
LAUNCHAND AWARDS& Q4

Source: OMDIA Digital Market Data.

PHYSICAL
MARKET UPDATE
Insight•

A stronger 2022 new release film slate drove +17% growth within the new release segment.

•‘Film Catalogue remained challenged in 2022 (-14%). A stronger recent release slate (9 to 52 Weeks) saw growth at +16%,
driven by ‘Bond No Time to Die’, ‘Dune’ & ‘Spider-man No Way Home’. Film Deep Catalogue (53 weeks +) experienced
declines of -25%, box sets were the top sellers within the deep catalogue segment (Harry Potter, Lord of The Rings &Godfather)•The TV segment remained in decline in 2022 at -18%, Game of Thrones, Yellowstone & Outlander were the top selling titles.

Segment Performance TY Vs. LY$M
80-12%

7060

2022

$164M

-17%
Q4

$44M

Source: GFK Retail Sales Tracking Physical Sales Value

-18%

LY

40

TY
+17%

30
20-27%

100Share %INDUSTRYAHEDAFORUM
Market Review
YEARBOOK2022
LAUNCHAND AWARDS& Q4-14%50Catalogue FilmTV

New Release Film

Other

38%

31%

22%10%

PHYSICAL TITLE PERFORMANCE

INDUSTRYAHEDAFORUM
Market Review
YEARBOOK2022
LAUNCHAND AWARDS
& Q4

Q4-21

Q4-22

TOP 52021

2022

45K

102K

179K

111K

38K

28K

272K

116K

36K

25K

362K

103K

32K

24K

457K

76K

32K

22K

552K

68K

Source: GFK Retail Sales Tracking Physical Sales Volume

PHYSICAL
DISTRIBUTOR UPDATE
Q4/22 Vs.
Q4/21

2022

22 Vs. 21

Distributor

Market Share %Market ShareChange

Market Share %UNISONY

44.4%

+7.7%

48.1%

+10.0%ROADSHOW

20.4%

-3.5%

19.6%

-1.1%

DISNEY

13.8%

-2.0%

10.9%

-6.6%

MADMAN

17.7%

-0.8%

18.5%

+.07%

OTHER

3.7%

-1.4%

2.8%

-2.4%

2022 Q4

Market ShareChangeInsight‘UniSony’ capturing market share growth in 2022, wile ‘UniSony’ & ‘Madman’ saw growth in Q4

INDUSTRYAHEDAFORUM
Market Review
YEARBOOK2022
LAUNCHAND AWARDS& Q4

Source: GFK Retail Sales Tracking Physical Sales ValuePHYSICAL
UHD-4K UPDATE
Insight•Another strong year for the Physical UHD-4K market up +23% YOY & +16% in Q4.

•Top performing UHD-4K titles for the year were ‘TOP GUN MAVERICK’, ‘SPIDERMAN NO WAY HOME’ & ‘JAMES BONDNO TIME TO DIE’ while the top performing UHD-4K releases in Q4 were ‘TOP GUN MAVERICK’, ‘LORD OF THE RINGSBOX SET’ & ‘BULLET TRAIN’.

+23%

Action/Sci-fi #1 UHD-4K Genre2022$14.3M

+16%
Q4

$4.3M
INDUSTRYAHEDAFORUM
Market Review
YEARBOOK2022
LAUNCHAND AWARDS& Q4Source: GFK Retail Sales Tracking Physical Sales Value

72%

12%
Avg. UHD-4K Share ofNew Film Release4K ULTRA HD
GREATER SHARE & SOFTER DECLINESYOY Physical Format Splits
DVD
4%4%18%

16%Blu-Ray-12% YOY-29% YOY

UHD-4K
6%
17%-16% YOY

9%+23% YOY-38% YOY

20%+2% YOYInsight78%

2019

INDUSTRYAHEDAFORUM
Market Review
YEARBOOK2022
LAUNCHAND AWARDS& Q4

80% -20% YOY

2020

Source: GFK Retail Sales Tracking Physical Sales

77% -44% YOY2021•

The Higher Definition formats (Blu-ray & UHD4K) both capturing higher shares of thephysical market & experiencing growth in 2022.

•As the physical market contracts, a loyal
consumer base valuing collectability continues
to support the HD format. The DVD format also
losing share as the retail mix continues toevolve into a more sspecialist focus

72% -17% YOY2022

PHYSICALQUARTERLY UPDATE
Physical Sales Value By Quarter & Month60

50-17%
40-10%-17%-2%

23.6

15.4

$ Million

17.5
14.8
30

21.0

16.1

14.4

15.8

13.7
14.1

20
12.2

10

17.1

12.7

11.7

11.0
13.3

17.5
12.2

13.9

Q1 2022

Q2 2021

13.6

13.0

13.1

12.9

Q2 2022

Q3 2021

Q3 2022

Q4 2021

10.00

Q1 2021JanINDUSTRYAHEDAFORUM
Market Review
YEARBOOK2022
LAUNCHAND AWARDS& Q4

Source: GFK Retail Sales Tracking Physical Sales ValueFebMarAprMayJunJul

AugSepOctNovDec

Q4 2022

WINDOW REDUCTIONCONTENT EARLIER
130

128

Physical Home Entertainment Windows
117

120

Insight
108

110

106

106

•

Windows continue to contract for both thephysical & digital markets.

•Premium Digital Windows (PVOD &PEST) now offering the consumer content
earlier than ever before, at a premium
price (e.g. 42 Days after theatrical)

104

100
93
90

84

8070
2015

INDUSTRYAHEDAFORUM
Market Review
YEARBOOK2022LAUNCHAND AWARDS& Q4

2016

2017

2018

2019

2020

2021

2022

Source: GFK Retail Sales Tracking Physical Sales. Windows calculated using avg. time (days) between Theatrical release & Home Entertainment release (titles >$500k Box office)THEATRICAL
MARKET UPDATE
Insight•

2022 finished the year in significant Box Office growth. ‘Top Gun Maverick’ & ‘Avatar 2’ have been now
become 3rd & 4th biggest theatrical releases of all time. Across the board this year saw more larger scalereleases Vs. 2021.

•Q4 was slightly down (-4%) Vs. the same period last year. Despite ‘Avatar 2’ releasing, last Q4 saw‘Spider-man No Way Home’ & ‘No Time to Die’ release in theatres.

+54%
2022

$899M

-4%
Q4

$225M
Theatrical Box Office
INDUSTRYAHEDAFORUM
Market Review
YEARBOOK2022
LAUNCHAND AWARDS& Q4

Source: MPDA Theatrical Box Office & Screen Australia

629$16.26$48.6M

Films Released in
2022

Avg. Ticket Price in
2022

Australian Films in
2022

THEATRICAL TITLE PERFORMANCE

INDUSTRYAHEDAFORUM
Market Review
YEARBOOK2022
LAUNCHAND AWARDS
& Q4

Q4-21

Q4-22

TOP 52021

2022

82M

93M182M

93M

36M

20M

236M

93M

20M

20M

328M

44M

16M

19M

422M

43M

15M

12M

521M

38M

Source: MPDA Theatrical Box OfficeTHEATRICALBOX RANGE ANALYSISYOY Title Count >$10M Box Office1010988Title Count76202152022

443322

122
1

1

0
10-20

20-30

30-40

40-50

80-90

Box Office Range

Insight
2022 saw a greater frequency of titles performing in the upper Box Office tiers,20 titles generating more than $10M in revenue (+53% Vs. 2021),
while 8 titles performed above $30M in 2022 Vs. 2 titles in 2021

INDUSTRYAHEDAFORUM
Market Review
YEARBOOK2022
LAUNCHAND AWARDS& Q4

Source: MPDA Theatrical Box OfficeSUBSCRIPTION
MARKET UPDATE

81%Insight•

On average, households pay for 2.0 online subscription services•In 2022, Disney+, Amazon Prime Video, Binge, Kayo and Paramount+have all significantly increased.

Of Australians have at least
one subscription service

Total Number of Subscribers

68%
Netflix

INDUSTRYAHEDAFORUM
Market Review
YEARBOOK2022
LAUNCHAND AWARDS
& Q4

34%

29%

27%

15% 13% 13%

Disney+Amazon

Stan

Binge

Source: Kantar Worldpanel's Entertainment on Demand study in Australia three months to December 2022:
Source: Federal 2022 Media Content Consumption Survey, and a new Television Consumer Survey

KayoFoxtel
Now

10%

8%

Apple Paramount+TV +SUBSCRIPTION
MARKET UPDATE
1 in 4 Households plan to cancel
their SVOD service in next 3 months‘Wednesday’ was the mostenjoyed SVoD title in Q4 for
Netflix

25%

2026 Subscription Forecast(Million)

23.4
2022

Subscription services will bechallenged to avoid
cancellations & attract new
subscribers, as economic
pressure increases on
discretionary spend
categories (e.g. interest rates& inflation)

INDUSTRYAHEDAFORUM
Market Review
YEARBOOK2022
LAUNCHAND AWARDS& Q4‘Yellowstone’ was the next
most enjoyed title for STAN

Source: Telsyte Subscription TV Consumer Research to June 2022

Source: Kantar Worldpanel's Entertainment on Demand study in Australia three months to December 2022:

302026Australian Subscription
market is set to reach nearly
30 million subs by 2026