Filmstruck has shut down, and Fandor is in trouble. It looks like the SVOD business model might not be the right fit for classic movies online. If not that, then what?
Chapter 1: Filmstruck and Fandor’s fate (1:30)
Filmstruck closed at the end of November. Fandor’s owners are looking for a buyer with no guarantees the service will survive the transition. It looks like an SVOD service based on classic movies can’t attract enough subscribers to survive.
I look at traditional pay TV data to understand why a direct-to-consumer classic movie service doesn’t work online.
Chapter 2: The audience for classic movies (8:00)
Will thinks it could be the nature of the classic movie audience that is the problem. He suspects it is mostly older viewers who are still happy with the traditional pay TV model.
Chapter 3: Criterion Collection tries something new (9:50)
The Criterion Collection, which was part of the Filmstruck service, is trying a two-pronged approach to online delivery. It will have a DTC service and allow WarnerMedia to add the movies to its new service slated for release in Q4 2019.
A freemium model might be a possible solution too.
Chapter 4: How classic movies help WarnerMedia (14:50)
Classic movies could bolster the more recent movies that will be available in the 2019 WarnerMedia service.
Chapter 5: Why studios haven’t launched DTC services (17:40)
Major studios like MGM have not launched DTC services based on the extensive movie libraries. It could be that they recognize there is not enough value there to get people to spend $5+ a month to access them.