Report offers solutions to slow consumer adoption of online movie delivery

February 12, 2008

A report released last week from The Diffusion Group finds the online movie service market continuing to languish.

The report, “Attributes of a Successful Online Movie Download Service — What the Consumer Wants,” provides a detailed analysis of primary consumer research regarding 10 different service attributes, ranging from content considerations to interactive features.

According to Michael Greeson, TDG president and author of the report, online movie services so far have not gained “a critical mass of users,” and added that Apple chairman Steve Jobs recently observed that his company, along with others, has failed to uncover what group of features will motivate consumers to adopt such services.

Despite the presence of strong brand names such as Apple and innovative services of start-ups such as Vudu, only 10 percent of adult broadband users have used an online download service either to rent or purchase movies. The challenge is not only to increase familiarity with online movie download services, but to make sure consumers visiting such sites find high-quality content and compelling features free from complexities, he said.

One attribute that consumers considered most important is getting online movie content to the television as opposed to the PC monitor.

For more information, visit www.tdgresearch.com.

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