In many ways, the entertainment industry was not prepared for subscription video-on-demand (SVOD). Streaming video is something that most people utilize today, but in the past, it was new and might have even seemed like a crazy idea. A little over a decade ago, people were still going to video rental stores such as Blockbuster when they wanted to check out movies at home. Things have changed so much in a short period of time, and it’s worth examining just how much the SVOD model has disrupted the entertainment industry.
Video Rental Became Obsolete
Of course, SVOD wound up turning the video rental business into a thing of the past. Companies such as Blockbuster wound up going out of business due to not meeting the demand of the times. When you can easily pay a small fee each month to watch thousands of movies and TV shows, it doesn’t make much sense to spend three dollars on renting one movie for a few days. The convenience of SVOD made it appeal to those with Internet connections right away, and the world was forever changed.
Cable Is Having a Tough Time
Even cable services are having a tough time keeping up with SVOD offerings. Cable is certainly not a dead platform, and many people like keeping cable to be able to watch live sports and other things. However, there are many more people who like saving money by just utilizing streaming platforms. People are able to watch many shows on streaming platforms now, and they can pay a lot less money per month to subscribe to one or two streaming platforms than they would when paying for cable.
The Way People Consume Media Is Changing
The way people consume media is changing due to SVOD as well. In the past, you used to watch a show when it came on, and you’d have to remember to record the show or try to catch it live. Now people just watch shows whenever they feel like it, and most major streaming platforms drop entire seasons of shows on the same day. You can binge-watch your favorite show in one sitting if you have the time to do it.
Original Content for Streaming Platforms
Of course, one of the biggest disruptions that need to be mentioned involves the creation of content specifically for streaming platforms. You’ll find that many of the most talked-about shows and movies are developed specifically for Netflix, Hulu, and Disney+ now. In many ways, shows and movies made for these platforms are more culturally relevant than shows on cable or even some movies. These streaming giants spend a lot of cash to make big-budget shows and movies for their platforms, and the entire power balance in the industry has shifted because of it.