February Insights by Cinelytic: Decoding Apple’s $25M “Coda” Sundance Acquisition

Cinelytic provides critical insights into the economics of a traditional theatrical vs. direct to OTT release by using our OTT demand data and our AI-driven content intelligence platform.  We used our platform to shed some light on CODA’s value to different sides of the market and what that says about the current state of the independent film industry.

The Classic Film Distribution Analysis:

We ran Sundance hit CODA on our data-driven platform as a classic theatrical release in a post-Covid environment. By taking into account key project variables and a $4m investment the system predicted a ROI of 12.8% in the median revenue forecast – the outcome with the highest probability. See our forecast summary below:

If audiences catch on, these figures can increase as shown in our probability weighted forecast scenarios. Overall, Cinelytic’s median forecast is 85%+ accurate.  The forecast analysis clearly illustrates that the value of CODA to a traditional distributor without streaming platform support is between US$3-5m globally.

Therefore, it was a surprise to many that AppleTV+ paid US$25m, the highest fee ever for a Sundance title.  Looking at this disconnect we took a deeper dive to see if one can make a case for the price paid. 

Worldwide Revenues

First we ran Cinelytic’s predictive revenue module to assess global gross revenues which exclude exhibition and distribution expenses in. Based on the 19 input assumptions, the platform predicts that CODA could generate worldwide revenues of US$21.6m in the median base case (the most likely outcome).

The worldwide revenue forecast indicates that the US$25m purchase price is close to the base case and right on target at the 40% confidence level.  As AppleTV+ self distributes globally, the worldwide revenue forecast at the 40% confidence interval is a true indication of total value to a streaming platform. 

Creative Fit:

From a creative standpoint, the film clearly fits into Tim Cook’s creative vision for AppleTV+, uplifting messaging with a distinct programming sensibility to compete with the likes of Disney+. The film’s charm, creative fit and online/critical response set off a bidding war among several potential acquirers before AppleTV+, with its deep pockets, emerged victorious over the weekend.

Streaming Model

Traditional revenue forecasts and creative fit only partly explain CODA attracted a US$25m price tag.  To fully appreciate the business case for CODA, one needs to analyze the streaming model for comparable films.  By doing so one can understand the true value of such a title to a streaming platform. PALM SPRINGS sold to HULU last year at Sundance for US$22.5m (including bonus).  We ran the title in January of 2020 and found that on a 1,000 theater release, the film would generate US$28m of overall revenue.

Comparing the two titles, the CODA price tag feels aggressive.  But this does paint the full picture.  

When looking at our OTT demand data, one notices that Hulu struck gold with PALM SPRINGS as it became Hulu’s most watched original movie of 2020.  Releasing in July, it launched a strong #3 behind GREYHOUND (AppleTV+) and THE OLD GUARD (Netflix) and continued to play well through the summer.  Both titles had budgets that towered in comparison.

In Q3 2020, the quarter during which PALMS SPRINGS was released, Hulu Subscriber numbers increased by 3.4 million or 11% to 35.5 million  – its strongest quarterly subscriber growth of the year. If one assumes a US$10 value per new subscriber the monetary benefit is US$34m. It seems as though AppleTV+ is taking a page out of the Hulu playbook and possibly also motivated by the strong results generated by their  GREYHOUND acquisition (Sony title that we analyzed last year: GREYHOUND ANALYSIS). All to say, our data shows single picture acquisitions can drive a great deal of value for streaming platforms with the acquisition costs ascribed to customer acquisition / marketing expenses.

Conclusion:

Putting the various pieces together provides a more complete picture and understanding as to why streaming platforms are motivated to spend large sums on specific content in order to drive brand value and subscribers. In addition, this analysis highlights how widely this model differs to a traditional theatrical release that often limits film distributors in offers today. Other Sundance titles that did not attract streaming platform interest sold for much less than CODA and more in line with the analysis outlined at the beginning of this article.  

As top dollar streaming platform sales are few and far between, it is crucial to base a film’s financing structure on a realistic business models and release strategy. The traditional release potential should still be the base case as outlined above but one needs to include OTT demand data to better understand if and when a streaming platform could be motivated to pay a high premium for a film that fits their profile and content strategy. 

With our OTT demand data and AI-driven intelligence platform, Cinelytic is here to support this type of critical thinking and out of the box decision making.

Get in touch today to learn how Cinelytic can future proof your decisions. 

Top US 2020 OTT Release Consumption- Week Jan.1-Jan.11, 2021

WarnerBros. ‘Wonder Woman 1984′ takes 2021 by storm and continues its’ domination over other titles in our weekly analysis of SVoD and PVoD viewing data. Disney+’s ‘Soul’ gains a #3 position, while ‘Star Trek: Discovery’ takes over the #1 spot in TV from ‘The Mandalorian’.

‘Soul’ follows a middle school music teacher named Joe Gardner, who seeks to reunite his soul and his body after they are accidentally separated, just before his big break as a jazz musician. Soul is the first Pixar film to feature an African-American protagonist.

Cinelytic tracks global, illegal P2P based file-sharing data for film and TV content. By correlating our data with consumer data we are able to provide deep SVoD viewing insights for better audience understanding, targeting, and activation.

Check out last week’s SVoD film and TV content consumption below!

Click here to learn more about Cinelytic’s Global Audience Intelligence tool.

TOP 10 US SVoD Releases since Cinemas closed


According to our data, WarnerBros’. ‘Wonder Woman 1984’ was 2020’s most successful release on SVoD and PVoD (Premium Video on Demand) releases since Cinemas closed in April.

‘Wonder Woman 1984’ tells the story of Diana Prince who lives quietly among mortals in the vibrant, sleek 1980s — an era of excess driven by the pursuit of having it all. Though she’s come into her full powers, she maintains a low profile by curating ancient artifacts and only performing heroic acts incognito. But soon, Diana will have to muster all of her strength, wisdom and courage as she finds herself squaring off against Maxwell Lord and the Cheetah, a villainess who possesses superhuman strength and agility.

Cinelytic tracks global, illegal P2P based file-sharing data for film and TV content. By correlating our data with consumer data we are able to provide deep audience insights for better audience understanding, targeting, and activation.

Check out last week’s SVoD film and TV content consumption below!

Click here to learn more about Cinelytic’s Global Audience Intelligence tool.

Top US Content Consumption- Week Dec.14-Dec.21, 2020


Warner Bros. ‘Tenet’ consolidates its’ position, with a second consecutive week in the #1 spot. Universal’s PVOD release ‘The Croods: A New Age” takes a large portion of the market share equally.

‘The Croods: A New Age’ tells the story of a prehistoric Crood family, which searching for a safer habitat, discovers an idyllic, walled-in paradise that meets all of its needs. Unfortunately, they must also learn to live with the Bettermans — a family that’s a couple of steps above the Croods on the evolutionary ladder. As tensions between the new neighbors start to rise, a new threat soon propels both clans on an epic adventure that forces them to embrace their differences, draw strength from one another, and survive together.

Cinelytic tracks global, illegal P2P based file-sharing data for film and TV content. By correlating our data with consumer data we are able to provide deep audience insights for better audience understanding, targeting, and activation.

Check out last week’s SVoD film and TV content consumption below!

Click here to learn more about Cinelytic’s Global Audience Intelligence tool.

Top US Content Consumption- Week Dec.7-Dec.14, 2020


Warner Bros.’ ‘Tenet’ takes leadership in this weeks’ SVOD analysis Top 20 for Film and TV. Open Road’s ‘Honest Thief’ starring Liam Neeson, consolidates its position in the top 3 for the second consecutive week.

In TV, ‘The Mandalorian’ continues its’ dominance well ahead of ‘Star Trek: Discovery’.

‘Honest Thief’ tells the story of a professional bank robber who, hoping to cut a deal, agrees to return all the money he stole in exchange for a reduced sentence. But when two FBI agents set him up for murder, he must now go on the run to clear his name and bring them to justice.

Cinelytic tracks global, illegal P2P based file-sharing data for film and TV content. By correlating our data with consumer data we are able to provide deep audience insights for better SVoD viewing understanding, targeting, and activation.

Check out last week’s SVoD film and TV content consumption below!

Click here to learn more about Cinelytic’s Global Audience Intelligence tool.

Top US Content Consumption- Week Nov.30-Dec.7, 2020


Universal’s ‘Freaky’ and Open Road’s ‘Honest Thief’ overtakes Disney’s ‘The New Mutants’ in this weeks’ SVOD analysis and Electronic Sales Through Top 20 for Film and TV. On the TV front, ‘The Mandalorian’ still holds strong, showing audiences’ appeal for Star Wars content.

‘Freaky’ tells the story of seventeen-year-old Millie Kessler, who spends her days trying to survive high school and the cruel actions of the popular crowd. But when she becomes the latest target of the Butcher, the town’s infamous serial killer, her senior year becomes the least of her worries. When the Butcher’s mystical dagger causes him and Millie to magically switch bodies, the frightened teen learns she has just 24 hours to get her identity back before she looks like a middle-aged maniac forever.

Cinelytic tracks global, illegal P2P based file-sharing data for film and TV content. By correlating our data with consumer data we are able to provide deep audience insights for better audience understanding, targeting, and activation.

Check out last week’s SVoD film and TV content consumption below!

Click here to learn more about Cinelytic’s Global Audience Intelligence tool.

Top US Content Consumption- Week Nov.23-Nov.30, 2020

WarnerBros.’ ‘Tenet’ takes the top spot in this weeks’ SVOD analysis and Electronic Sales Through Top 20 for Film and TV.

‘Tenet’ tells the story of a secret agent who is given a single word as his weapon and is sent to prevent the onset of World War III. He must travel through time and bend the laws of nature in order to be successful in his mission.

Cinelytic tracks global, illegal P2P based file-sharing data for film and TV content. By correlating our data with consumer data we are able to provide deep audience insights for better audience understanding, targeting, and activation.

Check out last week’s SVoD film and TV content consumption below!

Click here to learn more about Cinelytic’s Global Audience Intelligence tool.

Top US 2020 OTT Release Consumption- Week Nov.16-Nov.23, 2020


STX’s ‘Greenland’ overtakes Disney’s ‘The New Mutants’ in this weeks’ SVOD analysis and Electronic Sales Through Top 20 for Film and TV.

‘Greenland’ tells the story of John Garrity, his estranged wife, and their young son, which embark on a perilous journey to find sanctuary as a planet-killing comet hurtles toward Earth. Amid terrifying accounts of cities getting levelled, the Garrity’s experience the best and worst in humanity. As the countdown to the global apocalypse approaches zero, their incredible trek culminates in a desperate and last-minute flight to a possible safe haven.

Cinelytic tracks global, illegal P2P based file-sharing data for film and TV content. By correlating our data with consumer data we are able to provide deep audience insights for better audience understanding, targeting, and activation.

Check out last week’s SVoD film and TV content consumption below!

Click here to learn more about Cinelytic’s Global Audience Intelligence tool.

Top US Content Consumption- Week Nov.09-Nov.18, 2020

Disney+ continues to lead both on the film and TV show fronts with ‘The New Mutants’ and ‘The Mandalorian’ for this week’s SVOD and Electronic Sales Through Top 20.

‘Greenland’ tells the story of John Garrity, his estranged wife and their young son who embark on a perilous journey to find sanctuary as a planet-killing comet hurtles toward Earth. Amid terrifying accounts of cities getting levelled, the Garrity’s experience the best and worst in humanity. As the countdown to the global apocalypse approaches zero, their incredible trek culminates in a desperate and last-minute flight to a possible safe haven.

Cinelytic tracks global, illegal P2P based file-sharing data for film and TV content. By correlating our data with consumer data we are able to provide deep audience insights for better audience understanding, targeting, and activation.

Check out last week’s illegal P2P film and TV content consumption below!

Click here to learn more about Cinelytic’s Global Audience Intelligence tool.

Top US Content Consumption- Week Nov.02-Nov.09, 2020

Disney+ leads both on the film and TV show fronts with ‘The New Mutants’ and ‘The Mandalorian’ for this week’s SVOD and Electronic Sales Through Top 20.

The New Mutants introduces five teenage mutants — Mirage, Wolfsbane, Cannonball, Sunspot and Magik — who undergo treatments at a secret institution that will cure them of their dangerous powers. Invited by Dr. Cecilia Reyes to share their stories, their memories soon turn into terrifying realities as they start to question why they’re being held and who’s trying to destroy them.

Cinelytic tracks global, illegal P2P based file-sharing data for film and TV content. By correlating our data with consumer data we are able to provide deep audience insights for better audience understanding, targeting, and activation.

Check out last week’s illegal P2P film and TV content consumption below!

Top US Content Consumption- Week Oct.26-Nov.02, 2020

‘Roald Dahl’s The Witches’ takes the first position in this week’s SVOD & Electronic Sales Through film consumption, with ‘Borat 2’ close behind.

On the TV front, the second season of ‘The Mandalorian’ pushes Disney+ ahead from the competition.

‘The Mandalorian’ has been tasked with returning his charge, a child, to its people, the Jedi. He begins searching for other Mandalorians who he believes can help him find the Jedi, and is directed to a rumored Mandalorian operating out of the Tatooine town Mos Pelgo.

Cinelytic tracks global, illegal P2P based file-sharing data for film and TV content. By correlating our data with consumer data we are able to provide deep audience insights for better audience understanding, targeting, and activation.

Check out last week’s illegal P2P film and TV content consumption below!

Top US Content Consumption- Week Oct.19-Oct.26, 2020

‘Borat: Subsequent MovieFilm’ lands in the Top3 of the week, having been released during the weekend, behind of ‘Roald Dahl’s The Witches’ and ‘Love and Monsters’, which keeps #1 in the VOD and “electronic-sell-through” chart.

Released from prison for bringing shame to his country, Kazakh funnyman Borat risks life and limb when he returns to America with his 15-year-old daughter.

Cinelytic tracks global, illegal P2P based file-sharing data for film and TV content. By correlating our data with consumer data we are able to provide deep audience insights for better audience understanding, targeting, and activation.

Check out last week’s illegal P2P film and TV content consumption below!

Top US Content Consumption – Week Oct.12-19, 2020

‘Love and Monsters’ interrupts ‘Mulan’s’ domination in the VOD and “electronic-sell-through” chart.

‘Love and Monsters’ is set in a monster-infested world, where Joel learns his girlfriend is just 80 miles away. To make the dangerous journey, Joel discovers his inner hero to be with the girl of his dreams.

Cinelytic tracks global, illegal P2P based file-sharing data for film and TV content. By correlating our data with consumer data we are able to provide deep audience insights for better audience understanding, targeting, and activation.

Check out last week’s illegal P2P film and TV content consumption below!

Top US Content Consumption- Week Oct.7-Oct.12, 2020

‘Hubie Halloween’ tries to interrupt ‘Mulan’s’ domination in the VOD and “electronic-sell-through” chart.

‘Hubie Halloween’ is set in Salem, Massachusetts on October 31st, where a town’s eccentric, devoted community volunteer (and the good-natured object of his fellow citizen’s derision and meanest pranks), finds himself in the midst of a real investigation, for a real murderer.

Cinelytic tracks global, illegal P2P based file-sharing data for film and TV content. By correlating our data with consumer data we are able to provide deep audience insights for better audience understanding, targeting, and activation.

Check out last week’s illegal P2P film and TV content consumption below!

Top US and China Film Consumption- Week Oct.1-Oct.7, 2020

‘Mulan’ is still at the top on VOD and “electronic-sell-through” charts in the US and second in China, behind the local blockbuster hit ‘The Eight Hundred’.

‘The Eight Hundred’ tells the story of a group of Chinese soldiers and draft dodgers in 1937, who put up a four-day defense of a Shanghai warehouse complex just as Japanese forces are overwhelming China.

Cinelytic tracks global, illegal P2P based file-sharing data for film content. By correlating our data with consumer data we are able to provide deep audience insights for better audience understanding, targeting, and activation.

Check out last week’s illegal P2P film and TV content consumption below!

Top US Content Consumption – Week September 14-20, 2020

‘The Boys’ holds the top position on SVOD, but also piracy, from last week.

The TV show primarily focuses on two groups: the Seven, Vought’s premier superhero team, and the eponymous Boys, vigilantes looking to bring down Vought and its corrupt superheroes. 

Cinelytic tracks global, illegal P2P based file-sharing data for film and TV content. By correlating our data with consumer data we are able to provide deep audience insights for better audience understanding, targeting, and activation.

Check out last week’s illegal P2P film and TV content consumption below!

Top US Content Consumption- Week Sep.7-Sep.12, 2020

‘Mulan’ is dominating VOD and “electronic-sell-through” charts, but also film piracy.

The film follows Mulan, who to save her ailing father from serving in the Imperial Army, disguises herself as a man to battle northern invaders in China.

Cinelytic tracks global, illegal P2P based file-sharing data for film and TV content. By correlating our data with consumer data we are able to provide deep audience insights for better audience understanding, targeting, and activation.

Check out last week’s illegal P2P film and TV content consumption below!

Top US Content Consumption During Quarantine – Week August 24-30, 2020

‘Bill & Ted’ is ruling VOD and “electronic-sell-through” charts, but also film piracy.

The movie follows Bill (Alex Winter) and Ted (Keanu Reeves) traveling through time to steal from their older selves to compose a new song to save life as we know it.

Cinelytic tracks global, illegal P2P based file-sharing data for film and TV content. By correlating our data with consumer data we are able to provide deep audience insights for better audience understanding, targeting, and activation.

Check out last week’s illegal P2P film and TV content consumption below!

Top US Content Consumption During Quarantine – Week August 17-23, 2020

Project Power topped Cinelytic’s chart Top US Content Consumption During Quarantine for film last week.

The Jamie Foxx action flick has become one of the most popular movies on Netflix for the month of August. In Project Power, those who take a ‘Power’ pill are gifted with supernatural abilities for just five minutes per hit, but they do not know what hidden ability they hold until they take one.

If you could take a pill that gave you powers for five minutes, but you could not choose the powers, would you?

Cinelytic tracks global, illegal P2P based file-sharing data for film and TV content. By correlating our data with consumer data we are able to provide deep audience insights for better audience understanding, targeting, and activation.

Check out last week’s illegal P2P film and TV content consumption below!

Audiences Thirst for New Content

OTT consumption has become more relevant than ever and audiences are hungry for new titles whether mid or top tier – RLS’s THE TAX COLLECTOR and Netflix PROJECT POWER both claimed the top position last week.

Cinelytic tracks global content consumption across all platforms and all territories.

Last week’s US Top 20 Films and TV shows below – will first run titles get back in the mix when theatres reopen?

In addition to demand data, Cinelytic provides deep audience demographic insights to help you better understand, target, and activate your audience.

A Roadmap for Digital Transformation Today

Digital transformation has landed on business today with a raucous explosive BOOM. News publications, social media and business leaders scream the message that today more than ever digital transformation must take hold for businesses to hit the ground running once the current crisis settles, otherwise they will be caught out of step. The mantra continues that technology adoption that traditional occurred over years, decades, now has to happen in the following weeks and months post the pandemic. The pressure to evolve quickly or face the consequences is very real but the reality is that in order to do so one must develop a sound strategy as well as understand how digitization has worked to date to help business shift traditional practices from yesterday into the cloud and the ML/AI world of tomorrow, today.

Why, because without effective process and strategy, digital change can also lead to unintended consequences. A recent survey from AppDynamics found that 95% of respondents mentioned changing their technology priorities during the pandemic with as many as 71% stating that technology innovation had been adopted in mere weeks/months due to the pandemic, rather than the traditional multi-year slog companies traditionally face. The bigger implication though is that 76% of the same group also mentioned concern over the rush decisions they have made during the crisis and the impact those will have in the years to come.

So, what is it? Looking at a leader in the digital workspace, Salesforce, we can look to their definition:

Digital transformation is the process of using digital technologies to create new — or modify existing — business processes, culture, and customer experiences to meet changing business and market requirements. This reimagining of business in the digital age is digital transformation.

At Cinelytic, we view digital transformation as evolving traditional manual workflows into efficient, rapid ways of work, that allow for multi-user functionality, remote work all in real time with the backbone of ML/AI. What use to take 10 hours, now takes 20 minutes.

We all to seem to understand what digital transformation or aspects of it is, the bigger issue is how does one truly implement workable solutions. Below are six ideas gleaned from research into how to best move forward:

1. Determine Strategy/Think Long Term: rather than implement technology as a goal in and of itself, one should implement a strategy the uses technology to achieve that goal. Banks are concerned with preventing fraud in real time. The goal is to stop crime before it happens, not to simply bring CRM and data analytics in house.

2. Use Insiders: No one knows the business better than those who sell it day to day and front face with customers in real time. How best to serve a customer than to elevate insiders to champion the clients cause. It is through their initiative and attentiveness to the customer experience that one can evolve.

3. Recognize Fear of Being Replaced: a constant threat that we deal with day in and day out is the fear employees have of being replaced by machines. This belief is far from the truth. Employees may have to adapt and shift work habits (relearn) but directly replacing personnel with an application, bot or platform misses the point. The idea of technology is to make life faster and easier, allowing for personnel to do more, much more, in less time, with less work.

4. Design with the customer in focus: It feels obvious, but it is more difficult in its execution than it sounds. The customer develops loyalty and affinity due to the care one places on their experience and crafting/tailoring the technology interface/messaging to those subjective wants and needs.

5. Pivot shift flat culture to implement: Digital innovation requires no judgement, quick thinking, and transparency for it to work. It is a process of many starts, pivots and re-directs to find the right mix. Hierarchal organizations with layers of approval and fear of responsibility or mistakes will not thrive in this environment. Different processes, data and technologies must be tested repeatedly and against each other to understand what works. It is not about higher ups directing the work on platforms they do not understand or will ever use. It becomes about empowering those that interface with the product and customer routinely to drive its development, implementation, and adoption. Meritocracies rule in this environment.

6. Use a suite of products, not just focus on one: When thinking transformation, one may focus on individual end goals: CRM, internal/external communication, security, data analytics, work remotely collaboratively. The reality is that the strategy mentioned above should allow for a matrix of solutions to create one robust long-term strategy. A singular focus (micro) limits the creativity and reach of a solution (marco) and may imperil an organization’s long-term viability.

We live with great examples of successful digital transformation every day. More than we care to identify when we sit back and think about it. From travel reservation systems, to online advertising that follows you from site to site, to Domino’s Pizza delivering ready-made pizzas in a timely manner to Uber and Uber Eats providing customized experiences to every rider/eater in their ecosystem, it lives with us every day. Some major/minor examples are outlined below.

Seven years of work has proved fruitful for Best Buy who once thought Amazon would kill them unless they adapted. They shifted contact with the consumer from direct mail to digital. The consumer and their experience transformed as well; each consumer comes with a customer ID that outlines their social footprint. This in turn can motivate customer associates whether Best Buy or Geek Squad to service a client quickly and efficiently. In the current crisis, it allowed the company to quickly provide curbside pickup at any one of their retail outlets in real time. Need a new router or refrigerator, Best Buy was ready and available.

In banking, consumers are using mobile and online functionality increasingly every day. As a consequence, there has been a greater frequency of fraud. Part of digital transformation has gone to ameliorate that situation with technologies put in place to in real time prevent occurrences of theft. In several cases, AI can now prevent this from happening. Tracking patterns, purchase history, etc., data analytics can quickly and efficiently stop things before they happen. A kind of MINORITY REPORT in the here and now. But there is more that technology can do to evolve the customer. That customer today wants to do more online/mobile than ever before and has affinity for those companies that provide seamless targeted customer experiences. The complaint is not what can technology do, the issue is what is it doing for me! Customers also feel more connected when they get more out of the very processes that are now available to them. If mobile banking or online transactions could really be customized to the consumer then brand affinity would grow. The next frontier in this process is the Apple-ification of systems. Build it to the client specification or with their customer experience in mind and one will grow their reach.

Telehealth has transformed as both doctor and patient realize there is a finite nature to in person care on a daily basis. Health care costs continue to increase at a rate of 4%-5% a year. There is a limit to access as practices grow and or find less time for patient facing interactions. As one delves into the experience there is also a shared ease with technology. In recent surveys, more than 50% of both patients and doctors acknowledge that smartphones will play pivotal roles in terms of their care in the future. 60% of patients are open to treating non acute symptoms in a nontraditional setting and 54% are willing to be treated for acute symptoms online instead of seeing a physician in person. Virtual hospitals are evolving with deep skill and proficiency from around the world to service patients wherever they are. One is now more than ever able to provide 24/7 care and monitoring. This in turn allows for individuals to live freer, independent lives and for the medical insurance and service industry to save hundreds of billions of dollars in premiums and service fees.

All to say, digital transformation should not be something to fear or take too long to implement. Mistakes, failures, and tests are part of the way forward and should be embraced. Single focus ideas should be put aside in favor of bigger stronger multi-layer solutions. Those solutions should be implemented by a flat organization that is not resistant to change and understands their customer well. Last one should not forget that Digital Transformation is alive and well in most of the things you already do every day!!

Sources:

Deloitte-Accelerating Digital Transformation in Banking

Digital Transformation is Not about Technology

Companies Hit Pause on Digital Transformation Despite Spending More on Cloud

Who Led Your Digital Transformation? Your CIO Or COVID-19?

How Brands have embraced Digital Transformation during COVID19

How Yamaha changed its tune with its digital transformation strategy

Telehealth Visits Allow Patients to Connect to Care During COVID-19

EY Marketing Insights- Digital Transformation-Anywhere Care

Jump Start your Digital Transformation

Digital transformation is about people, not technology

How Artificial Intelligence Will Impact the Internet of Things?

Insurance Sector: Adopting Digital Technology To Insure Its Own Future

greyhound poster

Top US Content Consumption During Quarantine – Week July 27- August 2, 2020

‘Greyhound’ back at it again topping the chart of US film content consumption during quarantine.

Cinelytic tracks global, illegal P2P based file-sharing data for film and TV content. By correlating our data with consumer data we are able to provide deep audience insights for better audience understanding, targeting, and activation.

Check out last week’s illegal P2P film and TV content consumption below!

Top US Content Consumption During Quarantine – Week July 20-26, 2020

Cinelytic tracks global, illegal P2P based file-sharing data for film and TV content. By correlating our data with consumer data we are able to provide deep audience insights for better audience understanding, targeting, and activation.

World War II drama ‘Greyhound’ gave Apple TV+ its first bona fide hit and for the third week in a row tops the chart of US film content consumption during the quarantine.

Check out last week’s illegal P2P film and TV content consumption below!

Theatrical or no Theatrical?

As the entertainment industry starts to rethink release strategies due to the impact of the enduring COVID crisis Cinelytic provides critical insights into the economics of a traditional theatrical vs. direct to OTT release by using our OTT demand data and our content evaluation platform. 

As a case study, we ran the Tom Hanks film GREYHOUND as the original theatrical release it meant to be and discovered that base case it would have barely broken-even with an ROI of 1.6%.

GREYHOUND was sold to Apple+ for a streaming release when the COVID crisis hit generating a substantial profit for Sony with a reported sale price of $70m.

Our OTT demand data from July10-20 shows that GREYHOUND turned out to be the first major hit for Apple+ which also had to do with the fact that audiences are starved for new content as traditional studios hold back titles for the theatrical window.

The chart below shows the success of GREYHOUND and the current dominance of streaming titles vs. 6 months ago (Jan 10-20) when major studio titles dominated the Top 20:

With theatrical reopening being pushed back further, we recommend that studios/content providers should seize the opportunity of content-hungry audiences combined with a lack of competition and release more titles direct to OTT.

Want to learn more – reach out: info@cinelytic.com

Top US Content Consumption During Quarantine – Week July 13-19, 2020

It is the second week in a row that the WWII drama Greyhound starring Tom Hanks on streaming service Apple TV Plus ranks #1 for illegal downloads of film content.

Cinelytic tracks global, illegal P2P based file-sharing data for film and TV content. By correlating our data with consumer data we are able to provide deep audience insights for better audience understanding, targeting, and activation.

Check out last week’s illegal P2P film and TV content consumption below!

Top US Content Consumption During Quarantine – Week July 6-12, 2020

Greyhound staring Tom Hanks on streaming service Apple TV Plus led last week’s illegal downloads for film content.

The film premiered July 10th, 2020.

Cinelytic tracks global, illegal P2P based file-sharing data for film and TV content. By correlating our data with consumer data we are able to provide deep audience insights for better audience understanding, targeting, and activation.

Check out last week’s illegal P2P film and TV content consumption below!

Top US Content Consumption During Quarantine – Week June 29 – July 5, 2020

Hamilton topped the chart of illegal downloads for film content last week in the U.S.

The story of Alexander Hamilton premiered on the Disney+ streaming service on Friday, July 3rd.

Cinelytic tracks global, illegal P2P based file-sharing data for film and TV content. By correlating our data with consumer data we are able to provide deep audience insights for better audience understanding, targeting, and activation.

Check out last week’s illegal downloads of film and TV content during quarantine below!

TV demand across all platforms in the U.S.

Lorem ipsum dolor sit amet, consectetur adipiscing elit. Cras arcu enim, auctor eget placerat vitae, pulvinar eu lectus. Nam molestie eros ut enim consequat, nec consequat metus vehicula. Pellentesque venenatis sed metus at accumsan. Nunc hendrerit arcu sed sapien efficitur, a pellentesque sapien tristique. Aenean quis nibh euismod, molestie elit quis, tincidunt velit. Integer vel urna quis nibh cursus pretium. Sed iaculis rhoncus neque sed suscipit. Integer aliquam nisi arcu, nec tincidunt ipsum posuere non. Proin mollis velit eu lobortis ullamcorper. Quisque ultricies, ex non accumsan blandit, eros dolor sodales purus, non pharetra nunc lectus in sapien. Suspendisse ac tortor ullamcorper, rutrum lacus non, accumsan mi. Donec ultrices convallis neque, dictum bibendum felis ullamcorper ut. Vestibulum rhoncus urna nisi, id elementum nisi laoreet nec. Sed at enim ut nunc ultricies tincidunt. Aliquam sagittis purus est.

Aenean porttitor tortor faucibus sapien ornare consectetur. Etiam at tellus ipsum. Donec posuere dui ac ante sollicitudin, eget sodales massa eleifend. Nulla dui arcu, placerat et nunc vel, tempor tincidunt ipsum. Morbi aliquet pharetra lorem, sit amet egestas erat aliquam eget. Ut tristique metus ut lectus fermentum, id semper nunc vulputate. Integer feugiat elementum tellus, a posuere ex dictum a.

Integer a justo sed nunc imperdiet tempus. Proin ac venenatis diam. Cras neque arcu, viverra a dui eu, sollicitudin porttitor sem. Fusce sit amet nisl ut tellus efficitur vulputate at in tortor. Integer porta elit lectus, sed egestas urna gravida ut. Sed vitae ipsum at orci sodales dictum. Curabitur vulputate, orci non pellentesque tempor, odio sapien bibendum massa, ut gravida nulla urna vel nunc. Duis ac turpis tempus, tincidunt eros non, porta diam. Aenean porta varius ipsum, ut dignissim leo lacinia quis. Morbi pharetra, ante id aliquam maximus, elit massa auctor libero, ut auctor velit nunc eget nisl. Etiam vestibulum hendrerit porttitor.

Sed non rhoncus sem. Proin quis ullamcorper nibh. Nam ac vestibulum libero, vel ultricies purus. Ut ut pretium augue, eu mattis augue. Nam sit amet tempor sapien. Duis sodales augue ut purus tristique fermentum. Nulla bibendum mollis eleifend. In tincidunt ut elit quis sagittis. Phasellus id ultricies mauris, sit amet sollicitudin mauris. Phasellus sodales nibh aliquam, dictum diam et, egestas eros.

Nulla at libero ut eros luctus sollicitudin pharetra non enim. Sed quis velit at ex congue semper quis pellentesque ante. Fusce iaculis, tortor eget fermentum vulputate, ipsum augue finibus ex, eu ullamcorper dui orci eget sem. Nam sed lectus iaculis, tempor nulla in, ultrices ex. Curabitur at ex fringilla lacus sollicitudin semper. Cras bibendum dui ornare tellus maximus, ac facilisis dolor interdum. Ut iaculis sollicitudin felis quis ultrices. In porta maximus finibus. Nullam non accumsan lectus. In hac habitasse platea dictumst. Quisque ac ante sed leo fermentum convallis convallis ac elit. Pellentesque nulla dolor, viverra ac urna quis, maximus lobortis arcu. Donec suscipit arcu in scelerisque efficitur. Donec eu pharetra nisl. Phasellus a mauris orci. Nunc nec pulvinar massa.

Top US Content Consumption During Quarantine – Week June 22-28, 2020

You Should Have Left tops this week’s chart for film content consumption.

Cinelytic tracks global, illegal P2P based file-sharing data for film and TV content. By correlating our data with consumer data we are able to provide deep audience insights for better audience understanding, targeting, and activation.

Check out last week’s illegal P2P film and TV content consumption below!

Cinelytic’s new TalentScore™

Wishing you had access to talent ideas/insights without spending a lot of time searching websites, calling sales agents, or digging through old files?

Cinelytic’s new TalentScore™ uses the power of big data to generate economic performance scores that pinpoint talent value by profession, genre, country, and even release window for 550,000 global actors, directors, writers, and producers in real-time!

Below is the talent profile for Oscar Isaac who is part of market title ARMAGEDDON TIME:

The Misconception that Data Impedes Creativity

A Film Industry Analysis

When entertainment industry insiders and outsiders comment on the use of data in the sector, I often hear a fear expressed that it will lead to more sequels, remakes / IP based content versus original content and therefore will have a negative effect on creativity.

This view could not be further from the truth. It is often based on a limited understanding of how to use data correctly. I will discuss the film industry from a business perspective and how the right combination of advanced data analytics combined with creativity will benefit original content and create a more sustainable industry.

The industry’s struggle with changes in consumer behavior

The film industry can be classified as a high-risk industry as any new project needs to be financed upfront, then produced, marketed and distributed. It can take two years from the financing stage to the initial release plus another two/three years of ancillary release windows such as home video and TV to generate the bulk of revenues. Thus, studios and production companies/financiers need to prepare for the majority of film revenue to be generated over a five year period.

This prolonged revenue/return time frame creates an industry risk profile that requires studios and independent content financiers to understand and diversify risks in order to continue as a going concern. At times when revenues were plentiful, such as during the days of strong high margin DVD sales, Studios were able to create healthy bottom lines and placed more “bets” on original ideas.

In the past ten years, DVD revenues or “physical home video” have evaporated from $16.2bn in 2010 to $4.7bn in 2019 and have yet to be replaced by its digital counterpart (See Graph 1).

IP based content as the solution?

The loss of these high margin revenues has made it more difficult for film investments to be recouped and increased financial risks for all companies involved. Large parts of streaming revenues were consumed by new entrants such as Netflix and Amazon. Studios have resorted to focusing on content based on known IP such as comic books, remakes and sequels to be able to tap into built-in audiences and marketing appeal. This strategy worked well for many studios and was embraced by audiences — expressed in the enduring success of a variety of franchises to date. These strategies did not rely on sophisticated data strategies but on the simple need to mitigate risk (See Graph 2).

With the risk of rising franchise/remake fatigue and increased competition for younger audiences from new technologies whether video games, apps and social media, Studios will have to find new frameworks to assess the economic viability of original content.

While the disappearance of DVD revenues was negative, the digitalization of data collection can be seen as a positive. Data availability has broadened substantially allowing for better than ever insight into what content works and why. The famous phrase “nobody knows anything” is no longer valid. The key is knowing what to do with the gigantic amount of data generated every day. The good news is that recent developments in new analytics technologies allow for new and more refined ways to use data when assessing the business case around Film and TV content.

This has already occurred successfully in other creative industries such as marketing and fashion. What made studios and financiers resort to “safe IP” strategies is the fact that they often do not have a sufficient framework to assess new and original ideas. This problem can be solved by combining the vast amounts of data available with modern analytics technologies such as ML/AI that help with the number crunching for content prototyping. Embedded in software, these technologies can provide decision-makers with real-time tools and inspire confidence to assess all types of content from the idea stage.

And let’s be clear: The key part that needs to work in order for content to be successful is the story and creative execution — data analysis can only be additive for creative decisions but can make a huge difference for more successful business decisions. It is crucial to know how to use and integrate data into work processes — especially in creative industries.

Independent Film in dire straits

An additional benefit of using data is an increased level of transparency. Certain segments of the Film industry are broken and solutions can only be found by looking at the data. For example, the truly independent Film sector is in dire straits. Today only 3–4% of independently produced films in the US break-even i.e. pay back their investment. Every year the Sundance Festival receives submissions that total $3bn in production value. These titles want to participate in the festival to secure distribution in the US theatrical market. The issue is that the independent space in 2019 only garnered $100m in net theatrical revenues (Box Office net of exhibitor share and distribution fees & expenses).

Meaning that of the $3bn in production value that applied to Sundance, there existed only $100m of net revenues to contribute back to the investment. Ancillary revenues including Home Video and TV might double these net revenues to a total of $200m, but not nearly enough to recoup the $3bn production value spent upfront (See Graph 3).

The independent sector largely ignores data for various reasons. It requires 5–8 different companies (producer, financier, sales agent, distributor, exhibitor…) with completely different business models to bring a story to the screen, which makes it nearly impossible to share data and create a film business case that can be recouped successfully. Some companies even benefit from the lack of transparency — I often heard the phrase “sell it, don’t smell it”. Most companies simply do not have the knowledge of how to use data in the right way. In addition, ignorance and stubbornness to hold onto traditional/legacy processes have created an industry in which creative potential is killed as many stories never reach their audiences and investors lose billions every year. This situation leads to numerous failed/troubled film businesses such as Broad Green, Open Road, Aviron, Worldview, Annapurna to name a few.

A brighter future

Incorporating data insights in the right way will provide new and better frameworks that allow studios and independent companies to maximize success— especially with original content. I think that the current crisis provides an opportunity to reflect on our values but also on the state of the industry and how business is done. I strongly believe that having an open mind towards new data-driven technology solutions combined with industry experience and creative instinct will create a more sustainable industry that will benefit all.

Hollywood is quietly using A.I. and helping decide which movies to make

Lorem ipsum dolor sit amet, consectetur adipiscing elit. Cras arcu enim, auctor eget placerat vitae, pulvinar eu lectus. Nam molestie eros ut enim consequat, nec consequat metus vehicula. Pellentesque venenatis sed metus at accumsan. Nunc hendrerit arcu sed sapien efficitur, a pellentesque sapien tristique. Aenean quis nibh euismod, molestie elit quis, tincidunt velit. Integer vel urna quis nibh cursus pretium. Sed iaculis rhoncus neque sed suscipit. Integer aliquam nisi arcu, nec tincidunt ipsum posuere non. Proin mollis velit eu lobortis ullamcorper. Quisque ultricies, ex non accumsan blandit, eros dolor sodales purus, non pharetra nunc lectus in sapien. Suspendisse ac tortor ullamcorper, rutrum lacus non, accumsan mi. Donec ultrices convallis neque, dictum bibendum felis ullamcorper ut. Vestibulum rhoncus urna nisi, id elementum nisi laoreet nec. Sed at enim ut nunc ultricies tincidunt. Aliquam sagittis purus est.

Aenean porttitor tortor faucibus sapien ornare consectetur. Etiam at tellus ipsum. Donec posuere dui ac ante sollicitudin, eget sodales massa eleifend. Nulla dui arcu, placerat et nunc vel, tempor tincidunt ipsum. Morbi aliquet pharetra lorem, sit amet egestas erat aliquam eget. Ut tristique metus ut lectus fermentum, id semper nunc vulputate. Integer feugiat elementum tellus, a posuere ex dictum a.

Integer a justo sed nunc imperdiet tempus. Proin ac venenatis diam. Cras neque arcu, viverra a dui eu, sollicitudin porttitor sem. Fusce sit amet nisl ut tellus efficitur vulputate at in tortor. Integer porta elit lectus, sed egestas urna gravida ut. Sed vitae ipsum at orci sodales dictum. Curabitur vulputate, orci non pellentesque tempor, odio sapien bibendum massa, ut gravida nulla urna vel nunc. Duis ac turpis tempus, tincidunt eros non, porta diam. Aenean porta varius ipsum, ut dignissim leo lacinia quis. Morbi pharetra, ante id aliquam maximus, elit massa auctor libero, ut auctor velit nunc eget nisl. Etiam vestibulum hendrerit porttitor.

Sed non rhoncus sem. Proin quis ullamcorper nibh. Nam ac vestibulum libero, vel ultricies purus. Ut ut pretium augue, eu mattis augue. Nam sit amet tempor sapien. Duis sodales augue ut purus tristique fermentum. Nulla bibendum mollis eleifend. In tincidunt ut elit quis sagittis. Phasellus id ultricies mauris, sit amet sollicitudin mauris. Phasellus sodales nibh aliquam, dictum diam et, egestas eros.

Nulla at libero ut eros luctus sollicitudin pharetra non enim. Sed quis velit at ex congue semper quis pellentesque ante. Fusce iaculis, tortor eget fermentum vulputate, ipsum augue finibus ex, eu ullamcorper dui orci eget sem. Nam sed lectus iaculis, tempor nulla in, ultrices ex. Curabitur at ex fringilla lacus sollicitudin semper. Cras bibendum dui ornare tellus maximus, ac facilisis dolor interdum. Ut iaculis sollicitudin felis quis ultrices. In porta maximus finibus. Nullam non accumsan lectus. In hac habitasse platea dictumst. Quisque ac ante sed leo fermentum convallis convallis ac elit. Pellentesque nulla dolor, viverra ac urna quis, maximus lobortis arcu. Donec suscipit arcu in scelerisque efficitur. Donec eu pharetra nisl. Phasellus a mauris orci. Nunc nec pulvinar massa.

It’s Not Technical, It’s Cultural: The Journey to a Data-Driven Culture

Competition in the entertainment landscape has rapidly amplified leading some studios and independent content companies to face an existential moment. But with the emergence of new tools, technologies, and data sources, there is now a chance to hold the key to success. This advancement of accessible resources is the fuel to a data-driven culture that has the potential to be the genesis of innovation by offering insights into understanding the entertainment sector’s audiences on a micro-level.

Being data-driven does not mean that data is meant to be blindly followed or challenge existing decisions, but rather stimulate an informed intuition. A data-driven culture creates an environment where your creative instinct is strengthened from the support of information-driven decision making and fact-based innovation. Data can be thought of as a roadmap to efficiently identifying your content-customer fit to meet real-time consumer demands. Companies that choose not to adopt a data-driven culture are failing to realize their full potential in transforming into industry leaders with an optimized content pipeline.

But, why is it so hard to adopt a data-driven culture for some?

The greatest hurdle is not technical, but rather cultural.

Here are 5 steps to jumpstart the journey of creating a data-driven culture:

1. SEEK OUT A CATALYST LEADER

Culture change is a key role of catalyst leadership. Catalyst leaders are forward thinkers, that can ignite action and change. Creating a data-driven culture is a gradual process that requires commitment from employees company-wide, which calls for an internal catalyst leader who can help sponsor the change so others may follow. The goal for the catalyst leader should be to create a cultural framework of adopting a new mindset and behaviors to advance the company’s data maturity to enhance the consumer experience overall.

2. SET A DATA GOAL

Data is an asset that can show relevant trends, predictions, and projections. Ask yourself, “What is the data goal of the project?” It is imperative to clearly outline your data goal to help keep you strategically guided and productive or else the data will prove to be ineffective. Having a clear understanding of your purpose is the beginning of opening up a new world that enables you to connect with consumers in new and innovative ways.

3. USE THE RIGHT TOOLS, TECHNOLOGIES, AND DATA SOURCES

There are a plethora of available tools, technologies, and data sources that can be used to help reach your data goal. Research and discover what accessible resources are right for you. The accessible resource you select should help you achieve your data goal whilst being a tool for strengthening and building more engaged relationships with your audience. For example, at Cinelytic we offer multiple data sources and analytic/decision-support tools, including a proprietary, global, P2P based file-sharing data set of film and TV content.

This data set contains 150 million P2P transactions per day and is a strong proxy for digital OTT consumption across all platforms. We correlate our P2P data with consumer demographics data to provide deep audience insights to help our clients better understand, target, and activate their audience.

4. INCREASE DATA LITERACY

Data is useless if your team is unable to successfully access, analyze, and interpret applicable insights.Empower your team with training, courses, and visualizations of the data. From a creative standpoint visualizing the data may be a valuable asset for your team to see, digest, and understand how to use the data to inform their decisions. It may also help to humanize the data. Data is not intangible, it is from real, breathing individuals who have acted in a particular way that produced detailed, actionable insights into consumer demands.

5. INCLUDE DATA INSIGHTS INTO THE DECISION-MAKING PROCESS

An insight that drives action can be very valuable and advantageous to a company, but not every company has taken a path to ensure that decision-making appropriately reflects data insights. To effectively utilize actionable insights, create decision-making processes that integrate your data-driven objectives with creative instincts. When you start to request that all decisions be supported by data you are choosing to follow a path towards less risk and greater success.

Be willing to do things differently. Companies that leverage a data-driven culture by using an informed intuition have the opportunity to create creative and smart strategies to scale and evolve. So, if you are looking to gain a competitive edge, the next time you have to make a decision about your content, base it on your creative instincts supported by data insights.

Do More With Less

The next stage of work is to determine how to combine working from home with being back in the office. Cinelytic is here to help bridge the two. With efficient, rapid workflow tools, we allow disparate collaborative teams to work together.

Our data-driven project management system digitizes workflow and takes the user through every step of evaluating the business case of a film, from the development stage.

With one unified platform invested with state-of-the-art film and television data, Cinelytic takes a manual work process of 10-20 hours down to 20 minutes.

Top US Content Consumption During Quarantine – Week April 20-26, 2020

Cinelytic tracks global P2P based file-sharing data of film and TV content as a strong proxy for digital OTT consumption across all platforms. Our data shows P2P file-sharing demand up 30 percent since U.S. coronavirus quarantines started.

For the week ended Sunday (April 26), P2P demand was fueled by a title with shortened theatrical windows and direct-to-home releases. Netflix’s Extraction, starring Chris Hemsworth, was the weekend’s top P2P title even though its April 25 release made it the No. 4 movie overall for the week.

3 Tips for Skyrocketing Your Productivity at Home

1. Choose a dedicated workspace.
Stay motived and less distracted by dedicating a workspace, which can help signal to your brain its work time as opposed to leisure time.

2. Set your schedule.
To help keep your sanity in balancing your work and home life, plan out your workday by segmenting your day – establish your start time, midday break periods, and end time.

3. Use technology to stay connected.
From instant messaging to videoconferencing tools and using Cinelytic as a project management system to digitize your workflow can make it easy to collaborate with your coworkers and remind you how your work is contributing to the big picture.

How are you staying productive at home?

P2P Data Shows Strong Demand for Films with Shortened Windows

OTT consumption has become more relevant than ever with major releases such as TROLLS going straight to VOD in these unprecedented times.

Cinelytic tracks global P2P based file-sharing data of film and TV content, which is a strong proxy for digital OTT consumption across all platforms – demand was up 30% during the quarantine period.

Industry Insight: Technology is Rapidly Transforming the Competitive Landscape in Hollywood

The entertainment industry is experiencing rapid change. Tech companies, including Amazon, Google, Netflix, and Facebook, have entered the entertainment industry and are presenting a strong challenge to “traditional” companies especially in capturing audiences in OTT, the strongest growing segment.

The Tech Companies ability to digitally distribute content directly to billions of consumers combined with advanced analytics prior to green-lighting projects puts them at an advantage in regards to what content to create and how best to market it

The “traditional” entertainment industry’s biggest competitive advantage is the ability to produce high quality content and its strong IP ownership including libraries. 

Tech companies are spending heavily to close the “Content Gap” and are catching up at a fast pace.

The entertainment industry has been slow in adopting technology for green lighting decisions, and is under increasing pressure to find ways to improve their business models. 

For a really long time, we have been disintermediated from our customer base, because we sell to exhibitors. We had been flying blind.” Stacey Snider, CEO, 20th Century Fox – Variety, 9/20/17.

There is now an enormous opportunity for the entertainment industry to use advanced data analytics from the green-lighting stage to better leverage its talent, experience, and core assets (high-quality IP & libraries) for producing great content that has an audience.

We at Cinelytic are here to provide the entertainment industry with the tools & insights needed to thrive in this volatile environment. Please let us know if you have any thoughts and questions.