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How ‘Halloween Kills’ fits into Peacock’s streaming strategy

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Michael Myers appears in Universal’s Halloween Kills.

Universal

When the industry caught on guard, UniversalIt was revealed in September that “Halloween Kills,” its eagerly awaited horror sequel, would appear. debut in theaters and on the company’s streaming service Peacock on the same day.

As other studios, the September release shift was also in effect. committing to exclusive theatrical releasesIn spite of declining box office receipts for the day and increasing piracy rates,

However, the move shows how Universal adapts its strategy to seize unique opportunities to increase attention for its streaming service.

Jim Orr (president of Universal Pictures’ domestic theatrical distribution) said, “It makes perfect sence.”

Like a comedy, a horror film is more than just the film. The reactions to it, the atmosphere, and the overall experience are what make it a great film. It’s all about the experience. He said that there is a contagious aspect to movies. It is not possible for everyone to attend theaters, but having the movie available online on Peacock makes complete sense, especially in October.

The dual release idea was actually proposed by Jason Blum,Blumhouse Productions CEO, producer of Halloween Kills. Blum blamed disappointing box office results in 2020 for “Freaky,” which was a horror twist on the traditional “Freaky Friday” premise. He also mentioned the unpredictability of the coronavirus outbreak for his decision.

Last November’s theatrical release of “Freaky” saw it run in theaters for several more weeks before reaching the home video market. But, despite strong reviews, it was only able to bring in around $16million worldwide at the box office.

Blum will be returning to “Halloween Ends,” a classic theatrical production, in 2022.

Peacocks gain

Universal wants to attract new customers by placing highly-publicized content on Peacock such as “Halloween Kills”. This is a hope that viewers will interact with the film, then go to Peacock and explore its library and other features such as live sports coverage and news coverage.

The streaming platform reclaimed the rights to “The Office” in early 2021. It saw increased viewership for shows such as “Parks and Recreation,” Brooklyn Nine-Nine,” and “Yellowstone” as more subscribers explored other content.

Peacock noted that October 2020 was the most watched month for fantasy and horror films and series. Universal knows its audience loves this content, and it will continue to engage.

Universal must implement streaming strategies to attract and retain customers, and to differentiate itself from its competitors in the streaming battles.

Peacock’s success is different to that of subscription-based streaming services. While NetflixAnd Disney+Peacock’s revenue is not dependent on subscription growth. Instead, it draws revenue from both new members and third-party advertiser.

Peacock also does not give subscriber numbers. Instead, it offers quarterly updates on sign-ups — people who have provided their email to get the free service — and active monthly users, a way of reporting how many people used the app regularly during a month.

Comcast, Universal’s parent company, reported that Peacock registered 54 million users and had more than 20,000,000 active accounts in the second quarter. This quarter, it was half as many than the prior. This company will release its third-quarter results Oct. 28.

These numbers have often been placed side-by-side with other streaming services, but Dan Rayburn, a streaming media expert and principal analyst at consulting firm Frost & Sullivan, warns against this “apples to oranges” comparison.

I think that people view Disney+’s success and the rapid growth of Disney+ subscribers as a barometer. He said that it isn’t the same service, and has a different pricing point.

Peacock has more than 20,000 hours worth of movies, specials, and shows since its inception. Now, it offers 60,000 hours. Peacock’s original shows and sports live with ads are only $4.99 Skip the ads by paying $9.99

The implications for the box office

Blumhouse and Universal still have “Halloween Kills”

Universal

Blumhouse has a reputation for converting small budgets to huge box-office receipts. This studio is responsible for “Paranormal Activity,” a popular film that was highly profitable, and also the Academy Award-winning movie “Get Out.”

Reports indicated that the budget for 2018’s “Halloween” was between $10 and $15 million. Globally, it earned more than $250 million.

Production budget for “Halloween Kills”, was closer to $20million. According to Boxoffice.com, it is expected to open in the $40-$55 million range. Studio reports that the film grossed $4.85 million during Thursday previews.

The film had a marketing budget. This is typically half the production budget. In addition, theatrical profit splits are made by the studio and cinema operators. The studio is confident that Halloween Kills will make a profit despite the dual release of the film on Peacock, and continuing uncertainty from the Covid-19 pandemic.

Universal’s Orr explained that “Tracking indicates we are in line for a really great weekend.”

Disclosure: Comcast owns NBCUniversal, CNBC and other media companies. “Halloween Kills” is distributed by NBCUniversal.

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