Netflix's Affect on Movie Theaters Is Minimal, Study Says

As popular as Netflix and other digital streaming services are, its impact on movie theaters appears to be minimal.

According to Deadline, a study done by Ernst & Young commissioned by the National Association of Theater Owners, the more consumers stream movies, the more likely they are to pay for a movie ticket and vice versa.

Those who visited movie theaters only once or twice in the last year only averaged seven hours of streaming per week. However, those who logged nine or more trips to the theaters averaged 11 hours of streaming a week. So, across all ages and races, the average number of streaming hours per week was higher for those who visited a movie theater nine times or more, but those who haven't visited a movie theater in the last 12 months [49 percent], didn't stream at all.

The study included 2,500 respondents, 80 percent of whom saw at least one movie in theaters in the last 12 months. To no surprise, teens were the most keen age group. Those who are between ages 13 and 17 went to seven movies this past year and streamed nine hours of content, which was the highest of any demographic.

Armed with marketing support, Netflix is making up to 90 original films per year, some having budgets of up to $200 million dollars.

In addition to adding new original films and television shows to its roster, Netflix is also testing out new features in an effort to appeal to users.

For example, several Netflix viewers recently took notice to a little box at the corner of their viewing screen that reads "Watch That Scene Again," prompting the viewer to go back to the beginning of the scene if they would like to start over.

The company confirmed the test in a statement to the Los Angeles Times on Dec. 12.

"We're trying out a feature which gives Netflix members the ability to rewatch favorite scenes and memorable moments with the click of a button," a Netflix spokesperson said. "Right now we're just looking to learn from it and may or may not roll it out more broadly in the future."

A spokesperson also told TIME they "may or may not roll it out more broadly in the future" and users who are seeing it can opt-out of the test.


There are mixed reviews on this new feature but none-the-less, innovation with the online streaming service doesn't seem like it will die down anytime soon.