New framework for content ROI in streaming era, Film market growth accelerates for Disney, Lionsgate, and Columbia Pictures
Film and TV companies face fierce competition for attention
Hollywood’s box office remains subdued, with 2025 U.S. ticket sales up just 1% post‑Covid, while 2026 is projected to reach $9 billion from tentpoles like Avengers: Doomsday and Dune: Part Three — still below 2019’s $11.4 billion peak. Disney led global sales at $6.6 billion, ahead of Warner Bros.’ $4.4 billion, but rising ticket prices mask falling volumes as adult‑skewing films shift to streaming and family fare dominates. Studios are ramping up spending, with Disney allocating $24 billion for fiscal 2026 — up $1 billion from 2025 — Netflix targeting $20 billion, and more focus on sports rights fueling subscription hikes. Streaming overtook linear TV in May 2025, taking a 44.8% share versus broadcast’s 20.1% and cable’s 24.1%, as Netflix hit 325 million subscribers and eyed $50 billion in revenue through a prospective Warner Bros. Discovery bid. YouTube now pulls $40 billion annually in ad revenue, with Shorts drawing 200 billion daily views, while FAST platforms like Tubi and Pluto TV surge alongside AI‑driven tools such as OpenAI’s Sora and Google’s Veo 3 — flooding short‑form video amid mounting concerns over “AI slop.”
Europe’s €141 billion audiovisual sector expands, but streaming pay and authors’ rights lag
Europe’s audiovisual sector, valued at €141 billion, continues to grow across cinema, television, and on‑demand services. Yet non‑European streamers capture 89% of non‑traditional revenues, while authors receive just 0.53% in royalties, according to the Society of Audiovisual Authors’ first Flash Report. Fragmented legislation prevents screenwriters and directors from earning royalties on all works — especially online, where collections topped €100 million in 2024 but represented only 13% of totals despite streaming’s dominance. European broadcasters commission most original fiction, carrying the creative risk as U.S. platforms seize digital growth, leaving authors with uneven pay across markets despite EU rules on retransmission rights from the 1990s and the 2014 Collective Rights Management Directive. The SAA’s 33 members negotiate licences with broadcasters, operators, and streamers to promote fair pay amid calls for reform ahead of upcoming copyright and audiovisual‑directive reviews.
Film market growth accelerates for Disney, Lionsgate, and Columbia Pictures
International and multilingual content is surging as platforms chase global audiences, while virtual production, AI‑assisted editing, and real‑time rendering cut timelines and costs. Streaming platforms and digital consumption, fueled by high‑speed internet and smartphones, continue to drive growth beyond theaters, alongside cross‑border co‑productions and rising demand for niche documentaries. HTF MI’s report breaks down the market by application (theatrical, TV, streaming), type (features, documentaries, shorts, animation), and genre (drama, action, comedy, horror) across regions from North America to MEA, forecasting market share and strategies for stakeholders. Key questions include long‑term investment viability, regional trends, and the factors shaping demand, with business tactics — from R&D to mergers — highlighted for leading players.
BTS and Stranger Things top 2025’s most loved entertainment
Eventized franchises now dominate, delivering outsized returns across streaming and theatrical windows with fewer releases, while tying demand to revenue through global engagement data. BTS tops the “Most Loved Talent Under 30” list, reflecting K‑pop’s digital, fandom‑driven reorganization of the market for under‑32s via streaming, social media, and tours. Stranger Things has been named the world’s most in‑demand TV show, while Pushpa: The Rule — Part 2 leads films, signaling an Indian cinema surge. Classic films like Gladiator and Harry Potter persist in strong demand, and South Asian content has hit historic highs. The emphasis is on attention quality over quantity to optimize monetization amid a profitability focus.
New Rules of Content ROI in Streaming
Leading studios and streamers are increasingly turning to predictive modeling to refine decisions on casting, platform alignment, and release schedules. The latest Parrot report introduces a novel valuation framework that integrates content strategy across development, financing, marketing, and distribution phases, while offering practical methods to assess projects through the prisms of subscriber acquisition, retention, and revenue impact. It also pinpoints common pitfalls in these processes — and charts a course for robust, data-informed feedback mechanisms spanning from inception to launch.
