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Apple iTunes counts for almost 50% of internet video-on-demand movies


By Ishbel Macleod, PR and social media consultant

April 25, 2013 | 2 min read

Apple iTunes has a 45 per cent market share of online movie rentals, research from The NPD Group has found, as the brand dominates the internet video-on-demand (iVOD) sector.

iTunes has more than twice the share of Amazon Instant Video (18 per cent) and triple that for VUDU (15 per cent), with eight out of 10 iTunes video customers saying their shopping experience was excellent or very good (77 per cent).

Russ Crupnick, senior vice president of industry analysis at NPD, said: “Apple has successfully leveraged its first-mover advantage and of iTunes, iOS and the popularity of iPhone and iPad to dominate the digital sale and rental markets for movies and music.

“While worthy competitors have come along, no other retailer has so thoroughly dominated its core entertainment product categories for so long.”

The research also found that iTunes’ share of electronic sell-through (EST) for television shows - content that is purchased by consumers for permanent ownership - reached 67 per cent in 2012, while Xbox Video, Apple’s nearest competitor, comprised 14 per cent of the market.

There was a similar picture for EST for movies: iTunes was accountable for 65 per cent of the market, with Amazon Instant Video and Xbox Video sitting at 10 per cent each.

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