Content Security | Page 11

research_research 03/10/2014 03:04 Page 1 94% online pirates ‘Dual Consumers’ n estimated 94% of all consumers viewing pirate movies are ‘Dual Consumers’ who also buy legitimate copies, driven in part to do so by curtailment and conversion technologies, according to a study undertaken by Verance Corporation, a global developer of technologies and solutions that protect and enhance the use of media content. According to Verance, this finding confirms that piracy loss can be converted to revenue opportunities for major and independent studios, other content providers and content retailers. The survey, which identifies six distinct categories of consumers of pirated movies, offers some encouraging signs for the film industry and content retailers by presenting the first in-depth picture of attitudes, behaviours and motivations of consumers of pirated films, including primary drivers for paying for legitimate copies. It pinpoints two of six groups known as ‘Occasionals’ and ‘Convenience Streamers’, which combined account for over one-third of the estimated nearly 1 billion views of pirated movies annually; (volume extrapolated from survey results). These groups rank ease and convenience as stronger drivers of acquiring and viewing pirated copies – above price. With adequate discretionary income, ‘Occasionals’ and ‘Convenience Streamers’ exhibit the highest frequency of conversion to legitimate purchases when confronted by technological barriers that blocked them from watching a pirated movie. Approximately two-thirds of consumers within these groups are unwilling to spend more than a few minutes trying to A find alternative ways to watch that pirated copy when they are blocked. Roughly 40% of would-be pirated views were reported among these segments to have converted to paid legitimate copies, resulting in increased revenue for studios, CEO Nil Shah said. Verance CTO Joe Winograd said the findings indicated that current use of interdiction technologies was having a measurable impact on casual piracy and shed light as to why blocked pirate views are theatres, movie rental services, home video retailers, and digital movie service providers. The survey consisted of 1,070 online respondents and 24 in-person interviews, all of whom had attempted to view pirated movies on an HD video player in the three months prior to being interviewed. Overall, over 15% of the US population age 13 and over was found to be active consumers of pirated movies, watching an average of 23 pirated movies per year. “This survey reveals that blocking and conversion technologies curtail pirate consumption and the findings converted to legitimate purchases. “Broadening the use of these technologies to other media platforms, including next generation devices will accelerate legitimate purchases and revenue,” he advised. The ‘Occasionals’ and ‘Convenience Streamers’ exhibited the highest propensity to convert to legitimate purchases across all six groups. Those considered being in the ‘No Big Deal’ and ‘Content Enthusiasts’ groups were found to be the most at risk for increased consumptio