The Rise of Licensing: Disney’s Triumph in Hollywood
In a landscape where streaming services dominate, Hollywood giants are seeking new avenues to monetize their content. According to a recent study, Disney emerges as the frontrunner in what is being termed as the “licensing renaissance.” With an extensive catalog of licensable content, Disney surpasses its competitors by a significant margin.
Disney’s Dominance in Licensable Content
Research firm Ampere Analysis highlights Disney’s unparalleled ownership of potent content, boasting more than double the licensable titles compared to its rivals. While major studios initially focused on exclusive distribution through their streaming platforms, the tide is turning towards licensing once again.
Changing Strategies: Embracing Licensing Opportunities
The reluctance to relinquish exclusivity for major franchises is evolving, as demonstrated by Warner Bros. Discovery’s strategic licensing deals with Amazon, Netflix, and Tubi. Ampere’s analysis reveals a substantial increase in cross-licensed TV seasons, indicating a shift in studio approaches.
The Licensing Power Ranking: Assessing Content Catalogs
Ampere formulated a comprehensive “licensing power ranking,” evaluating Hollywood conglomerates’ content portfolios to identify titles with significant potential for licensing. Criteria include completion of the first run, a minimum of three seasons, scripted nature, U.S. origin, and sustained consumer engagement.
Disney’s Licensing Cache: A Strategic Advantage
Disney leads the pack with 148 titles possessing licensing power, exclusively available on its streaming platforms as of December 2023. This extensive cache presents unparalleled opportunities for revenue generation, featuring acclaimed shows like Sons of Anarchy and Buffy the Vampire Slayer.
Paramount Global, Warner Bros. Discovery, and NBCUniversal in the Race
While Disney holds the lion’s share, Paramount Global, Warner Bros. Discovery, and NBCUniversal also boast substantial catalogs with licensing potential. Each studio possesses notable titles, contributing to the diversification of available programming across genres.
Comedy Reigns Supreme: Driving Audience Engagement
Ampere’s analysis underscores comedy as the most prevalent genre among titles with licensing power, capturing 25% of the market share. U.S. audiences’ enduring interest in long-running sitcoms fuels this trend, encompassing classics like The Office, The Golden Girls, and contemporary hits like Brooklyn Nine-Nine.
The Future of Licensing: Opportunities and Challenges Ahead
As licensing gains momentum, studios must navigate the balance between exclusivity and non-exclusivity to optimize content value. Rahul Patel, research manager at Ampere, predicts an influx of high-profile licensing deals in 2024, emphasizing the potential for audience expansion, prolonged shelf life, and franchise expansion.
Disney’s dominance in the licensing landscape signifies a paradigm shift in Hollywood’s revenue strategies. With a vast reservoir of licensable content, studios are poised to capitalize on emerging opportunities in the streaming ecosystem, heralding a new era of innovation and growth.