LoveFilm's streaming service overtakes rentals

The Amazon-owned movie service has revealed that the number of films and TV episodes streamed online through internet-connected devices, exceeded the number of DVDs, Blu-rays and games rented by over 20%, in February this year.

LoveFilm, which launched its streaming service in 2009 and rebranded its to LoveFilm Instant in December last year, said the number of titles being watched online in February has grown 400% year on year.

It launched its first ad campaign, promoting its streaming offering at the end of last year. Previous advertising had been based around its physical DVD offering.  

It said that its rental business had also grown, up 25% from the same period a year ago.

It did not reveal how many titles where streamed or rented or how many of its two million subscribers have opted for LoveFilm instant, without the rental package.

The news that LoveFilm’s main business has shifted from rentals to streaming comes shortly after the Competition Commission announced that LoveFilm, along with Netflix, was being drawn into its investigation into BSkyB’s alleged dominance of the pay-TV market.

The commission sited LoveFilm’s entry into movie streaming as one of the "developments in the market" which lead to it extending the deadline of the probe.

Yesterday, Sky revealed details of its new pay-as-you-go internet TV service, Now TV, which will launch later this year, posing further completion for LoveFilm and Netflix.

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This article was first published on marketingmagazine.co.uk