Why Netflix seems skimpy on holiday classics
Hollywood’s best festive flicks are both too old and too good for streaming business models
Though it’s a relatively wonderful life for TV cord-cutters, George Bailey and Clark Griswold are still available only on a pay-per-view basis this month. Festive streamers will have to settle for “A Christmas Prince,” which has yet to claw its way into the Christmas canon.
Most classic holiday films remain cordoned off as one-time rentals or purchases on digital platforms. It’s a seemingly Grinch-like strategy — even though that Jim Carrey film is on Netflix.
Of the 25 greatest holiday movies as ranked by American Movie Classics, only a few are available for streaming on Amazon Prime, Crave TV or Netflix this season. It turns out Hollywood’s best holiday films are simultaneously too old and too good for streaming business models.
Older films hold scant appeal for buyers at Netflix and its rivals because they carry little sway in getting someone to sign up or stay signed up. That’s one reason Netflix is rushing to have original, in-house content account for half of its catalogue by 2020.
“The fun thing about something that’s new is that people get excited enough to join,” Netflix chief content officer Ted Sarandos said at a Dec. 4 meeting with investors. “That’s why we’re kind of constantly reinforcing the excitement of that.”
In other words, the prospect of watching “A Christmas Story” for the 12th time is not as enticing as
a new standup special from Jerry Seinfeld or the second season of “Stranger Things.”
Older shows and movies, even beloved holiday films, fall into a category Sarandos calls bulk viewing.
“We have them and people enjoy them, and it’s fine, but … we don’t put that much marketing behind it, because people really don’t value us much for it,” he said.
Hollywood’s best holiday fare isn’t cheap or simple to obtain. Broadcasters use Christmas the way sports leagues use championship games — a chance to create a sense of urgency in a crowd accustomed to watching whatever they like whenever they want.
Even if a company commits to purchasing a holiday film, obtaining the rights requires negotiating with multiple distributors around the world, which may have conflicting schedules.
“The ‘not available’ category this year is an interesting list,” said Chris Thun, who tracks listings as vice-president of product at TiVo Corp. “The folks who are managing this content most likely believe they can extract more value giving the rights to broadcast.”
Indeed, “It’s a Wonderful Life” is slated to play on NBC on Christmas Eve this year, right about when TBS kicks off a 24hour marathon of “A Christmas Story.”
Walt Disney Co. will show “Elf ” 14 times before Christmas on Freeform, a U.S. cable channel aimed at young viewers.
The channel is giving a similar treatment to Clark Griswold’s exploits in “National Lampoon’s Christmas Vacation.”
The dearth of classic films to stream isn’t confined to holiday fare. Hollywood’s most critically acclaimed work doesn’t pop up often on pay-by-themonth platforms.
There’s little correlation between critical praise and streaming success, according to Rich Greenfield, an analyst at financial services company BTIG LLC.
“There’s a wide chasm between what is seen as the culturally best films and what you watch the most,” he said. “It’s like two different equations.”
This is why it’s often so difficult to find something to watch on digital television; there’s a cornucopia of good choices, but very little that’s great.
Studios are loath to give up the steady, dependable stream of video-ondemand revenue that comes from a film enshrined in pop culture’s canon.
To a company such as National Amusements Inc.’s Viacom, “It’s a Wonderful Life” is akin to a blue-chip stock kicking off a fat dividend at the end of every year.
Rather than purchase critically acclaimed dramas from others, streaming companies are attempting to make them. Netflix will spend up to US$8 billion next year bankrolling 60 original series and 80 original films, including at least two animated features.
Christmas is on the Netflix-original wish list. The company is reportedly casting Kurt Russell as Santa Claus for an original film next year and has purchased the rights to make “Jingle Jangle,” a musical about a toy maker trying to perfect a wondrous invention in time for the holidays.