‘Insidious Chapter 2′ Should Thank Netflix, Inc. (NFLX)

Some sequels are better off left unmade.

Yes, I’m talking to you, Grown Ups 2. Don’t think you’re getting a free pass, Speed 2: Cruise Control. If the original entry was critically panned — cough, cough, Grown Ups — there’s no reason to keep going. If a movie works under the outrageous premise that a bus will blow up if it slows down, there’s no need to whisk Sandra Bullock onto a cruise ship for a sequel to Speed.

This brings us to Insidious Chapter 2. The followup to 2011′s Insidious hits a multiplex near you next weekend, and it certainly wasn’t the kind of box-office smash that would send studios scrambling for a sequel. The supernatural horror flick about a family coping with a demon-possessed son took in just a little more than $54 million in its domestic theatrical run.

However, the movie has been well reviewed. Netflix, Inc. (NASDAQ:NFLX) users have bestowed it a rating of 3.7 stars out of five, and that’s a pretty good rating on the leading video service. The movie was available for streaming on Netflix, Inc. (NASDAQ:NFLX) until this past May, when a licensing deal ran out, and its success there probably played a major part in the decision to for FilmDistrict to go ahead with a sequel.

Nearly 1.8 million Netflix subscribers have rated the movie. That’s huge for a movie that was seen by fewer than 7 million moviegoers when it was playing on the big screen (dividing $54 million in box office receipts by the average ticket price in 2011 of $7.93). We’ve seen Netflix, Inc. (NASDAQ:NFLX) build an audience for TV shows including Mad Men and, more recently, Breaking Bad. But now we have a good example of Netflix, Inc. (NASDAQ:NFLX) streaming as an asset to a theatrical franchise if the sequel manages to beat out the original.

Source: FilmDistrict.

It also helps that supernatural movies have been storming back to life this year. Time Warner Inc (NYSE:TWX)‘s The Conjuring has raked in more than $134 million in ticket sales this summer. That’s not too shabby for a movie with a $20 million production budget. Mama‘s $71 million take earlier this year wasn’t as impressive, but it still fared better than Insidious.

Let’s hope that the producers of Insidious Chapter 2 keep this all in mind as the next few weeks play out. Thanking Netflix, Inc. (NASDAQ:NFLX)– and The Conjuring — won’t happen. The Netflix, Inc. (NASDAQ:NFLX) licensing deal went away four months ago. Time Warner Inc (NYSE:TWX)’s creepy movie is the competition. However, it would be the right thing to do.

“It will take what you love most,” is the film’s tag line, but it’s those two factors that helped bring it back.

 

The article “Insidious Chapter 2″ Had Better Thank Netflix originally appeared on Fool.com is written by Rick Munarriz.

Longtime Fool contributor Rick Munarriz owns shares of Netflix. The Motley Fool recommends and owns shares of Netflix.

Copyright © 1995 – 2013 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.

blog comments powered by Disqus
Insider Monkey Headlines
Insider Monkey Small Cap Strategy
Insider Monkey Small Cap Strategy

Insider Monkey beat the market by 52 percentage points in 24 months Click to see monthly returns in table format!

Lists

10 Best States To Practice Medicine

The 10 Best States to Have a Business

The 12 Most Expensive Apple (AAPL) Apps in the Market

The 10 Richest Billionaires in the World

10 Biggest Kickstarter Failures

The 10 Best Places to Work At

The Top 10 of Google Inc (GOOGL)’s Most Expensive Acquisitions

13 Best Cities to Visit in South America

10 Most Expensive Works of Art of All Time

The 10 Richest Banks in the World

The 10 Best-Paying Jobs in America (2014)

7 Most Expensive Foods in the World

The World’s Top 10 Earning Authors

Five Wicked and Very Expensive Items (and Other “Stuff”) Sold on eBay

10 Biggest Celebrity Bankruptcies

The Top 10 Highest Paid CEOs in 2014

The 10 Most Expensive Real Estate Cities in America

10 Most Expensive States To Live In America

The 10 Best Airlines in the World

The 10 Best-Selling Cars in 2014

The 10 Best Industries to Invest In

The 10 Most Expensive States to Own a Car In

Top 10 Business Schools in US: 2014 Rankings

Top 20 Female Billionaires in 2014

6 Movies That You Should Watch to Better Understand The Cold War

Top 15 Best Paying Jobs for Women in 2014

Top 6 Things Rich People Do Differently Every Day

5 Retirement Mistakes To Avoid (and Einstein’s Famous Quote)

11 Smartest People in the World

6 Films About the Financial World You Need To Watch (While “The Wolf” is Not Around)

Warren Buffett and Billionaires Are Crazy About These 7 Stocks

The Top 10 States With Fastest Internet Speeds

10 Best Places to Visit in USA in August

Top 10 Cities to Visit Before You Die

Top 10 Genetically Modified Food In the US

15 Highest Grossing Movies Opening Weekend

5 Best Poker Books For Beginners

10 Strategies Hedge Funds Use to Make Huge Returns

Top 10 Fast Food Franchises to Buy

10 Best Places to Visit in Canada

Best Summer Jobs for Teachers

10 Youngest Hedge Fund Billionaires

Top 10 One Hit Wonders of the 90s

Fastest Growing Cities In America

Top 10 U.S. Cities for Freelancers

Top 9 Most Popular Free iPhone Apps

Top 10 Least Expensive Private Business Schools in the US

Top 15 Most Expensive Countries in the World – 2014

Top 6 Tax Scams and How to Protect Yourself

Top Businesses to Invest In

Subscribe

Enter your email:

Delivered by FeedBurner

X

Thanks! An email with instructions is sent to !

Your email already exists in our database. Click here to go to your subscriptions

Insider Monkey returned 47.6% in its first year! Wondering How?

Download a complete edition of our newsletter for free!