Millenium expands to more retailers

PHYSICAL: Indie label distributor now services Kmart, Target, others

By Susanne Ault -- Video Business, 11/24/2009

NOV. 24 | PHYSICAL: Millennium Media Services, the joint venture formed by First Look Studios and replicator Sony DADC earlier this year to distribute independent lines to Best Buy, is expanding to other retailers. Leading the effort will be newly named general manager Richard Buchalter, former senior VP of sales at Image Entertainment.

Buchalter steps into the top spot at MMS as the company expands its retail account list to include Kmart, Target and regional mass merchant Shopko, among others. Labels distributed by MMS include Acorn Media, MPI, Bandai and Madacy as well as First Look.

MMS was formed earlier this year to aggregate and deliver indie labels to Best Buy, which sought to reduce its costs by administering fewer direct relationships with home entertainment suppliers. The model is similar to that of now defunct Ventura Distribution, which earlier in the decade distributed independent lines to various key retail accounts.

Under Buchalter, MMS is promising custom distribution, in which client labels can distribute one or more titles to one or a range of retail partners.

For example, MMS is shipping titles from British specialist Acorn to Best Buy, Target, Shopko and Kmart, and anime specialist Bandai is strictly using MMS to fill the Best Buy pipeline. Niche supplier Madacy is using MMS for placement at Best Buy, Target, Fry’s, Borders, Sam’s Club, Kmart, Blockbuster and Hollywood Video.

Buchalter believes that the best way for small labels to compete in today’s challenging DVD market—with priority often attached to major theatrical releases—is through such personalization at retail.

“The key part of this is to find the proper content with the proper retailer,” said Buchalter. “If you start to force things in, retailers aren’t going to play ball with you. Retailers have to be increasingly selective.”

To entice retailers to bring on MMS indie product, Buchalter will strive to create chain exclusives. While at Image, Buchalter struck several such deals, including exclusively bowing Artie Lange: Jack and Coke at F.Y.E. and other Trans World Entertainment stores on Nov. 17.

“Retailers want that differentiator,” said Buchalter. “They want the ability to say I have what you don’t have.”

In a deal finalized prior to Buchalter’s arrival, MMS is set to bow several Top Chef and Real Housewives titles exclusively at Target in 2010. The Bravo network titles are distributed by First Look and New Video.

At MMS, Buchalter will report to First Look chief operating officer Dean Wilson and will work closely with First Look senior VP of sales Marie O’Reilly.

“Richard’s unique combination of energy, leadership and creative thinking will successfully propel MMS into the future,” said Wilson. “We look forward to adding Richard’s track record of success to MMS.”