Recent Posts
Recent Comments
Most Commented On
Archives
Blog
Link This | Email this | Blog This | Comments (1)
Mechanic: Studios let the air out of DVD's tiresSeptember 29, 2009 "Simply said, the studios have destroyed the price-value relationship in video, particularly when low priced rental alternatives have sprung up everywhere."That's a quote from iIndustry veteran Bill Mechanic's wide ranging keynote speech at Independent Film & Television Alliance Production Conference in Santa Monica today. In it, the exec delivered a frank assessment of everything from creativity (or lack of it) at major studios, the copycat strategies of many independent producers, the glut of films produced over the past several years, and the role the studios themselves have played in "the confused video market." Of course, Mechanic knows that of which he speaks. He currently is president/CEO of independent production company Pandemonium LLC and was chairman/CEO of Fox Filmed Entertainment. Many in the home entertainment industry still know him best as head of Disney's video division (and pay TV and international theatrical) for a decade in the 1980s and very early 1990s. I wasn't lucky enough to hear the speech live, but here's a transcript re: home entertainment. "I get asked a lot if the problems [of declining DVD sales] are systemic. My answer is not necessarily. That we would reach a point of maturation in DVD is natural and logical, but too much of the downturn is completely self-imposed. Like much of the bad decision making that has helped take a lot of the profit out of the business, the air was let out of the tires by the studios themselves. No top management of a studio really cared what was going on over the past few years other than was their budget being met. So no one asked what impact dropping the price on their existing DVD’s would have. I mean if I can buy TITANIC for under $5 in some stores, why am I so eager then to rush out to pay $30 or so when it’s released on Blu Ray? Is the quality difference that great? How many formats are yet to come? No one asked what buying great movies at cheap prices would do to new releases, which may not be as great. Give a consumer with less expendable dollars a choice between LEGALLY BLONDE for $5 or ALL ABOUT STEVE for $20 or $30, which do I want to buy? Simply said, the studios have destroyed the price-value relationship in video, particularly when low priced rental alternatives have sprung up everywhere. And then add in the absolute flooding of TV product from the beginning of time into the market, and you have the conditions that have absolutely killed video as the key profit center of new movies." Posted by Marcy Magiera on September 29, 2009 | Comments (1)
October 4, 2009
In response to: Mechanic: Studios let the air out of DVD's tires Paul Suarez commented: Although I understand Mr. Mechanic's point about the diminished perceived value of DVD due to bargain bin pricing, some of his positions are problematic.
Advertisement
|
Advertisements
|
|
|