DVD Sales Falling Like Snow On The East Coast
Wait, but the 30-day windows were supposed to reverse this trend. Remember? That was the whole point. And it was definitely going to work.
Warner Bros. DVD sales down 24 percent year over year. Sony sales down 20 percent. Paramount DVD sales down an excellent 44 percent year over year.
The fundamental problem remains: most movies simply aren’t worth owning. The studios need to get on board with that fact, create a better system for renting all movies a massive number of times across a massive number of devices for a fair price, or they’ll get run over like their friends in the music industry.
What studios say and what they mean are two different things.
Windowing protects existing relationships with people who spend millions a day with the studios optioning their catalogs and getting first run options placing studio films on pay cable etc.
Tying the consumer to the story is more for pomp and circumstance and less about the bottom line.
Sub rates are the best money studios can get, and the cable universe is still growing supporting the model more and more with each year. Its going to take someone with a large existing user base (Redbox) being acquired by someone with deep studio ties (Wal Mart or Amazon) and instituting a competitive pricing model to Netflix in order for this to really work and thing to change. Even then, it won’t happen overnight.