May 31, 2005
Straight to dvd

Mostly because video piracy is such a problem, Bollywood films are typically released to dvd in the US as soon as they leave the theaters in India – which is usually a week or two after being released. (Thirty years ago, smash-hit Bollywood films used to celebrate 25 weeks in the theaters. Now a three-week run constitutes a smash hit.) Immediate dvd release also allows the dvd to benefit from the same publicity campaign that launched the film in theaters. Sure, the knowledge that the dvd is coming so soon cuts into theater ticket sales, but those are an ever-smaller part of the revenue pie these days anyway.

Hollywood is beginning to follow suit. The Boston Globe reports that the average delay between theatrical and dvd release for US films has shrunk to 4 months, down from 6. Some studios are planning to experiment with immediate dvd releases. If the experiments go well, look for dvd release lags to shorten even further. Really, even if the movie will be out on dvd as soon as it leaves the theaters, your date will still be impressed that you took her to the theater to see it.

Posted by Lawrence H. White at 04:21 PM in Economics  ·  TrackBack (2)

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