Roadblocks, new ideas in video-on-demand biz

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Direct to Internet?

"But companies that want to provide downloadable movies, or digital on-demand movies, as a direct substitute for DVD purchases or rentals, have found themselves left out in the cold. Today, they are pushed into the pay-per-view window, when movies have long been available on DVD."

Why? Is churning old content all you want to do?

"The cable company hopes this will assuage Hollywood studios' fears that on-demand viewing, which typically costs just $3.99 or $4.99 per movie, will wipe out the $17 DVD sales that have buoyed the studios' bottom lines for several years."

Why? If I want to see a big budget hollywood movie there are special presentation areas known as 'movie theaters' to see them in. Wouldn't I be looking for something different?

There is a set of companies outside the distribution channel who try desperately each year to hawk their products/movies/series around and get distribution. Where do you think direct to video came from?! You can start a download market with second tier stuff, you just have to start it cheaper and put up with loses at the beginning.

Quit thinking in terms of redistributing "Simpson" or "Vegas", or 'I Robot' on download, and look a little harder for those series you never heard of that never got the distribution. Nobody will risk their successfully distributed content to kick start your market for you.

Make a market *first*, find some starter programs to show it can make money *first*, the program makers will follow the money *later*. How do you think Jib Jab came into being? Did they get a TV break? No, Did they get a 3 movie deal? No, they made the content and tried to get it distributed, and created a (sort-of) market via advertising.

As the market grows, so the major content makers will use it. The money you can make will grow with that.

/rant

Posted by: Nigel Johnstone   Posted on: 10/21/05 You are currently: a Guest | Members login | Terms of Use

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