What in the hell? I was looking at J.J. Abrams's IMDbiography, and I had no idea he'd written so many movies! Taking Care of Business, Regarding Henry, Forever Young, Gone Fishin', Armageddon... all before Felicity, and then he even did Joy Ride. I always thought he appeared out of the ether for Felicity and was making a big jump to movies now.
Buffista Movies 5: Development Hell
A place to talk about movies--old and new, good and bad, high art and high cheese. It's the place to place your kittens on the award winners, gossip about upcoming fims and discuss DVD releases and extras. Spoiler policy: White font all plot-related discussion until a movie's been in wide release two weeks, and keep the major HSQ in white font until two weeks after the video/DVD release.
YET THERE ARE SNAKES ON THE PLANE ANYWAY.
Warner Home Video has begun trial sales in China of a movie DVD priced at just Rmb12 ($1.50), a move likely to anger consumers in developed markets such as Europe and the US, who typically pay $20-$30 for a recently released film on DVD.
The test sales of the modestly packaged edition of the The Aviator mark one of the boldest efforts yet by an international film company – WHV's Chinese joint venture, CAV Warner – to adjust its marketing strategies to the potentially huge but piracy-plagued Chinese DVD market.
The "simple pack" edition of the Oscar-winning epic, which comes in a cardboard folder rather than the standard DVD plastic box, went on sale earlier this month in selected Chinese cities, said Christine Hu, CAV Warner public relations manager.
Not that I really want my DVDs with no extras in a cardboard sleeve, but damn, if this is even a viable option for Warner, we American customers must be getting really ripped off.
The price point probably takes American sales into account. But I see what you mean... if they can make a profit off $1.50, what's the marginal overhead here?
But I see what you mean... if they can make a profit off $1.50, what's the marginal overhead here?I don't know if you can presume they're making a profit. They're probably trying to establish the market first. Short term loss for long term plans seems possible.
You don't have to assume it, but I'm not assuming instead that they're taking a loss.
ETA: taking a loss to provide a product available in the same market for possibly less money.
ETA: taking a loss to provide a product available in the same market for possibly less money.
Well, piracy is a huge issue over there. So even just getting people to buy their product from them is a step forward.
Definitely less money. DVDs or computer games/programs are about $1 each in China.
I think I read somewhere that the per-CD cost to manufacture is 3.5 cents. There's a little extra for packaging and marketing, but that still allows for profit at $1.50 per (I'm assuming DVDs aren't greatly more expensive than CDs, although they are some more expensive).
So even just getting people to buy their product from them is a step forward.
Not if they're losing money off it.
It's a small ethical victory, sure, but the problem of piracy from the studio's POV is that it costs them money. So if they're also losing money in this new setup, it's an entirely pointless venture. I think it's safe to assume that they're at least breaking even.
[eta: When I order DVD stock for my office, the cost per disc is about $0.60. Granted, that's in much smaller quantities (usually only 1,000 at a time) than someone like Warner home video is going to be buying, but there is a substantial difference in cost between DVD and CD blank media.]