Hollywood and those who write about it need to face a very simple fact. Yes, new technologies like Netflix Streaming and outlets like Redbox are most certainly a part of the reason DVD sales are slumping. But another reason for the slump is the quality of today’s motion pictures. It’s just a fact that Hollywood is producing fewer films we want to see again and/or own forever.
The studios might be able to bait us into turning something like “The Green Hornet” into an opening weekend hit, but unlike anytime in my life, walking out of a theatre wanting to see “that” movie again is now the rare exception as opposed to the rule.
With video delivery technologies emerging in ways no one expects on an almost daily basis, there’s no silver bullett to solving the very serious DVD sales problem. But something that most certainly would help would be to make more films we’re actually excited about seeing again and again.
Consumers keep spending less on DVD as they switch over to Blu-ray, streaming services like Netflix and VOD, with the aging disc format earning 44% less last year than it did in 2009, despite strong sales for Fox’s “Avatar.”
The wholesale value of 415 titles released on DVD in 2010 fell to $4.47 billion from $7.97 billion in ’09, a new report by SNL Kagan reports.
Of those titles, 226 million units were shipped, another 44% less than in 2009, signaling a declining interest in retailers to carry the discs, as consumers build fewer DVD libraries at home.
On average, films shipped 545,000 units and earned $10.8 million in wholesale revenue, off 52% from the average in 2009.
DVD’s demise is still hard to ignore, considering it has generated most of Hollywood’ homevideo sales for the past decade. Digital distribution has yet to make up for the decline in DVD sales.
At the same time, Blu-ray also continues to grow, with the format having generated $2.3 billion in sales last year, a growth of 53%, over 2009, according to the Digital Entertainment Group. Consumers spent another $2.5 billion on digital downloads, DEG said, a gain of 19% over 2009.
I’m a movie-lover. A healthy industry means Hollywood is satisfying its customers and I’m a customer who enjoys being satisfied. That’ just not happening anymore and hasn’t for going on a decade now.
Much of the great writing, acting and directing has moved to television, proving that the Hollywood talent is still there. Right now, it’s just not in the movies.
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