Possibility of studios releasing movies early for $30?
03-22-17, 05:04 PM
#1
DVD Talk Limited Edition
Thread Starter
Possibility of studios releasing movies early for $30?
Six of the seven biggest Hollywood studios are continuing to push to offer movies in the home mere weeks after their theatrical debuts.
However, the companies, particularly Fox and Warner Bros., are showing greater flexibility about timing. Initially, Warner Bros. CEO Kevin Tsujihara had kicked off negotiations with exhibitors by offering to cut them in on a percentage of digital revenues if they agreed to let them debut films on-demand for $50 a rental some 17 days after they opened. Currently, most major movies are only made available to rent some 90 days after their release. Some studios offer films for sale electronically roughly 70 days after their bow in theaters.
Other studios, particularly Fox and Universal, felt that $50 was too steep a price to ask consumers to pay. They are now trying to get exhibitors to agree to a plan that would involve a lower priced premium on-demand option that was made available at a slightly later date, according to three studio insiders and two exhibition insiders. Fox and Warner Bros., for instance, are considering making films available between 30 to 45 days after their opening, but at $30 a rental, a price they believe won’t give customers sticker shock. Universal, which is seen as being the most aggressive negotiator in these talks, would like the home entertainment debut to remain in the 20-day range.
Studios are looking for ways to shore up home entertainment revenues as DVD sales continue to slide. They also believe that their advertising can be more effective and cost efficient if a film’s home entertainment release is closer to its theatrical debut. By grouping those two things closer together, studios wouldn’t have have to launch a massive promotional campaign to reintroduce consumers to a movie months after it was on the big screen.
Then there’s the issue of shifting consumer tastes. Younger consumers, used to streaming services such as Netflix, are accustomed to being able to access content whenever and on whichever device they would like — they’re not used to having to wait months to watch something.
However, the companies, particularly Fox and Warner Bros., are showing greater flexibility about timing. Initially, Warner Bros. CEO Kevin Tsujihara had kicked off negotiations with exhibitors by offering to cut them in on a percentage of digital revenues if they agreed to let them debut films on-demand for $50 a rental some 17 days after they opened. Currently, most major movies are only made available to rent some 90 days after their release. Some studios offer films for sale electronically roughly 70 days after their bow in theaters.
Other studios, particularly Fox and Universal, felt that $50 was too steep a price to ask consumers to pay. They are now trying to get exhibitors to agree to a plan that would involve a lower priced premium on-demand option that was made available at a slightly later date, according to three studio insiders and two exhibition insiders. Fox and Warner Bros., for instance, are considering making films available between 30 to 45 days after their opening, but at $30 a rental, a price they believe won’t give customers sticker shock. Universal, which is seen as being the most aggressive negotiator in these talks, would like the home entertainment debut to remain in the 20-day range.
Studios are looking for ways to shore up home entertainment revenues as DVD sales continue to slide. They also believe that their advertising can be more effective and cost efficient if a film’s home entertainment release is closer to its theatrical debut. By grouping those two things closer together, studios wouldn’t have have to launch a massive promotional campaign to reintroduce consumers to a movie months after it was on the big screen.
Then there’s the issue of shifting consumer tastes. Younger consumers, used to streaming services such as Netflix, are accustomed to being able to access content whenever and on whichever device they would like — they’re not used to having to wait months to watch something.
What are the thoughts here? When I go to the theaters, I usually go by myself so I don't see this potential decision affecting me much.
03-22-17, 05:11 PM
#2
DVD Talk Godfather
Re: Possibility of studios releasing movies early for $30?
I'd probably pay $30 for me and my wife to watch a movie that's just been out recently in theaters. It's pretty convenient to not have to go out, deal with others, cheaper to buy snacks and drinks, and I have a good set up at home to make it worthwhile. Big movies i'd still go for the theater experience though for opening week.
Theater chains basically get fucked though with this, right?
Theater chains basically get fucked though with this, right?
03-22-17, 06:05 PM
#3
Banned by request
Re: Possibility of studios releasing movies early for $30?
There was talk about something like this a few years ago. Something about having an encrypted server and paying $50 for brand new movies. It was dumb then and it's dumb now.
03-22-17, 07:57 PM
#5
DVD Talk Limited Edition
Re: Possibility of studios releasing movies early for $30?
It seems today most movies are almost done with their theatrical run 30 days after they open. If you can wait that long after everyone else is talking about it, you can wait another 30 or so days it comes out on Blu Ray.
03-22-17, 08:17 PM
#6
Re: Possibility of studios releasing movies early for $30?
I wish smaller/independent films were available more quickly. Those are much better for home viewing and sometimes aren't easy to find playing at a theatre. Plus a lot of them flounder and don't make a lot of $$$. For instance, I'd be happy to pay to watch Song to Song or Personal Shopper... even Trainspotting 2 at home right now. But there is no way I'd pay $30. Most same day VOD are $6.99 - $9.99. I wouldn't pay much more than that.
03-22-17, 08:25 PM
#7
DVD Talk Reviewer & TOAT Winner
Re: Possibility of studios releasing movies early for $30?
$30 might be OK for 3 or more people splitting the cost. Watching on my own, even the $6 most new release rentals are is usually too much, I'd rather wait til I can buy it for around that price or just a few bucks more.
03-22-17, 09:56 PM
#8
DVD Talk Special Edition
Re: Possibility of studios releasing movies early for $30?
Hollywood has such a hard time understanding this. They keep trying again & again. I remember a few years ago they released some early movies on DirecTV for $30. But it was garbage like Hall Pass & other stuff nobody really wanted to watch in theaters. Nothing anybody was clamoring for.
Yeah, sure I might pay $50 to rent the latest Star Wars movie on opening weekend. But at 30-45 days the buzz has died. I either saw it in theaters or can wait for home video release at a reasonable price. If it's not day & date with theatrical, there really is no point.
Yeah, sure I might pay $50 to rent the latest Star Wars movie on opening weekend. But at 30-45 days the buzz has died. I either saw it in theaters or can wait for home video release at a reasonable price. If it's not day & date with theatrical, there really is no point.
Last edited by Eddie W; 03-22-17 at 10:07 PM.
03-22-17, 10:07 PM
#9
DVD Talk God
Re: Possibility of studios releasing movies early for $30?
In my area, a matinee will cost around $10-11
An evening show can cost anywhere from $14-16
Factor in snacks, drinks, or better yet actual food like AMC which has some chains that serve actual dinner, it can easily cost $30 or more to see a movie.
For that price, you're basically paying for the convenience of not leaving your house and probably being able to pause/rewind the movie. I would only pay that kind of price for a blockbuster/big budget movie if I really wanted to spend that kind of money and not leave home. I would not want to pay that kind of money for a smaller movie like a comedy or low budget Indie film. It would have to be a really buzz worthy drama for me to do it.
An evening show can cost anywhere from $14-16
Factor in snacks, drinks, or better yet actual food like AMC which has some chains that serve actual dinner, it can easily cost $30 or more to see a movie.
For that price, you're basically paying for the convenience of not leaving your house and probably being able to pause/rewind the movie. I would only pay that kind of price for a blockbuster/big budget movie if I really wanted to spend that kind of money and not leave home. I would not want to pay that kind of money for a smaller movie like a comedy or low budget Indie film. It would have to be a really buzz worthy drama for me to do it.
03-22-17, 11:21 PM
#10
DVD Talk Hero
Re: Possibility of studios releasing movies early for $30?
For my family of 4, it can easily clear $50 for a movie outing. Especially if I go for the bigger theater. I'd pay $50 to own a just released film with basic iTunes encryption. They'd never do it, but that's what I want.
03-23-17, 06:35 AM
#12
Re: Possibility of studios releasing movies early for $30?
Hollywood has been having a huge problem with piracy and this seems to be an avenue to only create a bigger problem for them and greater revenue loss.
Even not taking that into account I don't know. I actually love to see a movie opening weekend on a big screen. I know the cost and convenience make it more desirable, but I am still happy to pay $15 to see it on IMAX first.
Even not taking that into account I don't know. I actually love to see a movie opening weekend on a big screen. I know the cost and convenience make it more desirable, but I am still happy to pay $15 to see it on IMAX first.
03-23-17, 07:17 AM
#13
DVD Talk Limited Edition
Re: Possibility of studios releasing movies early for $30?
I like the idea, but we wouldn't do it much.
We rarely go to the movies, because the 3 of us can easily spend $40 to go to a nice theater, add another $20 for snacks, and it's just too much unless it's a "gotta see" film. If we miss the theatrical run, I can wait until Netflix disc or streaming options come along. I've got such a backlog of movies I want to see, that they can wait.
We rarely go to the movies, because the 3 of us can easily spend $40 to go to a nice theater, add another $20 for snacks, and it's just too much unless it's a "gotta see" film. If we miss the theatrical run, I can wait until Netflix disc or streaming options come along. I've got such a backlog of movies I want to see, that they can wait.
03-23-17, 07:49 AM
#14
DVD Talk Legend
Re: Possibility of studios releasing movies early for $30?
I don't go to the movies much anymore. It no longer makes sense in my cost/benefit analysis.
For $30 to watch at home a month or more after release? Eh, rather just wait to be able to rent it at that point. Movies are fleeting these days. A month is a lifetime. All the buzz is gone by that point.
For $30 to watch at home on the same day as theatrical? Yeah I'd jump on that a few times a year. Movie tickets by me cost $15 each as it is so for $30 to watch at home with my girlfriend makes perfect sense.
For $30 to watch at home a month or more after release? Eh, rather just wait to be able to rent it at that point. Movies are fleeting these days. A month is a lifetime. All the buzz is gone by that point.
For $30 to watch at home on the same day as theatrical? Yeah I'd jump on that a few times a year. Movie tickets by me cost $15 each as it is so for $30 to watch at home with my girlfriend makes perfect sense.
03-23-17, 08:13 AM
#15
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Re: Possibility of studios releasing movies early for $30?
I don't go to the theater regularly to justify the $30.. So, I will skip that option.. Will rather wait for amazon prime or netflix..
03-23-17, 08:32 AM
#17
DVD Talk Limited Edition
Re: Possibility of studios releasing movies early for $30?
$30 is a steal for what I spend to take my family to the theater and then deal with complete assholes on their cellphones or talking throughout the film.
Where do I sign up???
Where do I sign up???
03-23-17, 08:34 AM
#19
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Re: Possibility of studios releasing movies early for $30?
And I think this is the best option. Kids movies, family movies, etc. where you are at 3+ people. Anything less, and I prefer the theater.
03-23-17, 08:38 AM
#20
Challenge Guru & Comic Nerd
Re: Possibility of studios releasing movies early for $30?
I might be willing to occasionally pay $30 on release day to own it forever, but more than likely I'll continue my usual wait 5-12 months and own it forever for $5-10. Rent for $30? Ha!
03-23-17, 08:56 AM
#21
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Re: Possibility of studios releasing movies early for $30?
I'm not opposed to this. I say they should do it, especially for big blockbusters, and see how it is received. Piracy will of course be an ongoing problem. When I had a "real" home theatre setup, I was more inclined to want something like this. Now... I'm not sure how much I'd realistically use it.
I do wish there was a better distribution model for indie or foreign films, though. I don't know what it should be, exactly. A whole lot of movies just don't get played near me. I check the listings every week, and there's occasionally one indie title sprinkled in with the rest of the blockbuster fare, and sometimes the only showtimes are at 11am or 4:30pm... on weekdays. So it's literally impossible for a 9-5 worker drone like myself to catch a screening without taking a day/afternoon off of work. Since these are reserved-seat theatres, sometimes I check 5-10 minutes before, just to see if any tickets were even sold, and it's almost always no. So these showings go empty... and it's used as justification for not booking more indie or foreign flicks at more reasonable showtimes.
So yeah... I think the current system is broken. And my post is off on a tangent.
I'd probably pay $30 or $50 to watch the new Star Wars at home on day one, yes.
I do wish there was a better distribution model for indie or foreign films, though. I don't know what it should be, exactly. A whole lot of movies just don't get played near me. I check the listings every week, and there's occasionally one indie title sprinkled in with the rest of the blockbuster fare, and sometimes the only showtimes are at 11am or 4:30pm... on weekdays. So it's literally impossible for a 9-5 worker drone like myself to catch a screening without taking a day/afternoon off of work. Since these are reserved-seat theatres, sometimes I check 5-10 minutes before, just to see if any tickets were even sold, and it's almost always no. So these showings go empty... and it's used as justification for not booking more indie or foreign flicks at more reasonable showtimes.
So yeah... I think the current system is broken. And my post is off on a tangent.
I'd probably pay $30 or $50 to watch the new Star Wars at home on day one, yes.
03-23-17, 09:08 AM
#23
Re: Possibility of studios releasing movies early for $30?
It'd be a bad deal for theaters. They pay the most for a movie in the opening weeks. This practice would hurt them severely. Plus less people would be attending those early weeks and just wait for the home rental.
03-23-17, 10:01 AM
#24
Re: Possibility of studios releasing movies early for $30?
This might actually appeal to my wife. She hates going to the movie theaters anymore but won't mind watching them at home. But unless the films are offered in UHD with Dolby Vision, I would rather just wait a few months and pay for the ownership as I'd be getting more bang for my buck. I'd never spend $30 for a movie ticket, and I don't waste money on snacks and drinks much anymore, so the convenience of being at home do not outweigh the extra cost.
03-23-17, 10:49 AM
#25
DVD Talk Legend & 2021 TOTY Winner
Re: Possibility of studios releasing movies early for $30?
I'm a miser and a borderline scammer. I don't spend $30 even when taking my entire family of 5 to a movie on opening weekend (including snacks). This is a bad deal.