hi, how do they know this?

 
Old 01-22-04, 03:15 PM
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hi, how do they know this?

Well I'm wondering how do they confirm cost of making the DVD and selling them?

In short, Suppose I got a 4 DVD Season that has MSRP of 49.99, how much does it really cost a company to make the DVD and sell it from factory, then middlemen, then real store?

I'm just doing this to see cost of real DVD and how much does company increase? For some reason you may be able to see 5 dollar DVD at walmart but I can assume if it was that cheap, the company who made 4 disc set shouldnt sell it anymore than 20 buck but just decide to increase the price doubled to make a huge profit whatsoever.

Thanks
Samuel
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Old 01-22-04, 03:25 PM
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Honestly, it truly is impossible to answer this question. At best you could track down the manufacturing costs of the entire run of that disc, which is relatively cheap. You could also find the original production budget and the advertising costs for the DVD run. But then...how do you equate that?

It's not a simple formula and quite frankly you'd have to look at a company's entire library to really see where they arrive at their prices. Sometimes prices are made to clear house, other times to push new product, other times to recoup massive losses from a poor theattrical run. If demand is high on a product, the price will stay as high as it can for as long as it can. So many variables to consider...
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Old 01-22-04, 03:44 PM
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And that's not even getting into music rights. Just throwing an obvious one out there, would 'Freaks and Geeks' cost half as much as it does if they hadn't spent seven figures getting the music?

well, maybe half, yeah, but you get what I'm saying.

Also depends on what kind of deals the people involved have; some actors will get profits off the DVD sales (which will make it cost more), some will get paid to do commentaries and whatnot, payment is required on docs that run more than (uh, what is it? 30 minutes? however long...), some prints are cleaned up before the DVD is made (rare for a 5.99er) ...

yes, many, many variables.
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Old 01-22-04, 04:35 PM
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In the production line, to make the glass master that they press all the discs from, that supposedly costs between $5,000 and $10,000 (give or take), and then the cost of the plastic to press all the discs is probably just a few cents per disc, so as you can see the price per disc has a lot to do with how many you run (if the glass master is 5 grand and you only make 5 discs, then it's a grand per disc, but if you make 5 thousand discs then it's only a dollar per disc). What type of disc it is has a lot to do with it as well (single layer, double layer, double sided, etc...), and then of course how many discs are in each DVD set, add in packaging, labor costs, etc... In other words, it varies a lot depending from one title to the next.
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Old 01-22-04, 06:39 PM
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And don't forget the company's cost to pay the marketing folks who make the decisions on pricing ...
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Old 01-22-04, 06:42 PM
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and don't forget the price of the insert
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